What's the difference?
I don’t think I’m overselling it to say that this is the car that could make or break Tesla in Australia and around the world.
Crazy, right? That seemed impossible not so long ago, back when the brand appeared untouchable. But new competition, largely from China, plus the giant Musk-shaped elefant (it is German for elephant…) in the room, has seen sales and profit plummet.
Just last month, for example, the Tesla Model Y lost its best-seller crown in Australia to BYD, admittedly in the weeks before the new 'Juniper' version arrived.
The point is, a new version of its biggest seller is a Very Big Deal. But have they changed enough, and changed it well enough, to cut through the noise?
We put the cheapest variant, the Tesla Model Y RWD, to the test to find out.
Does the world really need another mid-sized SUV? Cupra reckons so, particularly if the vehicle in question carries a European badge and is engineered by people who 'get' cars and driving.
Of course, by invoking those touchstones, Cupra has perhaps made a rod for its own back. Sure, the European badge thing speaks for itself, but if your point of difference is a driver’s car versus a transport module, then you better bring your dynamic A game.
The Terramar is that A game, says Cupra. In every other way, the Terramar has a big job to do to avoid being buried in the SUV pile-on. And, ironically, being a member of the Volkswagen-Audi family, means the Cupra’s own siblings pose perhaps the biggest threat to gaining some showroom attention.
That said, those same family ties mean Cupra can tap into some worthy tech including modern platforms and cracking engines, all of which are on display here. Of the three Terramar trim levels we’ll see initially, we’ve managed to drive two of them here – the entry-level and the range-topper. And our brief was simple: Can the Cupra Terramar stand tall. And, equally importantly, can it stand out?
Tesla promised wholesale improvements to the Model Y, and this Juniper update delivers where it counts. But with increased, and sometimes cheaper, competition arriving every day, the pressure remains on Tesla to keep the Model Y ahead of the pack.
Creating a model-shared product that’s selling into a hotly contested – and crowded – marketplace is a great way to wind up with something derivative and easily overlooked. But Cupra seems to have managed to avoid that with an end result that is distinctive and has its own character within the VW family. In top-shelf VZ form, the Terramar is an entertaining drive and there’s enough driver involvement for it to be short-listed by anybody who values the journey as much as the destination.
The less powerful entry-level S version, meantime, can’t call on the services of that fabulous 2.0-litre engine and, instead, will possibly have a harder job convincing the masses of its worthiness. The lack of all-wheel drive probably won’t count for as much as the 'missing' 85kW (compared with the VZ) and some would-be buyers might find it hard to reconcile a driver’s SUV with the smaller engine in the S. Inside either variant, though, it’s prime family real estate with the clever rear seating and plenty of space and light inside. The value for money equation is pretty handy, too.
But for all that, you get the sense Cupra will need to shout about the Terramar if it’s to be heard over the general din of this fierce market segment. It would be a real shame if this car became simply a part of that background noise.
Note: CarsGuide attended this event as a guest of the manufacturer with accommodation and meals provided.
We’re not talking massive changes here – more a modernising of the Model Y offering that doesn’t really change the shape or dimensions.
The most noticeable changes outside are the front and rear light bars, spanning the width of both the bonnet and the boot. They’re a nice touch, and seriously soften what many (including me) consider the worst angles of the Model Y. There are also new headlights, a refreshed front bumper and a new look for the alloy wheels.
Inside, it is the absolute definition of pared-back minimalism. In fact, some could argue it’s gone a little bit too far.
There are no physical buttons anywhere but on the steering wheel, and there's just the one stalk, which has the sole function of operating the indicators. Everything else - mirrors, windscreen wipers, headlights etc - are accessed either through the steering wheel, or through the central screen.
And that includes the gear selector, which is now a swipe-down-for-reverse, swipe-up-for-drive function on the central screen. You might love that, but I don't. I'm sure I'd get more used to it, but initially it did nothing but slow down how quickly I could get the car moving.
Helpfully, the central screen is big and very easy use, and logging into Spotify and Apple CarPlay does largely negate the missing phone mirroring – though if the function exists, I couldn't get it to read my incoming texts to me.
Our test car's cabin was black but highlighted with quality-feeling fabric panels in the doors and on the dash, which are then framed by a metallic-feeling mesh, helping the Model Y's cabin feel definitely elevated from the vehicles that came before it.
Depending on which angle you’re looking from, the Terramar has elements of the VW Tiguan and Porsche Macan in the way it sits on the road and in the metal shapes that make up the whole. Interestingly, though, it’s probably genetically closest to the new Audi Q3 alongside which it’s built in Hungary, although there is plenty of new Tiguan in the platform and engineering aspects.
The highlights remain the nth-degree detailing that every current-model Cupra displays, combined with a sensible, practical layout. The detailing extends to what Cupra calls parametric design which, for those with their nerd on, refers to the way the little shapes moulded into the interior fan out and subtly change shape while still continuing the overall pattern.
Think of the way a nautilus shell consists of circular loops but where each one is bigger than the previous. Has car design really come to this? Apparently.
On a more practical level, the sliding rear seat is a master stroke for a vehicle like this one. The two-storey luggage floor is a nice touch, too, although the boot needs to start empty for this to be set up initially. But given Cupra’s place in the scheme of things and its continual hints at cutting-edge technology, you may ask where’s the plug-in hybrid or EV version?
The short answer is production of the plug-in hybrid model starts this week with Australian deliveries due in November this year. And an EV must surely also be on the cards given VW’s announcement that Australia will receive the SUV version of its electric offering, the ID4, and not the hatchback ID3. All of which makes an electric Terramar even more logical. We’ll keep you posted.
The new Model Y stretches 4792mm long, 1982mm wide and 1624mm tall, and the practicality perks of the outgoing model still shine strongly in this new version.
Climb into the backseat and you’ll find a seriously spacious area, and one that feels even bigger and lighter thanks to the completely flat floor and the glass roof.
Even sitting behind my own 175cm driving position, there was ample knee and headroom, and the addition of the 8.0-inch rear screen, which supports two headphone connections, is a clever touch. Gone are the mind-numbing days of staring out the window on long family road trips. Now, kids get access to YouTube, Netflix and a heap of games.
There are also two USB charge points, and a pull-down divider that separates the comfortable rear seats. The door pockets front and rear are sizeable, and cabin storage abounds, including a hugely deep storage bin that separates the front seats.
Open the boot, and remove the shade, and you'll find another fairly massive storage area, including a deep hidden area under the boot floor. But you won't find a spare tyre – instead Tesla offers a 24-hour call-out service for the life of the warranty, where someone will come and repair or replace your tyre, should you have an issue.
Tesla isn't good at detailing specifics about its vehicles, but says you can expect a total 2138 litres of storage space in the Model Y, presumably with the rear seats folded flat and measured to the ceiling.
There’s an awful lot going on inside the Terramar, stating with all that parametric detailing. But the copper-coloured accents are a genuine point of interest and most of the touchpoints are relatively plush as well as looking good.
Given the side profile of the car and its upswept waistline, you might think the interior would be a bit dark and gloomy. There’s certainly plenty of black on show, but the view out is actually great. Even the typical over-the-shoulder blind-spot isn’t really there.
We managed to sample the entry-level S version and the range-topping VZ and, to be honest, the major difference is the cloth-and-vinyl versus leather seating. The former is okay but never threatens to feel high-end, while the leather in the VZ is quite lovely.
There’s only one catch: If you don’t like burgundy leather, you’re out of luck, because that’s all that’s offered. Optional in the S and V variants, the idea of burgundy leather in, say, a blue car sounds awful, but in the flesh, the colour is quite subtle. Classy, even.
There’s a pair of USB charge ports in the front centre console, and another pair in the rear seat. That rear pew also gets its own climate controls (tri-zone) and central air-vents and there are reading lights as well. It also splits 40/20/40 and the centre armrest folds down to include a pair of cup-holders.
But while the rear seat offers plenty of foot and headroom, knee room is a bit tighter. It’s not terrible, but this car won’t necessarily fit families with older, taller teenage kids. Up front, there’s no shortage of space although the centre console feels quite bulky and definitely separates the front-seat occupants.
You can see and feel a bit of Audi ergonomics rubbing off in the Cupra’s touchscreens and customisable layouts and, as always, we’re big fans of having physical buttons on the centre stack for climate control and other important functions.
The luggage area isn’t huge, but is quite deep and the tailgate has a kick-sensor. Bins at each corner of the cargo area keep smaller items under control, but the inky blackness of the trim in this area means it looks like a black hole when you first open it.
So yes, this Model Y RWD is the cheapest way into the Model Y family, listing at $58,900 before on-road costs – exactly $10k cheaper than the Long Range All-Wheel Drive.
That’s a little more than some of its core Chinese rivals, like the XPeng G6 which kicks off at $54,800, and a lot more than vehicles like the Leapmotor C10 and Geely EX5. But you could argue that Tesla has more brand standing than them in Australia, given it has been around for so much longer.
Tesla has also jacked up the included features for this update, with heating and cooling for the front seats, new 19-inch alloy wheel designs, adaptive LED headlights, and a very cool 8.0-inch rear screen that gives backseat riders access to games, YouTube and Netflix.
Tech up front is handled by a 15.4-inch central screen on which you can connect your Spotify or Apple accounts, but there’s no Apple CarPlay and Android Auto. The system pairs with a nine-speaker stereo, and there’s still the best wireless charging pad in the business below the screen.
The Cupra Terramar certainly looks like a premium product and that theme continues when you look at the specification.
The entry-level S version gets standard kit such as paddle shifters, 18-inch alloy wheels, LED lighting, a powered tailgate with a kick-sensor, keyless entry and start, powered and heated front seats with a memory function, a head-up display, a heated steering wheel, tri-zone climate control, dual info-screens, full wireless connectivity, ambient lighting and wireless phone charging.
Major accessories include a panoramic sunroof and a stereo upgrade and leather trim option bundled together. The drive-away price for the S is $58,490.
Move up to the $66,490 (drive-away) V variant and you add (aside from the driveline stuff we’ll get to in a moment) 19-inch copper-accented alloys and hill descent control.
The VZ at $73,490 (driveaway) goes one bigger in the wheels department with 20-inch alloys, adaptive suspension, the leather and stereo upgrade package as standard, selectable engine sound, matrix headlights, expanded driver-selectable drive modes and bigger brakes.
Again, Tesla keeps its cards close to its chest on specific outputs, but data we've seen points to this Tesla's rear-mounted electric motor producing 255kW, a smallish increase from the 220kW of the outgoing model.
Tesla says that's enough to produce a sprint to 100km/h time of 5.9 seconds.
The Terramar range features a choice of two petrol engines and driveline layouts, three outputs and even a mild hybrid variant. In fact, the Terramar S which uses the hybrid driveline also happens to be the entry-level version of the car.
Generally, you’d expect the hybrid version of any line-up to be a more expensive option, but in this case, the hybrid system is one of those barely-there set-ups where a 48-volt electric motor – in this case disguised as the car’s alternator – also acts as the starter motor offering a little more 48-volt acceleration when required, and then recouping some otherwise lost during braking. Most drivers would need to be told the car is a hybrid at all.
Power for the S’s 1.5-litre, turbocharged engine tops out at 110kW, while torque peaks at 250Nm and the S is front-wheel-drive. Like the other variants, the S uses a seven-speed dual-clutch auto transmission.
The next step up the Terramar ladder is badged V and it gets a turbocharged 2.0-litre engine with no hybrid assistance, but an output of 150kW and 320Nm. This will be a familiar engine to anybody who has driven a mid-sized product from the Volkswagen family in the last decade or so.
In V form, the Terramar gains a part-time all-wheel-drive system. This is not driver-selectable but instead uses sensors to know when to shift some of the torque to the rear axle. In normal circumstances, the vehicle remains fundamentally a front-wheel drive one, but under full acceleration or on low-friction surfaces, the computer will send the torque rearward to maximise grip.
The range-topper is the Terramar VZ which is endowed with a retuned version of the same 2.0-litre engine in the V, but now punching out 195kW and 400Nm. The driveline is the same as the V’s but the VZ gets a premium brake package and also adds Cupra’s version of adaptive suspension to the mix. The system can adjust the dampers at up to 1000 times per second to provide the feel and feedback the driver chooses via the selectable driving modes.
And if you want even better brakes, there’s an optional braking package for the VZ which adds six-piston front calipers and larger front rotors. You might expect the mild-hybrid version of the Terramar to be a reasonably heavy vehicle, which it is at 1696kg. But it’s a lightweight compared with the rather hefty V at 1794kg and the decidedly portly VZ at 1803kg.
Again, more cloak and dagger from Tesla here, but most reporting suggests a 75kWh battery is housed beneath the new Model Y.
We do know that our rear-drive Model Y will deliver a claimed 466km driving range on the WLTP cycle.
Charging is capped at a reported 220kW, with the brand suggesting 238km in driving range can be added in 15 minutes when using a 175kW Supercharger. Home AC charging is capped at 11kW.
Cupra claims a different combined cycle (urban/extra-urban) fuel consumption number for each of the three engines on offer, starting with the mild-hybrid version’s 5.7 litres per 100km. The mid-spec two-litre claims 7.2 litres per 100km and the high output 2.0-litre carries an 8.2 litres per 100km claim.
The standard 55 litre fuel tank in the S, then, should be good for a theoretical range of around 950km, while the V and VZ with their slightly bigger fuel tanks should be able to cover about 830km and 730km, respectively, between trips to the pump.
It pays to keep in mind, however, that Cupra recommends all three engines are run on the pricier 95-octane fuel, rather than standard 91-octane. That will add a few dollars to every fill, but the efficiency of the engines can’t be faulted.
Interestingly, in a mix of highway and city driving, our test VZ managed about 8.5L/100km which is seriously close to the official combined number. Rarely does any car get that close to its government figure.
Reviewing a Tesla Model Y at the moment is no mean feat. The company's very public figurehead is fighting for a front-row grid position in the battle for world's most unlikeable human at the moment.
But anyway, journalist hat on, personal views aside, Tesla has done a good job with the new Model Y. I actually didn't much like the outgoing model – the ride was too harsh, the steering too darty and the cabin too austere – but Tesla has comprehensively overhauled each of those drawbacks to create a car that is genuinely much better than it has ever been before.
Let's start with the cabin. It's still austere, but the quality feels higher and more premium, and while I'll die on a hill of the screen-controlled drive selector being a bad idea, it is otherwise now a nice place to spend time. The screen and the software powering it largely replace the perks of Apple CarPlay, and the addition of the rear screen is a very good one, too.
But the biggest improvements are in the way the Model Y drives. It's far more compliant on Sydney roads, while the steering sensitivity has been dialled back so it doesn't feel as though you're constantly making corrections.
I also like the power delivery in the RWD. It's not lightning fast, but the grunt is constant and feels really instantaneous and usable.
It's no sports car, though. Our test car took in some of the windiest roads in greater Sydney and beyond, and while the body roll and composure feels on point, the Model Y does struggle with really sharp cornering. The aggressive traction control was a constant passenger on the really challenging stuff.
Overall, the improvements are good, and very noticeable.
Let’s start with the S model and its mild hybrid driveline. Frankly, if you can pick this is a hybrid of any sort, you’re doing very well. Sure, any hybrid tech should aim to be as transparent as possible, but this time around, it’s pretty much totally invisible.
So, in the absence of too much electric thrust, the petrol engine is left to do the heavy lifting. And, frankly, with just 110kW to propel it, the 1.5-litre engine has its work cut out. It’s perfectly fine at cruising velocities, but start asking the tough question in hilly country or when powering out of slow corners, and it can all start to feel and sound a bit busy. And yet there’s not the thrust to back up the perception of mechanical activity.
The seven-speed dual-clutch does a good job, but it too is kept mighty occupied by the task of improving velocity. Flapping at the paddle shifters might keep you happy for a while, but the transmission has its own smarts sufficient to make the most of those 110kW.
Which means, of course, the VZ variant is the one for keener drivers. But even then, the excellence of the 2.0-litre turbo when fitted to the Golf GTi is dulled a little when hauling around the Terramar's 1.8 tonnes. It still feels pretty perky, however, and this is certainly not a comparison between a very fast Golf and an SUV, so it’s fair to say the Terramar VZ gets along pretty well.
Again, the dual-clutch auto is your friend, although we reckon its shifts and shift-patterns might have been backed off a little to suit the heavier Cupra.
Ride quality is slightly superior in the S version (18-inch tyres play 20-inch on the VZ) but either specification is tied down pretty well with minimal body roll for this type of vehicle. That plays slightly against outright comfort, but the cabin remains quiet with very little suspension or tyre noise making it inside.
What’s a bit confusing is the way the adaptive dampers have been set-up in the VZ. Rather than using the 'Comfort' drive mode to soften the dampers for small, pattery bumps, Cupra seems to have concentrated on more dramatic, larger wheel movements for the 'Sport' setting. So, the mode-to-mode ride is very, very similar in normal work, but firms up a reasonable amount over longer, swooping bumps that start to use more and more of the available travel.
By far our biggest complaint is that old cracked record about the driver-assistance systems being too insistent. The Terramar is by no means the worst we’ve sampled, but the lane-keeping assistance is over-zealous to the point where you’ll turn it off (defeating the purpose of its inclusion). And the driver distraction alert is just flat out annoying for its habit of confusing any facial expression other than Blue Steel as a clue that you’re nodding off.
This Tesla Model Y wears the same five-star ANCAP safety rating as its predecessor, awarded back in 2022.
Everything you expect is present and accounted for, including seven airbags, auto emergency braking (AEB), lane departure warning and assist (the latter being a little too panicky for my tastes) and cameras front and rear.
Special mention for the brand's semi-autonomous functionality, which – while not perfect – is among the best I've experienced. On the highway, it will stay in the centre of its lane, rather than the bumper-bowling-style swaying that some systems serve up, and change lanes for you when you indicate.
Speaking of such technologies, you’d expect all the latest driver assistance aids from a brand like Cupra, and you won’t be disappointed. There’s adaptive cruise control with follow-and-stop abilities, lane-keeping warning and assistance, collision warning, autonomous emergency braking, pedestrian and cyclist recognition, swerve-assist, traffic sign recognition, blind-spot monitoring, rear cross-traffic alert, front and rear parking sensors, a 360-degree camera view, driver distraction warning and tyre pressure monitoring.
As well as seven airbags including a centre-front bag, there are also three top-tether restraint mounts in the rear seat and ISOFIX mounts on the outboard rear positions. ANCAP has given the Terramar a maximum five-star safety rating with a 2025 date stamp.
Underwhelming, I'm afraid. A four-year/80,000km warranty might be the worst offered by any mainstream brand in the country. For the record, five-year/unlimited km is now the minimum standard, with many brands far exceeding that.
Servicing intervals are a bit scattered, with the brand instead listing when things need to be done, rather than a traditional schedule.
Cupra’s standard five-year/unlimited kilometre warranty applies to the entire Terramar range. While that’s a decent amount of cover, it trails some of the cheaper brands out there with seven, eight or even 10-year warranties.
The Terramar also comes with five years' of roadside assistance including extras like emergency accommodation, towing and even car rental should the unthinkable happen.
Cupra also offers capped-price servicing packages for the Terramar, with an option of three- and five-year plans. The first three years of servicing can be pre-paid at the time of purchase for $1490, while five years' of servicing costs $2590. That’s based on the Terramar’s 15,000km or 12 months service intervals.