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Mahindra to launch Vision S by March 2027 Tata is preparing next-gen Nexon and Scarlet compact SUVs Hyundai and Kia to launch compact electric SUVs
SUVs are demand, which is evident from the sales figures for the month of January 2026. Tata Nexon and Punch were the top-sellers, beating the likes of the Maruti Dzire, Baleno and Wagon R. In fact, first time car buyers in India are opting for compact SUVs over hatchbacks. Seeing the growing demand for sub-4 meter SUVs, most of the brands are planning to launch new and next-generations of the existing models in the country over the period of next couple of years. Here, we listed top upcoming compact SUVs from the likes of Mahindra, Tata Motors, Hyundai and Kia.

Mahindra will launch the Vision S concept based compact SUV before the end of FY27, by March 2027. This SUV is reportedly to be the smallest member of the Scorpio family, and will mark the debut of Mahindra’s new flexible platform, called the NU_IQ. It will carry a boxy and rugged design with modern features. In fact, production-ready SUV has been caught testing numerous times on the Indian roads. It is expected to be powered by a 1.2L turbo petrol and a 1.5L turbo diesel engine. A hybrid version is also expected to be launched in near future.
Tata Motors is reportedly developing two new sub-4 meter SUVs, including the next-gen Nexon and an all-new SUV (Codenamed Scarlet). Both SUVs are likely to be based on the heavily upgraded version of the existing X1 platform. A possible launch around 2027 can’t be ignored; however, testing of these SUVs are yet to begin. The new Scarlet is expected to carry a more rugged design, while the Nexon is expected to retain its coupe-like design. Both are likely to be powered by a 1.2L turbo petrol and 1.5L turbo diesel engines. Moreover, electric version of these two models will also arrive in our market.
Kia is reportedly working on the next-gen Sonet, which is expected to be launched by 2027-28. Moreover, Kia will introduce Syros based electric SUV before the end of this year. In fact, the Kia Syros EV has already been caught testing on the Indian roads. The next-gen Sonet will share the platform and sheet metal with the new Venue and the Syros. It will not see any changes in terms of mechanics. The Syros EV Will take on the likes of the Tata Nexon EV and the Mahindra XUV 3XO EV. It is likely to be based on the K1 platform that underpins the Hyundai Inster EV. This front-wheel-drive SUV could borrow the Hyundai EV’s 42kWh and 49kWh battery pack options. We expect the new Syros electric to offer a certified range of up to 400km on a single charge.
Hyundai has also started testing its all-new electric compact SUV on the Indian roads. The new SUV will carry a boxy design and is expected to be based on the K1 platform that underpins the Inster EV. Details on the features and battery packs are yet to be disclosed, but the electric SUV could launch by March 2027. It is expected to be offered with two battery choices - 42kWh and 49kWh.
Maruti Suzuki will introduce the significantly revised Fronx crossover by 2027. It will receive massive changes in terms of mechanics. The new Fronx facelift will be the first model under 4 meters category in India to receive a strong hybrid powertrain. It will get the brand’s new low-cost hybrid powertrain, which will comprise a 1.2L, 3-cylinder Z-series petrol engine, a small battery pack and an electric motor. The Fronx hybrid is rumoured to offer a fuel efficiency of around 35kmpl.

Seeing the success of Skoda Kylaq, Volkswagen is also planning to launch a new sub-4 meter SUV in our market. Rumoured to be called the Tera, the new SUV will be based on the Kylaq. However, it will carry Volkswagen’s identity with revised design and new colour scheme for the cabin. The small SUV will be powered by a 1.0L, 3-cylinder, turbo petrol engine paired to either a 6-speed manual or a 6-speed torque converter automatic.
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Amit is responsible for the content creation on the Carlelo website with an objective to serve the online visitors to the best of his abilities. He has a vast experience of over 12 years in motoring journalism and has worked with multiple automotive brands including CarDekho, IndiaCarNews and Zee Network (India.com Auto)
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