The compact SUV segment in India is set for a major transformation. From refreshed internal combustion engine (ICE) models to next-generation electric vehicles (EVs) and hybrids, automakers are preparing an exciting lineup for 2025–2027. These upcoming models promise cutting-edge design, technology, and sustainability — catering to India’s evolving automotive landscape.
1. Tata Punch Facelift
The Tata Punch, one of India’s most popular sub-compact SUVs, is set to receive a facelift in mid-2025. The new version will likely adopt design elements from the Punch EV, including a sleeker front fascia, new alloy wheel designs, and a larger infotainment screen.
Enhanced safety, updated cabin materials, and added connectivity features are also expected. This update aims to strengthen Punch’s dominance in the under-₹10 lakh SUV category.
2. Next-Gen Tata Nexon
The Nexon, Tata’s best-selling compact SUV, will soon enter a new generation. The upcoming model is expected to bring an all-new platform, modernized design, and more powerful, fuel-efficient engines — including hybrid and electric variants.
With improved ride quality, enhanced ADAS safety features, and premium interiors, the next-gen Nexon will cater to both tech-savvy and eco-conscious buyers.
3. Hyundai Compact EV
Hyundai is working on an all-new compact electric SUV positioned below the Creta EV. The vehicle will likely feature a modern, futuristic design with a range of around 350–400 km on a single charge.
It’s expected to be a mass-market EV, offering fast charging, regenerative braking, and Hyundai’s latest connected car tech. This SUV will strengthen Hyundai’s EV portfolio and make electric mobility more accessible to Indian buyers.
4. Tata Scarlet
Tata Motors is developing a brand-new compact SUV, internally codenamed “Scarlet”, which will slot between the Punch and Nexon. The SUV will feature a rugged yet youthful design with a boxy stance and SUV-inspired proportions.
Powertrain options may include turbo-petrol engines and possibly hybrid or EV versions later. Launch is expected in late 2026, and it is likely to target younger, style-focused buyers who want something sportier than the Punch.
5. Kia Syros EV
Kia’s upcoming Syros EV is expected to debut in 2026 as a futuristic and affordable compact electric SUV. It will likely offer two battery pack options with an estimated range of 300–400 km.
Built on Kia’s global EV architecture, the Syros EV will feature minimalist interiors, advanced connectivity, and ADAS Level 2 capabilities. Positioned around ₹14–16 lakh (ex-showroom), it aims to compete directly with the Tata Nexon EV and Mahindra XUV 3XO EV.
6. Maruti Suzuki Micro SUV (Y43)
Maruti Suzuki is preparing a micro-SUV, internally known as Y43, which will sit below the Brezza. It will feature SUV-inspired styling, a compact footprint, and efficient petrol and CNG engine options.
The micro-SUV is expected to be India’s most affordable SUV, offering strong mileage, advanced infotainment, and Maruti’s trusted reliability — perfect for city driving and first-time buyers.
7. Mahindra XUV 3XO EV
Mahindra will soon electrify its successful XUV 3XO compact SUV. The upcoming XUV 3XO EV will be based on the existing ICE model but with distinctive EV styling, including a closed grille and new lighting elements.
It will likely deliver a range of around 350–400 km, fast charging support, and updated interiors. Positioned below the XUV400 EV, it will target buyers seeking an urban-friendly, mid-range electric SUV.
8. Mahindra Vision X
Mahindra’s Vision X concept is a futuristic compact SUV that will form part of its next-gen lineup based on the NU.IQ modular multi-energy platform. Designed for ICE, hybrid, and EV powertrains, the Vision X focuses on aerodynamic styling, digital interfaces, and advanced driver-assistance systems.
Expected to launch by 2027, it represents Mahindra’s evolution toward more global, design-forward, and tech-integrated vehicles.
9. Mahindra Vision S
Unveiled alongside the Vision X, the Mahindra Vision S will be a more premium SUV, blending practicality with innovation. Built on the same NU.IQ platform, it will support multiple powertrains, from internal combustion to full-electric options.
It will feature a spacious cabin, futuristic dashboard layout, and enhanced safety features. Launch is expected around 2026–2027.
10. Volkswagen ID.CROSS Concept
The Volkswagen ID.CROSS is a compact electric crossover concept that previews VW’s future EV design for India. With its bold exterior, advanced aerodynamics, and sustainable materials, it hints at a premium compact EV that could enter production soon.
Expected features include a range of 450 km, fast charging capability, and Volkswagen’s renowned build quality. This model could redefine the premium EV compact SUV segment in India.
Key Trends and Buyer Insights
- Powertrain Variety: From conventional ICE models to next-gen EVs and hybrids, buyers will soon enjoy a wider range of options.
- Affordable Electrification: Brands like Tata, Mahindra, and Hyundai are focusing on compact, value-oriented EVs.
- Tech and Safety: Expect more connected features, ADAS systems, and digital cockpits across all price segments.
- Design Evolution: Boxier, bold designs (Tata Scarlet, Vision X) signal a shift toward rugged urban styling.
- Hybrid Growth: Several brands are preparing mild- or strong-hybrid systems to balance performance and efficiency.
Final Thoughts
India’s compact SUV market is about to get a power-packed upgrade. Whether you prefer the punchy feel of a petrol engine, the economy of a hybrid, or the silent power of an EV — the next two years will bring something for everyone.
From Tata’s innovations to Mahindra’s futuristic Vision series, and from Hyundai’s compact EV to Volkswagen’s global design language — the future of mobility in India looks smarter, cleaner, and more exciting than ever.
