Volkswagen Australia has shut down the idea of bringing electrified powertrains for the new Tiguan, despite the model being offered with mild- and plug-in hybrid (PHEV) systems overseas.
This latest confirmation follows the German brand saying PHEV versions of the Golf and Tiguan were a strong chance for Australia as far back as 2022, though it subsequently said in 2023 the Tiguan eHybrid PHEV variant wouldn’t be sold locally.
When asked by CarExpert why mild-hybrid and PHEV Tiguans were unlikely to make their way here, Volkswagen Australia head of product Arjun Nidigallu said it was because these powertrains wouldn’t fit customers’ expectations for the SUV.
“From a product perspective, we look at the reasons why people buy medium SUVs in general, but we also look at the reasons why people buy Tiguan,” he said.
“When we look at the matrix on that in terms of the demographics, who’s buying it, why they’re buying it, all of that data points towards an efficient, fun to drive car that’s really engaging.”
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The Australian-market Tiguan is only available with three petrol engines, despite its mid-size competitors fielding varying degrees of electrification including PHEV powertrains (Mitsubishi Outlander, BYD Sealion 6) and conventional hybrid systems (Toyota RAV4, Honda CR-V).
Instead, Mr Nidigallu says “alternative powertrains” are available with other Volkswagen models, like the new ID.4 and ID.5 electric vehicles (EVs).
“From an opportunity perspective, I think if people are very keen to buy an alternative powertrain, we can easily offer them our very compelling ID.4 Pro, which, for the price point and for the range that you get and the features in that car, is really difficult to find faults in,” Mr Nidigallu told CarExpert.
“So our approach is to keep the Tiguan identity intact and keep our Tiguan customers happy, but at the same time not lose those opportunities and use the ID.4 for that.”
Mr Nidigallu added that Volkswagen Australia wasn’t completely against the idea of bringing a Tiguan PHEV here, and maintained that there could still be opportunities with that powertrain.
“We know there is a PHEV in the overseas market, in Tiguan … we continue to investigate and the opportune time in the life cycle that it could be a possibility for us,” he said.
As it stands, Volkswagen only has only PHEV on sale in Australia: the top-spec Touareg R SUV, priced at $133,490 before on-roads. That’s despite Volkswagen offering eHybrid versions of the Golf, Tiguan, Passat, and non-R Touareg in Europe.
The German brand is gearing up to launch the three-row Tayron SUV in Australia later this year, which will serve as a replacement for the Tiguan Allspace. Three petrol engines will be available: the 110TSI, 150TSI, and 195TSI four-cylinders, matching the Tiguan’s lineup.
When asked whether the introduction of a new nameplate presented an opportunity to introduce new-to-Australia powertrains, Mr Nidigallu again suggested they wouldn’t align with the Tayron’s projected customer base.
“We continue to investigate every powertrain in every lineup. Tayron is going to be a really different car for us, it’s a different nameplate, and just like the Tiguan, we’re targeting a specific customer as well, so it needs to align with that,” he told CarExpert.
“We’ll continue to investigate, but there’s no plans for PHEV at the moment for us.”
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