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We informed you earlier that Volkswagen is developing an all-new compact SUV, internally codenamed A0, for the global markets. This model will sit below the VW Nivus Coupe SUV and will measure around 4 meters in length. A new media report claims that Volkswagen India will also launch a sub-4 meter SUV in our market in 2026.
In fact, the new Volkswagen compact SUV will be based on the Skoda Kylaq, which will arrive in our market in early 2025. VW's version will be significantly different than the Kylaq, in terms of looks. The SUV will share the platform and engine option with the Skoda's compact SUV. It will rival the likes of the Tata Nexon, Maruti Brezza, Hyundai Venue, Kia Sonet and others.
This will be Volkswagen's another attempt in the sub-4 meter category. The company had discontinued the Polo hatchback and Ameo sedan, which failed to generate volumes. Between 2016 and 2020, VW only managed to sell around 32,000 units of the Ameo sedan. Now, Skoda is leading the charge for the Volkswagen Group in the sub-4 meter category.

It was reported that Volkswagen is thinking on the lines of exiting ICE models from India. The company was aiming to introduce only CKD models in limited numbers and building an EV range for our as well as global markets. Skoda was assigned to lead the internal combustion engine (ICE) strategy for the VW Group in India.
In a sudden shift, Volkswagen now planning to introduce its own version of the Skoda Kylaq compact SUV in 2026. This comes after the slowing demand for EVs in the country. Moreover, VW and Skoda do not have any mass-market electric vehicle for Indian market. However, the Group plans to introduce affordable EV in India by 2027.
Volkswagen will have to spend little to develop this new compact SUV. The Kylaq based compact SUV will have newly designed front grille, new lighting system, new bumpers and tailgate. The cabin is also likely to receive some design changes to keep things fresh in the market. The SUV will be powered by the same 114bhp, 1.0-litre, direct injection turbo petrol engine with 6-speed manual and 6-speed torque convertor automatic gearbox.
Source - AutoCarIndia
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