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Volkswagen Touareg: Flagship SUV on the chopping block – report

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After nearly two and a half decades on sale, the Volkswagen Touareg may cease to exist in the very near future, according to a new report out of the UK.

Autocar says ‘insiders’ have told the publication that production of the German brand’s luxury SUV will cease in 2026, leaving the new Tayron SUV to fly the flag at the top of its crossover lineup in Europe and the UK, and likely Australia.

The Touareg first went on sale in 2002, developed alongside the original Porsche Cayenne and Audi Q7. Like the Phaeton limousine, the Touareg elevated VW into the luxury classes to compete with its own subsidiaries as well as the likes of BMW and Mercedes-Benz.

Now in its third generation, the latest Touareg remains closely related to its premium-badged cousins, and also shares DNA with high-end SUVs like the Bentley Bentayga and Lamborghini Urus.

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Above: All three generations of Volkswagen Touareg

According to Autocar’s report, changing priorities at Volkswagen is likely a big driver of the German giant’s decision to kill off its luxury SUV.

Further, the new Tayron costs less and has broader appeal – in part due to its available seven seats which has long been a Touareg criticism.

Should the claims be true, the Touareg name could be retired after a 24-year run. CarExpert has reached out to Volkswagen Australia for comment, and is yet to receive a response.

The British publication also claims the all-electric ID.5 coupe SUV also won’t make it beyond its first generation, and will likely be discontinued in 2027. Autocar’s report says this is part of VW’s move to “streamline the range and concentrate on high-volume models”.

It’s understood the ID.5 hasn’t taken off in the Chinese market in the way the German brand had hoped, and has been largely overshadowed by its more practical ID.4 sibling in Europe. It also was never sold in the States like the ID.4, either.

Finally, Autocar’s insider-sourced report claims that previously reported plans for a sub-ID. Buzz electric MPV from the Volkswagen brand has likely been shelved, meaning an EV successor for the European-market Touran is on ice.

“Sources close to Volkswagen CEO Thomas Schäfer say,” however, that while such a vehicle “is not a priority” for the VW brand, it could instead be introduced by Czech subsidiary Skoda – an all-electric Roomster, perhaps?

“We looked at it, but the market is demanding crossovers and SUV models,” the insider source told Autocar. “This is the direction we ultimately decided to go in.”

Another reported reason, in part, is due to engineering capacity at Volkswagen’s Braunschweig R&D centre in Germany being tied up with more important models like the upcoming electric Golf.

Stay tuned to CarExpert for all the latest, and let us know your thoughts in the comments

MORE: Explore the Volkswagen ID.5 showroom

MORE: Explore the Volkswagen Touareg showroom

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