New Volkswagen Tera SUV Makes Global Debut

Volkswagen has officially unveiled its new subcompact SUV, the Tera, in Brazil. Positioned as the brand’s most affordable SUV, the Tera is built on the MQB A0 platform, similar to the Skoda Kylaq. While an official India launch has yet to be confirmed, the Tera is expected to enter the Indian market in the coming years.

Design and Exterior

The Tera’s design draws inspiration from Volkswagen’s larger models, such as the new-generation Tiguan. The front fascia features sleek LED daytime running lights (DRLs) and a blacked-out honeycomb grille, complemented by sporty air dams. The side profile showcases multi-spoke alloy wheels, a sloping roofline, and black-finished roof rails, enhancing its dynamic appeal. At the rear, the Tera maintains an upright stance with a chunky bumper, roof-mounted spoiler, and sleek LED tail lights, contributing to its sporty character.

Interior and Features

Inside, the Tera’s cabin resembles that of the Kylaq, featuring a similar dashboard and center console layout, along with a freestanding infotainment system. Piano black accents are spread throughout the cabin, adding a premium touch. The dual-tone black and grey theme further complements the Tera’s persona.

Powertrain

While Volkswagen has not officially disclosed the Tera’s powertrain specifications, it is anticipated to offer turbo-petrol and flex-fuel engine options in international markets. For the Indian market, the Tera is expected to be equipped with a 1.0-liter turbo-petrol engine, delivering approximately 115 PS of power and 178 Nm of torque. Transmission options may include a 6-speed manual and a 6-speed automatic torque converter.

Expected Pricing and Competition

In India, the Volkswagen Tera is projected to be priced around ₹8 lakh (ex-showroom), potentially undercutting its sibling, the Skoda Kylaq, by ₹30,000 to ₹50,000. Upon launch, the Tera will compete with models such as the Hyundai Venue, Kia Sonet, Tata Nexon, Mahindra XUV300, and Maruti Brezza.

While Volkswagen has not officially confirmed the Tera’s launch in India, industry expectations suggest a debut sometime in 2026 as a sub-4-meter SUV. The Tera is anticipated to share a similar feature set with the Skoda Kylaq, offering consumers an additional choice in the competitive subcompact SUV segment.