Upcoming Compact SUVs in India to Watch Out For – Hyundai EV, New Nexon, Sonet, Vision S & More
- Team Autopunditz
- 5 hours ago
- 7 min read
India’s compact SUV segment is heading for another major expansion over the next two years. After years of domination by models such as the Tata Nexon, Maruti Suzuki Brezza, Hyundai Venue, Kia Sonet and Mahindra XUV 3XO, manufacturers are now preparing a fresh wave of products spanning petrol, hybrid and fully electric powertrains.
The segment has already witnessed considerable activity in 2026. Maruti Suzuki introduced the updated Brezza in July, while Mahindra expanded the XUV 3XO family with an electric version earlier this year. The next phase will be considerably broader, bringing all-new nameplates alongside new-generation replacements for some established compact SUVs.

Here are eight upcoming compact SUVs that Indian buyers should keep an eye on between late 2026 and 2028.
1. Hyundai Made-for-India Compact Electric SUV
One of Hyundai’s most important future launches for India will be an all-new locally developed electric SUV. Hyundai Motor Company has officially confirmed that India will receive an EV designed specifically for Indian customers, backed by a localised supply chain. The model is expected to arrive in 2027 and will become an important part of Hyundai Motor India’s wider electrification strategy.
The upcoming model is expected to sit towards the affordable end of Hyundai’s EV portfolio, below the Creta Electric. While final technical specifications have not yet been announced, reports suggest Hyundai is targeting the Tata Punch EV and Mahindra XUV 3XO EV end of the market.
A practical driving range of over 400 km has been reported, although the final battery capacity, certified range and power output remain unconfirmed. Considering Hyundai’s localisation push, the upcoming SUV could emerge as one of the company’s highest-volume electric products in India.
Expected Launch: 2027
Powertrain: Electric
Likely Rivals: Tata Punch EV, Mahindra XUV 3XO EV
2. Next-Generation Tata Nexon
The Nexon has been one of the most important products in Tata Motors’ passenger vehicle portfolio, and work is already underway on its next generation. Internally reported to be codenamed Garud, the new Nexon is expected to arrive sometime in 2027. Reports indicate Tata will extensively re-engineer the existing X1-based architecture rather than move the SUV to a completely unrelated platform.
Expect substantial changes to the exterior design, cabin layout, electronics and feature list. The next-generation model could also deliver better interior packaging and increased cabin space. Powertrain diversity will remain an important Nexon strength. Tata currently offers the SUV with petrol, diesel, CNG and electric propulsion, although the precise engine mix for the next generation will depend on future emission regulations.
An EV derivative is also highly likely given the Nexon EV’s established position in Tata’s electric portfolio. The current Nexon remains hugely important to Tata Motors — the company announced in May 2026 that one million Nexons had already been put on Indian roads.
Expected Launch: 2027
Expected Powertrains: Petrol, CNG and EV; other options to be confirmed
Likely Rivals: Brezza, Venue, Sonet, XUV 3XO
3. Next-Generation Kia Sonet
Kia is also developing the second-generation Sonet.
Test vehicles have already been spotted, indicating development work is well underway ahead of an expected 2027 introduction. One of the biggest reported changes is the adoption of Kia’s newer K1 platform, an architecture also associated with the Syros. The move could help Kia improve structural performance, interior packaging and passenger space compared with the outgoing model.
The new Sonet is likely to retain the upright compact-SUV positioning of the existing vehicle but receive redesigned lighting, bumpers and sheet metal. The interior should receive an equally extensive upgrade, potentially including larger displays, newer connected-car technology and more advanced driver-assistance systems.
Kia has not announced the final engine line-up yet. Considering the popularity of petrol, turbo-petrol and diesel powertrains in the present Sonet, conventional engines are likely to continue playing an important role. The second-generation Sonet will arrive at a time when the segment itself is moving significantly upmarket in technology and safety equipment.
Expected Launch: 2027
Platform: New-generation K1 architecture expected
Likely Rivals: Nexon, Brezza, Venue, XUV 3XO
4. Mahindra Vision S
Among the most interesting upcoming Mahindra products is the production interpretation of the Vision S. The SUV will be based around Mahindra’s new NU_IQ modular architecture, unveiled as a multi-energy platform capable of supporting internal-combustion as well as electric powertrains. Mahindra says the architecture has been engineered around a flat-floor layout, improved cabin space and optimised ride and handling.
The Vision S is expected to adopt a more upright and rugged SUV design than the XUV 3XO. Its eventual positioning could also bridge some of the space between Mahindra’s compact SUV offerings and larger SUVs such as the Scorpio range. Petrol and diesel engines are expected, although final specifications have not yet been officially revealed.
Importantly, Mahindra is expected to show a near-production interpretation of the Vision S around its Independence Day product event in August 2026, bringing the model considerably closer to showrooms.
If Mahindra successfully translates the concept’s proportions into production, the Vision S could become one of the most distinctive additions to the compact/mid-size SUV space.
Expected Production Arrival: 2027
Platform: Mahindra NU_IQ
Expected Powertrains: Petrol and diesel; platform also supports electrification
5. Volkswagen Tera
Volkswagen continues to evaluate opportunities at the lower end of India’s SUV market, and the Tera could finally give the German manufacturer a direct contender in the high-volume compact SUV category.
The international-spec Tera is built around Volkswagen Group’s MQB-A0 architecture. An Indian version, if approved, would logically benefit from the heavily localised MQB-A0-IN ecosystem already supporting the Volkswagen Taigun and Virtus as well as Skoda’s Indian products. Reports indicate an India-spec Tera could arrive around 2027 and potentially share significant components with the Skoda Kylaq.
A 1.0-litre TSI turbo-petrol engine would be the most logical powertrain, paired with manual and automatic transmission options. Volkswagen could position the Tera slightly towards the premium end of the sub-four-metre SUV category, using design, driving dynamics and European branding as differentiators.
However, unlike several other vehicles on this list, Volkswagen has yet to formally announce an Indian launch for the Tera. Its inclusion should therefore be viewed as a strong possibility rather than a confirmed product programme.
Expected Launch: Around 2027, if approved
Expected Engine: 1.0-litre TSI turbo-petrol
Likely Rivals: Kylaq, Sonet, Venue, Brezza, Nexon
6. VinFast VF 3
Vietnamese EV manufacturer VinFast is rapidly expanding its Indian presence and the tiny VF 3 could become one of its most affordable products here. The two-door electric vehicle was showcased to Indian audiences at the Bharat Mobility Global Expo and has subsequently been linked with a 2026 introduction.
In overseas specification, the VF 3 uses an approximately 18.6 kWh battery coupled with a rear-mounted electric motor. Reported output is around 41 PS and 110 Nm, with a claimed driving range of roughly 215 km depending on the applicable test cycle.
Its dimensions and positioning make the VF 3 substantially smaller than conventional compact SUVs such as the Nexon or Brezza. Instead, it would primarily compete with urban electric cars such as the MG Comet EV while offering SUV-inspired styling and increased ground clearance.
VinFast is simultaneously building out its Indian retail infrastructure. By August 2026, the manufacturer had expanded its dealership network to 60 outlets, improving the ecosystem required to support additional models.
Expected Launch: Late 2026/2027Battery: Approximately 18.6 kWhClaimed Range: Around 215 km, overseas specificationLikely Rival: MG Comet EV
7. Renault Bridger
Renault’s upcoming Bridger could be one of the most strategically important vehicles on this list. Previewed in concept form, the Bridger is being developed as a sub-four-metre SUV with India playing a central role in both development and manufacturing.
Production is scheduled to commence in India in 2027, and Renault intends to subsequently export the SUV to developing markets including Africa and the Middle East.
The Bridger will sit below the new-generation Duster and give Renault a direct competitor to the Nexon, Brezza, Sonet and Venue. Its concept previews a particularly upright appearance with squared-off proportions, substantial body cladding and a rugged SUV character.
The powertrain strategy could be particularly interesting. Renault has indicated that petrol, hybrid and electric versions of the architecture are possible, with powertrain availability varying according to market. Reports have also linked the Indian model with a new 1.2-litre turbo-petrol engine and some level of electrification.
For Renault, the Bridger could provide the high-volume product required to rebuild its presence in the Indian passenger-vehicle market.
Expected Launch: By end-2027
Expected Powertrains: Petrol, with hybrid/EV possibilities
Likely Rivals: Nexon, Brezza, Venue, Sonet, XUV 3XO
8. New Honda Compact SUV
Honda Cars India is preparing to return to the sub-four-metre SUV category after a lengthy absence. The Japanese manufacturer has confirmed plans for a new compact SUV for India, with its arrival targeted for 2028.
The upcoming SUV will sit below the Elevate and effectively restore Honda’s presence in the space previously occupied by the WR-V. Detailed specifications remain under wraps, but reports suggest the model could use an architecture derived from the latest Amaze.
A 1.2-litre naturally aspirated petrol engine would therefore be one potential starting point, although Honda will need to consider more powerful and electrified alternatives given how much the segment is expected to evolve by 2028.
Hybrid technology remains particularly interesting. Honda has extensive global experience with petrol-electric powertrains, and stronger hybrid adoption in India could eventually allow the manufacturer to differentiate its compact SUV from turbo-petrol-heavy competitors.
The 2028 timeframe means Honda has more time than most rivals on this list, but it also means the upcoming model will enter an extremely competitive market.
Expected Launch: 2028
Possible Engine: 1.2-litre petrol
Hybrid: Under consideration/reported
Likely Rivals: Brezza, Nexon, Venue, Sonet and future compact SUVs
Upcoming Compact SUVs – Expected Timeline
Model | Expected India Arrival | Powertrain |
VinFast VF 3 | Late 2026/2027 | Electric |
Hyundai Compact EV | 2027 | Electric |
Next-Gen Tata Nexon | 2027 | Petrol/CNG/EV expected |
Next-Gen Kia Sonet | 2027 | Petrol/Diesel expected |
Mahindra Vision S | 2027 | Petrol/Diesel expected |
Volkswagen Tera | Around 2027, if approved | Turbo Petrol |
Renault Bridger | By end-2027 | Petrol/Hybrid/EV possibilities |
Honda Compact SUV | 2028 | Petrol; Hybrid possible |
Compact SUV Battle Set to Intensify
The next two years could fundamentally reshape India’s compact SUV market. While established products such as the Nexon, Brezza, Venue and Sonet will continue evolving, the arrival of completely new vehicles from Renault, Hyundai, Mahindra, Volkswagen, VinFast and Honda should broaden buyer choice considerably.
Electrification is also becoming increasingly important.
Mahindra already sells the XUV 3XO EV, Tata has an established compact-EV portfolio and Hyundai is developing its first India-specific electric SUV. VinFast, meanwhile, is attempting to enter the affordable EV space with the VF 3. At the other end of the spectrum, Renault and potentially Honda could introduce hybrid technology to a segment still dominated by pure petrol, diesel and CNG vehicles.
For buyers, that means the compact SUV category of 2027-28 could look dramatically different from the one we know today — with more brands, more technology and perhaps the widest variety of powertrains ever offered in this segment.


