Volkswagen confirms plans to launch a new sub-4-metre SUV for India in 2027 and it is the first b-segment SUV of the brand. It will be placed below the Taigun, beginning at approximately ₹12 lakh. This new model of VW is a direct competitor of Tata Nexon, Maruti Brezza, Hyundai Venue and Kia Sonet, while avoiding a segment that ‘actually moves volume’. It will share most of its mechanical components with the Skoda Kyiaq, but Volkswagen might equip it with a different bodywork, interior and driving feel.
Scheduled to be launched in November 2024 and opened for bookings that December, Skoda’s Kyla crossed 10,000 bookings within its first ten days on sale. That figure is a strong response that changed Volkswagen Group India’s approach. After discontinuation of Polo and Ameo, VW retreated from the sub-4-metre segment.
This is what we currently know about the next compact VW SUV – powertrain, size, features and where it will fit within the VW lineup.
Why Volkswagen Is Finally Entering the Sub-4-Metre Race
The sub-4-metre SUV segment is where the volume is in India. The tax regime keeps these compact SUVs more affordable than their larger counterparts, and vehicles such as Tata Nexon, Maruti Brezza, Hyundai Venue, Kia Sonet and Mahindra XUV 3O off these have been topping the monthly sales charts consistently.Volkswagen had this one idled for years, with the Taigun and Virtus serving as its points of entry instead and both clocking in way above what most first-time SUV buyers in India actually pay.
That strategy capped how many people could realistically consider a Volkswagen. The new SUV changes that by sitting below the Taigun, giving VW its first genuine mass-market play in the country since the Polo era. It also allows the Skoda Auto Volkswagen India plant in Chakan to run at a higher capacity as the car will share tooling and components with the Kylacq and will not require a separate production line.
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Volkswagen Expected Engine, Dimensions and Performance
Volkswagen has yet to announce a name, styling images or a final spec sheet, so consider some of this an educated guess as to what’s confirmed versus what’s probable.
The SUV is based on the MQB-A0-IN platform, and will be produced in India. It targets its launch in 2027, with most reports indicating a mid-year launch rather than a January or Q1 date. It’s also confirmed to sit below the Taigun as VW’s new entry-level SUV in India.
Power will come from the familiar 1.0-litre TSI turbo-petrol three-cylinder engine, producing 115 PS and 178 Nm of torque — the same unit working in the Kylaq, Kushaq, and Taigun today. A 6-speed manual gearbox is the expected base option. Volkswagen may fit an 8-speed torque converter automatic rather than carrying over the Kylaq’s 6-speed unit, which would be a genuine point of differentiation.
Dimensions should land close to the Kylaq’s 3,995mm length and 2,566mm wheelbase, since staying under 4 metres is the entire point of the tax bracket this car is built for. The design is rather than a straight Kylaq clone, Volkswagen is expected to give the car a distinct front and rear, inspired from the Volkswagen Tera, a related model already sold in Brazil.
Expect a new grille, revised bumpers, and a different lighting signature, following the same playbook VW used to differentiate the Taigun from the Kushaq.
Pricing is expected in the range between ₹9-16 lakh on-road Mumbai range, but that’s a media estimate, not a Volkswagen number, and on-road figures swing by state due to registration and road tax. Don’t plan a budget around it yet.
How It Stacks Up Against the Competition
Volkswagen SUV vs Skoda Kylaq
Since both share the MQB-A0-IN platform and, in all likelihood, the same 1.0-litre TSI engine, the Kylaq is your clearest preview of what VW’s new SUV will feel like to drive. The Kylaq measures 3,995 mm in length with a 2,566 mm wheelbase, and its adult occupant safety score of 30.88 out of 32 in Bharat NCAP testing gives an early indication of the safety baseline the VW version should meet or beat.
Where the two are expected to differ is transmission choice and cabin finish, with Volkswagen typically pitching its Group cars as the sportier-driving option compared to Skoda’s more feature-loaded value pitch.
Volkswagen SUV vs Tata Nexon
The Nexon continues to be the benchmark in the segment, based on Tata’s tried and tested X1 platform powered by a 1.2-litre turbo petrol producing 120 PS and a 1.5-litre diesel variant that VW’s petrol-only line-up won’t get. Tata is also selling an electric Nexon, which Volkswagen’s ICE-centric entry couldn’t compete with directly.
What VW brings instead is badge value and a European driving character that Nexon buyers moving up from a hatchback often say they want but can’t get at this price point today.
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Conclusion
Volkswagen’s new sub-4-metre SUV might also enable the brand to tap into India’s largest SUV segment more effectively. With Kylaq already showcasing what the platform can offer, a Volkswagen variant with the familiar TSI engine, unique styling and competitive pricing could possibly pose a real threat to the Nexon, Brezza, Venue and Sonet.
Let’s wait and see how aggressively will VW price and position it when the SUV hits the market in 2027.
