About us

Park+ for Business

Valet Services

FASTag

Vehicle Owner Details

E-Challan

New Cars

Car Insurance

Car Loan

Personal Loan

Home >
Car News >
Is Vw Tera Likely To Land In The Indian Market

Is VW Tera likely to land in the Indian Market?

The subcompact SUV segment has become increasingly competitive, with top contenders like the Tata Nexon, Maruti Suzuki Brezza, Fronx, Kia Sonet, and Mahindra XUV300 dominating the market. These models continue to rake in impressive sales volumes for their respective brands, making the segment highly lucrative.

Following the success of the Skoda Kylaq, Skoda’s parent company, Volkswagen, has taken notice and is now preparing to enter the fray with its own subcompact SUV, the Volkswagen Tera.

Volkswagen Tera: The Smallest SUV in VW's Global Lineup

Initially, Volkswagen didn’t have any immediate plans to enter the subcompact SUV segment, but with the Skoda Kylaq making waves, the German carmaker has reportedly had a change of heart. The Volkswagen Tera is the brand's response to the growing demand for sub-4m SUVs, and it is poised to become the smallest SUV in Volkswagen's global lineup.

The Tera made its debut at Rock in Rio in Rio de Janeiro in a camouflaged form earlier in September 2024. Since then, the SUV has been teased several times on the brand’s official website, with Volkswagen revealing its name and confirming that it will cater to a new segment. The Tera is expected to be under 4 meters in length, positioning it as an ideal rival to another subcompact SUVs, including the Skoda Kylaq. Production will take place at Volkswagen's Taubaté-based São Bernardo do Campo plant in Brazil, with an official release planned for 2025.

Design and Features of the Volkswagen Tera

The Tera will feature a design language reminiscent of the Volkswagen Taigun, with a sleek and contemporary look. The front fascia of the SUV showcases a horizontally slatted grille, accentuated by chrome trim, with sleek projector LED headlights flanking the grille. The round VW badge takes center stage on the front, making it easily identifiable as part of Volkswagen’s lineup.

At the rear, the connected LED taillamps give the Tera a modern, cohesive look, with the “TERA” branding prominently displayed on the tailgate. The rear design mirrors that of the Taigun, providing a clean and stylish finish that aligns with the brand's signature aesthetic.

Will the Volkswagen Tera Make Its Way to India?

Volkswagen has long been eyeing the Indian market, and recent reports suggest that the Tera could eventually make its debut on Indian roads by 2026. The vehicle will be based on the MQB A0 platform, which also underpins models like the Polo, T-Cross, and Nivus available overseas. For India, however, Volkswagen will need to localize the Tera and adapt it to the MQB A0 IN architecture, which has already been used for models like the Skoda Kushaq and Volkswagen Taigun.

Given the success of these vehicles in India, it seems highly probable that the Tera will share a similar powertrain to its Skoda Kylaq cousin. The Tera will likely be powered by a 1.0-litre, three-cylinder turbocharged petrol engine, producing 114 bhp and 175 Nm of peak torque. It will be available with a choice of 6-speed manual or 6-speed torque converter automatic transmissions, ensuring smooth and efficient performance for Indian buyers.

Tera vs. Kylaq: A Potential Rivalry in the Subcompact SUV Segment

Once it arrives in India, the Volkswagen Tera will likely go head-to-head with the Skoda Kylaq in the growing subcompact SUV market. Both vehicles will share similar underpinnings, which could lead to competitive pricing and features. The Tera's sleek design, modern features, and efficient powertrain will make it a strong competitor to the Kylaq, offering Indian consumers another exciting option in this highly competitive segment.

With both Volkswagen and Skoda ramping up their presence in the subcompact SUV market, the future looks bright for compact SUV enthusiasts, particularly those in India, who will benefit from a wider selection of vehicles in this segment.

Also Read:

  1. What to know about Toyota Taisor Limited Edition?

  2. Citroen Launches Aircross Explorer Edition: A Feature-Rich 7-Seater SUV with a Spirit of Adventure Starting at Rs 8.49 Lakh

  3. The much awaited Skoda Kylaq has stepped into Indian Markets @ INR 7.89 Lakhs

Latest News

Testing of the Next-Gen Honda HR-V with a New Hybrid Engine Before Worldwide Debut

Third-Generation Hyundai Creta Designed with a Vibrant Nexo Inspiration

Skoda Slavia Facelift Spied Testing with New Features and Design

Mahindra XUV 7XO Waiting Period Increases to 52 Weeks for Certain Models

MG Majestor To Launch in India Following Middle East Debut as Rakan

Mercedes-Benz CLA EV Verified for April 2026 Launch in India

Introduced in India, the BMW X3 30 xDrive M Sport Pro has superior features and more power

Volkswagen Cancels Polo’s India Comeback, Plans New Sub-4m SUV Instead

Maruti Suzuki Confirms February Launch of New e-Vitara Electric SUV

Union Budget 2026-2027: What It Means for Indian Automobile Industry and Consumers

Car Sales Report for January 2026: JSW MG, Kia, and Tata Motors Set Records

Auto highlights of the Week: Renault Duster Returns, Scorpio N Facelift Spied, VW Tayron Unveiled

2026 Mercedes-Benz S-Class Facelift Unveiled with New Design, Technology, and Powertrain Improvements

2026 Hyundai Exter Facelift Spied Ahead of Expected March Launch

Toyota Corolla Cross Receives a 2-Star Safety Rating in the Most Recent International NCAP Test

2026 Hyundai Bayon Spied Testing in Snow: The Formation of a New Fronx Rival

Mahindra Vision S Diesel Automatic Mid Variant with Panoramic Sunroof Spotted

Skoda Kylaq Reaches India's 50,000 Unit Production Mark

2027 Hyundai Creta Seen During Testing: New Style, Hybrid Technology, and More Improvements to Come

Pre-bookings for the BMW X3 30 xDrive Open Before its February Launch in India

High-end 7-seat SUV with AWD, Volkswagen Tayron R-Line Unveiled in India

2026 Mahindra Scorpio N Facelift Gets Major Updates

Citroen Aircross X Prices Hiked by Up to 45,000 for Select Variants

Skoda Kylaq Prices Revised in India for Select Variants in India

Toyota Urban Cruiser Hyryder Tech Package Launched at Rs. 29,499

Explore Year End Offers

Quick Links
Contact UsBlogsSBI FASTag RechargeTelangana ChallanTech BlogsValet ServicesBug bountyFASTag Annual PassCar NewsCompare CarsCar DealersBoom BarriersComprehensive car insurance
Products
New CarsCar InsuranceE ChallanFASTagParking SolutionsFuel PriceRTOPersonal LoanPersonal Loan EMI CalculatorVehicle Owner DetailsCar Insurance CalculatorCar Insurance CheckThird party car insurance
Reach us
For support: [email protected]
For Business: [email protected]
Unitech Cyber Park, 5th Floor, Tower A, Sec-39, Gurugram, Haryana 122022
Download Park+ app

Stay on the top of your car game with Park+. Sit back and relax while we take care of your car-related needs, all in one place.

10 Million+
Downloads
footer_separator_img
50 Million+
FASTag Recharges
footer_separator_img
1 Million+
Challans Resolved
google play
app store
© 2026 Park+. All rights reserved
Terms & Conditions | Privacy Policy | Site Map