By proceeding, I acknowledge that I have read and agreed to the Privacy Policy, Terms & Conditions, consent declaration, and the sharing of my information with lending partners, dealers, OEMs, and for marketing communication via Phone Calls, SMS & WhatsApp.

The Tera is likely to arrive in India next year. The India-spec version will share several components, features and eninges with the Kylaq. It will challenge the Venue, Sonet, Brezza, XUV 3XO and Nexon. The new VW compact SUV could be offered with two TSI petrol engines and two gearbox options.
Volkswagen recently unveiled its all-new Tera subcompact SUV at Carnival celebrations at the Sambadrome in Rio de Janeiro. It is the smallest and most affordable SUV from Volkswagen, designed and developed in Brazil. Volkswagen’s Taubate manufacturing facility in Brazil will serve as a production hub for this compact SUV. The Volkswagen Tera is built on the MQB-A0 architecture that also underpins multiple VW cars, including Polo (in global markets). The India-specific Skoda Kylaq has also been designed on the same platform.
The Volkswagen Tera will also make its way to India. However, the German automaker will make some changes to the India-spec version to avail tax benefits offered in the sub-4 metre SUV segment. Furthermore, the new VW compact SUV will share body panels, interior features and components with the Skoda Kylaq. Official launch details of the Tera are yet to be revealed. However, it is expected to see a market release in 2026. Once launched, it will go up against the Hyundai Venue, Kia Sonet, Maruti Brezza, Mahindra XUV 3XO and Tata Nexon.
Prices of the new Tera SUV are expected to start around Rs 8 lakh for the entry-level variant, while the top-end trim is expected to cost nearly Rs 15 lakh. Its sibling, the Skoda Kylaq is currently available within the price range of Rs 7.89 lakh – Rs 14.40 lakh (all-ex-showroom).
The engine details of the new Volkswagen compact SUV are still under wraps. Reports suggest that VW might use the 1.0L, 3-cylinder TSI turbo petrol engine with two gearbox options – a 6-speed manual and a 6-speed torque convertor automatic. This compact SUV might also borrow the 1.0L turbo petrol engine from the Skoda Kylaq. This motor will offer power around 115 bhp - 120 bhp.
The cabin layout of the new Volkswagen Tera appears to be inspired by the Volkswagen ID electric SUV. This new Volkswagen compact SUV features a freestanding 10.25-inch touchscreen infotainment system and a 10-inch fully digital instrument cluster. The SUV comes with the two trapezoidal central AC vents positioned underneath the info unit, a steering wheel, leather upholstery, smartphone connectivity, ambient lighting and ADAS (advanced driver assistance system) suite.
The Volkswagen Tera flaunts the brand’s new design philosophy, deriving design inspiration from the all-new Taguan SUV. Up front, it carries a familiar grille, bumper with honeycomb pattern, sleek LED headlamps connected via a chrome strip and a unique DRL signature. The Tera has been assembled with 17-inch diamond-cut alloy wheels, which will be reserved for the higher trims. The lower variants are likely to come with steel wheels with wheel caps.
The new VW SUV has a sloping roofline with roof rails and a short antenna on it. Some of its other design highlights include pull-type door handles, LED taillamps connected through a black bar with silver accents, an integrated rear spoiler, a rear bumper and rear wipers and washers.
Also Read: Upcoming 7-Seater Hybrid SUVs Promising Over 25 Kmpl Mileage
About Author
Chhavi Kaushik is a seasoned content writer with over a decade of experience, beginning her career in 2010. Her fascination with automobiles led her to the industry in 2014. As a freelancer, She has contributed to some of the most reputed online automotive publications, consistently delivering fresh updates on the latest automotive events, product launches, car reviews, and critical industry insights.

Tata Punch Gets Costlier By Up to Rs 7,000 – Check New Variant-Wise Prices
Tata Punch prices have increased by up to Rs 7,000 across petrol, CNG and AMT variants. Check the latest variant-wise prices effective July 2026.
Chhavi
Read More

MG Starlight 560 EV Spotted Charging – India Launch On the Cards?
MG Starlight 560 EV has been spotted charging ahead of its India debut. The electric SUV could join the upcoming PHEV version with a claimed 500km range.
Chhavi
Read More

Next-gen Tata Nexon Codenamed ‘Garud’ Set for 2027 Launch
Codenamed "Project Garud," the next-generation Tata Nexon subcompact SUV is expected to make its commercial debut by mid-2027.
Amit Sharma
Read More

Mahindra BE 7 and Vision S SUVs Likely Reveal This August
This August, Mahindra is expected to officially reveal production-ready or near-production versions of two SUVs: the BE 7 (BE.07 Concept) and the Vision S.
Amit Sharma
Read More

Maruti Victoris Price Cut Rs 39000, Discounts up to 90000
The Maruti Suzuki Victoris hybrid variants are available with maximum benefits of up to Rs 90,000. The company has reduced prices of the four variants by 39000
Amit Sharma
Read More

Spinny Partners With JSW MG Motor India to Create Certified Pre-Owned EV Ecosystem
Spinny and JSW MG Motor India have partnered to create a certified pre-owned EV ecosystem with battery checks, warranty support and transparent pricing.
Konica Singh
Read More

Why Mahindra Is Avoiding the Budget EV Segment for Now
Mahindra is focusing on premium electric SUVs instead of budget EVs. Here's why the company is taking a different approach in India's EV market.
Konica Singh
Read More

Volkswagen Sub-4 Metre SUV Launch Timeline – What to Expect from the Kylaq Twin
Volkswagen is set to enter India's sub-4m SUV segment by 2027 with a Kylaq-based model inspired by the Tera. Here's what to expect from the new SUV.
Chhavi
Read More

New Volkswagen Virtus Details Revealed – Design, Features, and More
Volkswagen Virtus facelift gets fresh design, upgraded tech, and new 8-speed automatic. Launch expected by August 2026, price from Rs 12 lakh.
Konica Singh
Read More

Volkswagen's New Compact SUV For India – Nexon & Brezza Rival
Volkswagen is planning to launch a new sub-4 metre SUV by mid-2027. The new compact SUV will be based on the Skoda Kylaq with subtle design changes.
Chhavi
Read More

New Volkswagen ID Polo GTI Clubsport EV in Works
Volkswagen could introduce a hotter ID Polo GTI Clubsport EV with 286hp, sportier handling, and simulated gearshifts. Get more details!
Konica Singh
Read More

New Volkswagen ID Polo EV Revealed With 454 km Range
The Volkswagen ID Polo is available with 37kWh and 52kWh NMC battery packs, coupled with 290Nm front-axle-mounted electric motors.
Amit Sharma
Read More

Top 3 Sedan Facelifts Coming in 2026 – Slavia, Virtus, City
Skoda Slavia, Volkswagen Virtus, and Honda City are getting facelifts in 2026 with new features, updated looks, and improved tech in India.
Konica Singh
Read More

2026 Volkswagen Taigun Full Price List - Assured Buyback Scheme
Available in 11 variants, the 2026 Volkswagen Taigun facelift is priced between Rs 11 lakh and Rs 19.3 lakh, ex-showroom. New assured buyback scheme introduced.
Amit Sharma
Read More

2026 Volkswagen Taigun Full Price List - Assured Buyback Scheme
Available in 11 variants, the 2026 Volkswagen Taigun facelift is priced between Rs 11 lakh and Rs 19.3 lakh, ex-showroom. New assured buyback scheme introduced.
Amit Sharma
Read More

2026 Volkswagen Taigun Facelift Vs Old – Design, Features & Gearbox Changes Explained
The new 2026 Volkswagen Taigun facelift has recently made its India debut with refreshed styling, more features and a new 8-speed automatic transmission.
Chhavi
Read More

Is the Taigun Facelift Worth It? Old vs New Compared
Volkswagen Taigun facelift vs old model compared. Check design, features, interior updates, new gearbox and expected price in India.
Konica Singh
Read More

New Taigun Facelift – Booking Status, Deliveries and Price Reveal Soon
Volkswagen Taigun facelift revealed. Booking status, delivery timeline and price announcement expected soon in India. Check out more details!
Konica Singh
Read More

Volkswagen Taigun Facelift Revealed – New Features, Design and Gearbox Updates
Volkswagen Taigun facelift revealed in India with new design, features and 8-speed automatic gearbox. Prices to be announced soon.
Konica Singh
Read More

Volkswagen Taigun Facelift - Final Details Before Launch
Volkswagen Taigun facelift to debut on April 9, 2026. Final details on design, features, colours, engine and expected price.
Konica Singh
Read More

2026 Volkswagen Taigun Facelift Price Release Tomorrow
Volkswagen has already released the exterior images of the new Taigun, which shows the key changes; however, the interiors will be revealed at the tie of the l
Amit Sharma
Read More
All Over India
Stay Updated, Pay Less
Choose the Right Car
Multiple Finance Options
Monday - Saturday
10:00am - 6:30pm
+91 7947722777, +91 7479000444, +91 9311718549
contact@carlelo.com