Germany's Volkswagen will make a play for mainstream plug-in hybrid share with new Tiguan and Tayron powertrains arriving next year.
Family Cars
Volkswagen Australia has confirmed additional plug-in hybrid electric vehicles (PHEVs) will start arriving in local showrooms from 2026, beginning with the Tiguan and Tayron family SUVs.
While VW Australia already has a PHEV in its stable in the form of the top-spec Touareg R, its sporting edge, 340kW/700Nm powertrain, and $133,490 before on-road costs price tag means the top-spec large SUV has limited volume potential.
Likewise, the Multivan plug-in hybrid will also appear in Australian showrooms next year, but the Kia Carnival-rivalling people mover is expected to have a low sales yield.
VW Australia’s PHEV popularity will change from next year however, with the arrival of plug-in versions of the Tiguan and Tayron to take on the likes of the Mitsubishi Outlander, Mazda CX-60, and new-generation Toyota RAV4 in the hot-selling family SUV segment.
Volkswagen Australia Director of Passenger Cars Pier Giorgio Minto told local media the market is ripe for a more affordable PHEV from the brand.
“We have decided to release the PHEV as a powertrain for both Tayron and Tiguan,” Minto said.
“That means for next year we will have an ICE [internal combustion engine] offering, a PHEV offering and a BEV offering [in the same family SUV segment].
“Therefore, we are not only covering in terms of size, different part of the market we are also covering different powertrains and different customer groups as part of that.”
Volkswagen Australia has, in the past, been slow in offering PHEV powertrains Down Under, citing poor fuel quality and the desire to push to full electrification first.
Skoda will also come to the PHEV party in 2026 with plug-in hybrid versions of the Kodiaq and Superb.
It is unclear whether the introduction of the New Vehicle Efficiency Standard (NVES), which will fine brands for breaching ever-tightening fleet emissions targets, has affected Volkswagen’s PHEV outlook.
The European plug-in hybrid version of the Tiguan and Tayron both use a 1.5-litre turbo-petrol four-cylinder engine and single electric motor combination, resulting in an up-to-200kW output.
With a 19.7kWh battery, rated all-electric range on both models on the WLTP standard is up to 120km.
Minto said initial market testing of the new Volkswagen PHEVs so far have been “extremely positive” and are “going well” in the lead up to the launch next year.
As for line-up, Volkswagen Australia Head of Passengers Vehicles Arjun Nidigallu said the PHEV powertrains will be available across varying price points to broaden their appeal.
“[We are] looking at multiple grades, combination of Elegance and R-Line in both Tiguan and Tayron,” Nidigallu said.
“[We want to] cover as much of the SUV landscape as possible, customers of every type and every usage case, we want to cover all the bases.”
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Tung Nguyen has been in the automotive journalism industry for over a decade, cutting his teeth at various publications before finding himself at Drive in 2024. With experience in news, feature, review, and advice writing, as well as video presentation skills, Tung is a do-it-all content creator. Tung’s love of cars first started as a child watching Transformers on Saturday mornings, as well as countless hours on PlayStation’s Gran Turismo, meaning his dream car is a Nissan GT-R, with a Liberty Walk widebody kit, of course.
