VW Introduces Tera 2026, Its 7th SUV in Mexico

Volkswagen will launch its new subcompact SUV, the Tera 2026, in Mexico this September. Manufactured in Brazil, the model will be offered in three trims, with prices ranging from MX$386,990 (US$22,764.12) to MX$466,990. The Tera will serve as the entry-level model in Volkswagen’s light off-road SUV portfolio, marking the brand’s seventh SUV offering in the country.

“The SUV segment has become the largest in Mexico, surpassing sedans as the preferred choice for consumers. Since 2023, SUVs account for 36% of new vehicle sales,” said Carlos Henry, brand director, Volkswagen. The Tera will compete with models such as the Renault Kardian, Nissan Magnite, Toyota Raize, Kia Sonet, and Mazda CX-30.

Arnulfo González, Volkswagen’s Manager of Product, Pricing, and Planning, explained that the name “Tera” conveys “boldness, connection, innovation, and technology.” The design, led by José Carlos Pavone, Head of Design, Volkswagen Americas, incorporates signature brand elements, including LED headlights with a split light signature and dynamic rear lights featuring a “click-clack” effect.

Built on the MQB platform, the Tera features structural components made with ultra-high-strength steel. It earned five stars in the 2025 Latin NCAP safety tests for both adult and child protection.

The SUV will be offered in three trims:

• Trendline (base): 1.6-liter four-cylinder engine with 109 hp and a five-speed manual transmission. Features include six airbags, rear parking sensors, cruise control, and a fatigue detection system.

• Comfortline (mid-range): 1.0-liter three-cylinder turbo engine with 99 hp and a six-speed Tiptronic transmission. Adds 16-inch alloy wheels and adaptive cruise control.

• Highline (top-tier): Same engine and transmission as Comfortline, with additional equipment including a rearview camera, Lane Assist, blind-spot monitoring with rear cross-traffic alert, wireless charger, front and rear parking sensors, and 17-inch wheels. Fuel economy is around 17 km/l.

The Tera will be available in six colors and includes a five-year warranty, roadside assistance, and insurance coverage for auto parts theft.