VW reveals third model to be produced at Kariega

14th March 2025 By: Irma Venter - Creamer Media Senior Deputy Editor

German carmaker Volkswagen has lifted the veil on its new, compact sports-utility vehicle (SUV) that will be built in South Africa from 2027, as part of a R4-billion investment in the Kariega plant, in the Eastern Cape.

The third model, called the Tera in Brazil, will be manufactured on the same production line as the Polo and the Polo Vivo.

Volkswagen Brazil led the design and development of the new SUV.

However, Volkswagen Group Africa’s engineering team collaborated with its Brazilian counterpart to adapt the new model to local and continental requirements, such as the development of a right-hand-drive version.

It is highly likely that the South African equivalent of the Tera will be Volkswagen's most affordable SUV in the local market.