The cheapest VW SUV in South Africa right now – and the one that will replace it

The cheapest VW SUV you can buy in South Africa right now is the R400,000 T-Cross, though this won’t be the case for much longer.

This is not to say that the T-Cross is going anywhere, but rather that Volkswagen is working on a new, smaller, and, most importantly, cheaper crossover that will slot below the T-Cross when it eventually makes its debut in South Africa.

A lot to be excited for

VW officially unveiled the new Tera crossover to the world earlier this month, which is the carmaker’s smallest SUV to date.

The Tera is the company’s attempt to regain market share in the entry-level segment, which it has been steadily losing to cheaper models from Asian brands, particularly those from India and China.

Case in point is the fact that VW’s current “starter” SUV – the T-Cross – currently retails for a minimum of R399,900 following a recent update.

As a point of reference, most South Africans can only afford a car that costs less than R300,000, provided they stick to guidelines outlined by financial experts and don’t take on a massive amount of debt.

The T-Cross is obviously well above this bracket, which is why consumers have been turning to options like the Indian-sourced Suzuki Fronx (R298,900), or the Chinese Chery Tiggo 4 Pro (R269,900).

Enter the Tera, which will go head-to-head with these Asian competitors when it launches in South Africa.

Admittedly, it will still be quite a wait, as the crossover is only expected to appear in late 2026 or 2027.

There’s a good reason for the delay, however, as the Tera will be built right here in South Africa.

The Tera shares a platform with the Polo hatchback, and the Polo just so happens to be assembled at the carmaker’s factory in Kariega in the Eastern Cape.

Consequently, Volkswagen plans to add a new assembly line to produce the Tera, which will be the third model made at the site alongside the Polo and Polo Vivo.

Of course, this will take time to accomplish, which is why the crossover is only expected to start rolling off the factory floor towards the end of next year.

One important thing to note is that the Tera will actually be called something else when it arrives in South Africa, as this is the name it uses in Latin American markets.

However, since VW has yet to reveal what its local name will be, the crossover will continue to be referred to as the Tera for the time being to avoid confusion.

Volkswagen hasn’t shared too many details on its new creation just yet, though it did confirm that it will ship with a 1.0-litre petrol (TSI) engine.

Presumably, this will be the same block used by the Polo, which produces 70kW and 175Nm.

There’s also a more powerful version of this drivetrain that generates 85kW and 200Nm, but considering that the whole point of the Tera is to be a budget-friendly model, it’s possible that this option won’t be available at launch.

The crossover’s size should also be similar to the Polo though, based on the images shown thus far, its styling seems to be more reminiscent of a mini Tiguan or Taigo.

The South African equipment list will only be revealed closer to launch, but the Latin American units appear to have a digital driver display, a large infotainment screen, a multifunction steering wheel, automatic climate control, and a wireless charging pad.

The real question is, of course, its price tag, which remains a mystery, but it’s likely it will fall somewhere in the R300,000-to-R400,000 bracket if it wishes to compete with South Africa’s other budget SUVs.