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Volkswagen compact SUV India launch in mid-2027

The Skoda Kylaq equivalent could arrive with relatively more features and a new automatic transmission.
2 min read30 Jan '26
Uday SinghUday Singh
5K+ views
Volkswagen compact SUV India launch in mid-2027

Computer-generated illustration.

Volkswagen India is gearing up to launch an all-new compact SUV by mid-2027, sources tell us. While sister brand Skoda already offers the Kylaq in the hotly contested segment, VW itself has no model in this space. The upcoming model is expected to plug that gap; previously, Volkswagen sold the venerable Polo hatchback and Ameo sedan, both of which were under 4 metres in length. Revised GST rates, especially on compact cars, could also help the carmaker price it aggressively.

  1. Brand-specific design elements, GT-Line trims are expected
  2. 1.0 TSI petrol engine most likely to be on offer

As for the current calendar year, Volkswagen will be introducing the standard Tayron, Tayron R-Line, Golf GTI (second batch) and facelifts for the Virtus and Taigun.

2027 Volkswagen compact SUV: Details so far

Design

As with the Volkswagen Taigun and Skoda Kushaq siblings, which share their underpinnings but differ in design, Volkswagen might adopt a badge-engineering strategy for its upcoming compact SUV. VW’s Kylaq equivalent may stand out with a new grille, front and rear lights, bumpers and an outer skin for the tailgate; the interior may also have some differentiation.

Volkswagen compact SUV India launch in mid-2027Skoda Kylaq image used for representation.

Its variant distribution is likely to be different as well. GT Line trims with blacked-out exterior parts could be on offer, too, the sources added. Being the newer offering, the Volkswagen model may launch with more features than the Kylaq, but those could later make their way to the Skoda SUV’s facelift.

Powertrains

Volkswagen compact SUV India launch in mid-2027Skoda Kylaq’s 1-litre turbo-petrol engine image used for representation.

Though unconfirmed, the Kylaq’s 1-litre three-cylinder turbo-petrol engine is the most likely option for the new SUV. Transmission choices can include a 6-speed manual and an 8-speed torque-converter automatic, which recently debuted on the Kushaq facelift.

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