Growing to clock 54,850 units in February 2021 as against the sale of 27,273 units in the corresponding month last year, the compact SUV segment has come to include the participation of almost all the manufacturers in the country today. The Kushaq marks the latest entry, and clearly the most exciting in terms of what it has to offer. A part of the segment that arguably is the most trending as far as passenger vehicles are concerned, the Kushaq is indicative of the direction in which the segment of compact SUVs is heading in. It is was until recently led by Maruti Brezza, a compact SUV segment that shares its platform as well as the assembly line with the Toyota Urban Cruiser. Said to have grown at the expense of mid-size sedans (including compact sedans) and premium hatchbacks, the compact SUV segment consists of no less than 11 offerings today. They are proof of the fact that they are not missed by any manufacturer. Overtaking the Maruti Brezza as the most selling compact SUV in April 2021, the Hyundai Venue has demonstrated how manufacturers like Hyundai, which began by selling high-end SUVs like Terracan and Santa Fe in India, are warming up to the trend of compact SUVs that is unique to India. Clearly so, when one understands that the Renault Duster was born out of the highly popular Renault Clio as a cost-effective crossover in Europe. It soon challenged more premium offerings there like the Skoda Yeti. Highlighting Indian automobile buyers’ psyche of cost consciousness, the compact SUVs like Kushaq are highlighting new growth prospects, technologies and features.
Tech and price trends
Considering the starting price of Brezza and Venue at INR 7.39 lakh and INR 6.92 lakh approximately, the Kushaq, at a starting price of Rs.10.5 lakh is certain to appear costly. Zac Hollis, Skoda’s director of Sales, Service & Marketing, has informed through a tweet that even the basic ‘Active’ variant carries a significant additional equipment over its competitors (see the comparison chart). The Kushaq is being offered with a TSI technology engine right at the basic level, he has added. Being offered with a cylinder deactivation technology that shuts two out of the four cylinders by sensing the load (via the accelerator pedal input) to ensure superior fuel efficiency and lower carbon footprint, the Kushaq reflects a technology trend that is taking shape among compact SUVs as new products join the fray. So, if the Renault Duster and one or two other vehicles in the compact SUV segment offer a turbo-petrol engine like the Kushaq does, right at the basic level, a majority offer a MPI engine. The technology trend concerning compact SUVs ironically also highlights a stress on petrol engines. The BSVI emission norms and decreasing price gap between petrol and diesel are said to be the reasons. Presenting the superior drive-ability and fuel efficiency of diesel are the turbo-petrol (also termed as Gasoline Direct Injection) models and variants. In the Kushaq, Skoda has termed the technology coinage as TSI.
If the compact SUV offerings like the Kushaq, Brezza, Toyota Urban Cruiser, Duster and many others highlight a rising trend of petrol only variants in-line with the reasons mentioned above, an amount of technological exploration is on in the area of transmissions. As urban buyers warm up to compact SUVs and make a shift over from sedans and hatchbacks, almost every model being offered on the market is available with an option of an automatic gearbox. The highlight of this trend is the mushrooming of dual-clutch automated transmissions that support sporty and agile driving experience. As the first product to spring from Volkswagen Group’s India 2.0 project (see box), the Kushaq, is available with a choice of the much acclaimed DSG automated transmission. Apart from just one or two vehicles in its segment offering a CVT ‘auto’ transmission, and what could be termed as conventional ‘torque convertor’-based auto-box, many compact SUVs are offering their version of DSG automated transmission by calling them as DCT (Dual-Clutch Transmission). Most basic trims in the segment are offered with a 5- or 6-speed manual transmission.
Feature trends
Almost all the compact SUVs being offered in India are front-wheel drive with the engine and trans-axle located transversely at the front. The only four-wheel drive compact SUV, Duster, has already lost its arrangement to power both the axles. A look at the powertrain arrangement of the compact SUVs and their monocoque body construction, and it will be clear that they could be described as front-wheel hatchbacks with ‘lift-up’ suspension, an appropriate body style, and bigger dia. wheels and higher ground clearance. Most compact SUVs are equipped with McPherson strut suspension at the front and a twist beam axle at the rear. The Kushaq is no exception. It is keen to set itself apart from the Korean, Japanese and homegrown offerings like the Mahindra XUV300 with safety, quality, design and technology, according to Hollis. Offering TSI engines and DSG transmission, which were until now found on more premium offerings, the Kushaq, reflects its technological composition and the fact that it is the first vehicle to roll-out of the India-centric project set up with an investment of Euro-one billion, in its price positioning. The compact SUV with the lowest starting price – the Hyundai Venue at Rs.6.92 lakh approximately, offers a 1.2-litre MPI petrol engine at the basic level. It is mated to a 5-speed manual gearbox.
When it comes to features, none of the compact SUVs on offer, including the Kushaq, is immune to the fact there is a direct bearing of price. The basic variants get what could be termed as ‘essential’ features whereas the top-end variants get a variety of ‘bells and whistles. Put together all the them and they include voice command, LED headlamps and tail lamps, rear view monitor, airbags, ABS and EBD, electronic parking brake, air purifier, start/stop, telematics, sunroof, TPMS, ESC, rear parking sensors, VSM, hill-start assist, cruise control, keyless entry, rear parking camera, touchscreen infotainment system and others. A look at the features offered by the compact SUVs, and a clear trend is evident in terms of technology. This technology pertains to an ability to stay connected with an increasingly smarter use of telematics. Many compact SUVs offer satellite navigation, tracking and connectivity features that are unique to their manufacturers. Ford, for example, offers the SYNC connectivity technology on the EcoSport. What makes it interesting is that a lot of software work relating to the connectivity features and various other functions of these compact SUVs has happened in India. If the Brezza’s local content amounts to 98 percent, that of the Kushaq is 93 percent.
Summing up
Emerging as a hot-bed of style and technology (the Tata Nexon is also available as an electric compact SUV and the MG Hector as a hybrid compact SUV), the trend pertaining to compact SUVs is getting clearer and clearer with every new product introduction. It is underlying quality, safety, comfort, localisation (read as Atmanirbhar Bharat) and an ability to control costs.
Volkswagen UK Appoints Simon Lynch As Fleet Sales Head
- By MT Bureau
- September 23, 2025
Volkswagen UK has appointed Simon Lynch to the position of Head of Fleet Sales, effective 8 December 2025. This appointment finalises a recent restructuring of the UK team, which also includes Kevin Rendell assuming responsibility for Network Sales and Owen Shepherd moving to become Head of Product and Planning.
Lynch joins from his current role as Head of Aftersales Retailer Operations at Volkswagen Group UK. Since first joining Volkswagen Group UK in 2006, he has built a comprehensive background, holding various positions in finance, network risk, product marketing and sales, including a prior role as Head of Aftersales for Škoda.
Rod McLeod, Director, Volkswagen UK, said, “I am pleased to welcome Simon to the Volkswagen UK team and to complete my leadership team reshuffle. The next few years will be especially exciting for Volkswagen, with the launches of the ID. Polo and new T-Roc, and fleet customers are more important than ever to our brand evolution. I’m looking forward to leading the new team into 2026 and beyond.”
Lynch said, “I’m looking forward to returning to the Volkswagen brand and heading up the Fleet Sales team. Both the brand and the fleet market are in an exciting phase of change, with electrification, digitalisation and the way people buy and use cars all evolving at pace. Volkswagen has a fantastic team and I’m delighted to be playing my part in developing the UK’s best-selling brand.”
Volkswagen Group UK Appoints Catherine Baker To Board Of Management As Director Of Aftersales
- By MT Bureau
- September 23, 2025
Volkswagen Group UK has announced the appointment of Catherine Baker to its Board of Management as the new Director of One Aftersales. She will be taking over from Sylvain Charbonnier, who is leaving the UK after a four-year tenure to assume a new position within the global Volkswagen Group.
Bringing three decades of automotive industry expertise to the role, Baker has a strong commercial and strategic background. She originally joined the UK division in 2018 and has since occupied several senior positions, including her most recent role as Head of Group Parts Operations. Her career prior to Volkswagen included experience at Mercedes-Benz. Baker is also recognised as an influential advocate for diversity and inclusion within the company.
In her new capacity, she will lead the One Aftersales division, which manages all post-sale activities for the Group's five brands: SEAT, CUPRA, Škoda, Volkswagen Passenger Cars and Volkswagen Commercial Vehicles. The department’s responsibilities extend beyond daily service operations to encompass business development, the parts supply chain and technical support functions.
Damien O’Sullivan, Managing Director, Volkswagen Group UK, said, “I’m delighted to welcome Catherine to the Board and look forward to working with her in developing the next generation of aftersales propositions. I’d like to thank Sylvain for his considerable contribution and wish him well for his future in the Volkswagen Group.”
Baker said, “I’m excited to be joining the board of management at such a pivotal time. The move to electrification and digitalisation as well as evolving consumer expectations are changing the way we do business and look after our customers. I’m looking forward to taking over from Sylvain and leading the One Aftersales team into the next decade.”
BMW To Open Bookings For MINI John Cooper Works Countryman ALL4 On September 22
- By MT Bureau
- September 19, 2025
MINI India, part of the German luxury brand BMW Group, has announced that it will open the pre-launch bookings for the all-new MINI John Cooper Works Countryman ALL4 on 22 September 2025.
The MINI John Cooper Works models are known for their exhilarating performance. The Countryman ALL4 will come with a 2.0-litre four-cylinder TwinPower Turbo engine. Thanks to its all-wheel drive system, the new MINI JCW Countryman ALL4 is also very capable off the road and will be launched in India on 14 October 2025.
At present, the company has set up 11 authorised MINI dealerships in India, including Bird Automotive (Delhi & Gurugram), Bavaria Motors (Pune), EVM Autokraft (Kochi), Gallops Autohaus (Ahmedabad), Infinity Cars (Mumbai), Krishna Automobiles (Chandigarh), KUN Exclusive (Chennai), KUN Exclusive (Hyderabad), KUN Exclusive (Bengaluru) and OSL Prestige (Kolkata).
India A Key Contributor To Hyundai’s Future Roadmap
- By MT Bureau
- September 19, 2025
South Korean auto major Hyundai Motor Company is pursuing an ambitious and meticulously planned global expansion strategy, with the ultimate goal of achieving a 2030 sales target of 5.55 million units.
Jose Munoz, CEO, Hyundai Motor Company, speaking at the company’s 2025 Investors Day event shared that this isn't just ‘wishful thinking’ but is ‘based on approved product launches, plan capacity expansions and market entry strategies already in motion’. The company's strength lies in its ‘balanced and diversified global portfolio’, with strong operations across Korea, Europe India and other emerging markets.
Munoz, emphasised that while North America remains the largest and most strategically important market, ‘each market is contributing meaningfully to our performance’.
A cornerstone of this strategy is the significant investment and focus on India. Hyundai is not just looking to increase sales, but to solidify its manufacturing and market leadership in the region. Munoz revealed that Hyundai is accelerating its global production capacity, with plans to add up to 1.2 million additional units worldwide by 2030. A key part of this is the new plant in Pune, India, which ‘will open later this year and grow to produce 250,000 units,’ bringing Hyundai's total production capacity in India to over 1 million units.
The Pune facility is a strategic move, designed to serve ‘as a strategic hub for both domestic demand and exports to emerging markets’. The plant will also be a ‘smart factory’ with flexible multi-model production, showcasing Hyundai's advanced vision for manufacturing.
The auto major also highlighted the profitability of its Indian operations. “While most OEMs struggle because it's extremely competitive market, Hyundai is one of the most profitable companies in India much better profitability than the leaders and we remain the number 2 player," said Munoz.
In addition to manufacturing, Hyundai is tailoring its product offerings for the Indian market. The company is proud to launch ‘the country's first EV designed specifically for Indian drivers with a localised supply chain’. This exemplifies Hyundai's commitment to localised operations and delivering what each market truly wants.
He noted that in 12 key markets, including India, Hyundai ranks among the top three automotive brands.
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