What's the difference?
The third-generation Volkswagen Tiguan is likely to be the most important new vehicle Volkswagen launches in 2025.
The popular mid-sizer has proven to have impressive staying power for the brand, with the outgoing version still impressing buyers despite being nearly a decade old.
What does this ground-up new version change? Does it have what it takes to maintain the nameplate’s reputation in one of Australia’s most hotly contested market segments? And what are some surprises this time around?
We went to its local launch to find out.
Jaecoo has entered the medium SUV space with the J7, pairing a plug-in hybrid powertrain with a sharply positioned price tag. On paper, it’s a compelling formula; electrified efficiency without the 'premium'.
But the J7 doesn’t arrive in a vacuum. It sits above its smaller sibling, the J5, and goes head-to-head with some increasingly polished rivals - the mechanically related Chery Tiggo 7 Super Hybrid, GWM Haval H6 GT PHEV, MG HS Super Hybrid and now the BYD Sealion 5. And all of them are chasing the same buyer.
So the question isn’t just whether the J7 is good value. It’s whether it carves out a clear identity of its own in a segment that’s quickly filling up.
The new Tiguan is as confident as ever in its identity, even in such a crowded mid-size SUV space where there are so many models worthy of your attention.
No matter which version you choose, this is still the mid-size SUV for a driving enthusiast who doesn’t quite have premium dollars to spend.
While it may not quite expand its appeal as much as the brand hopes precluding a hybrid variant, those who are choosing this as their family hauler for the right reasons won’t be disappointed.
Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.
The Jaecoo J7 SHS Track enters the medium SUV segment with a sharp drive-away price and generous equipment list. The ongoing ownership benefits add strong value but the on-road driving experience needs some finessing and the cabin doesn't quite hit every mark for practicality. Although it's ‘on track’ to make waves in this corner of the market, it hasn't yet carved out an iron-clad niche for itself. It's worth a look but it's not class-leading.
The new Tiguan is a bit of a mind-bender. Its new design seems to make it feel smaller than the outgoing vehicle, despite it being both slightly wider and longer.
This, I have decided, is because the design creates a visual effect, where the upper curvier parts seem to shrink it down, and the additional length makes it seem narrower than the more boxy visage of the previous model. Also, it’s 20mm shorter than the previous design, which we’re told combines with the new bodywork to make for a 15 per cent drag reduction.
Either way, it’s nice not to see a mid-size SUV not continually engage in an arms race to get bigger and bigger. Volkswagen will also introduce the dedicated seven-seat Tayron later in 2025. It’s a half-size up and replaces the outgoing Tiguan Allspace, and this time it features a much more distinct design from its Tiguan sibling.
The third-generation Tiguan not only embraces a more curvy design aesthetic than its predecessor, but it also features many more contemporary design elements. The headlights and curvy accents over the wheelarches feel like they more closely associate this SUV with the new ID.4 and ID.5 EVs, while the light bar across the front on some grades combines with the new light bar across the rear to give it a trendy silhouette. It tops things off with the ‘Tiguan’ letterwork on the tailgate, and, as usual, a sporty spoiler fitting giving the rear hatch a bit of depth.
As usual, VW’s array of gloss-black, chrome or plastic garnishes on the outside, depending on grade, offer a subtle and tasteful finish to the exterior appearance.
The inside is revolution rather than evolution, now heavily screen-centri, and featuring an array of lighting features like many of its rivals.
The screens look the part and have fast and mostly straightforward-to-navigate software, while the seat designs are a real highlight, being both aesthetically pleasing and nice to the touch in all grades.
The ambient lighting features add a sense of presence to the cabin, and unlike the outgoing car, the new one feels a bit more driver-centric thanks to the design of the dash and screens effectively pointing their way down the road from the driver’s point of view.
It does away with the sparse feeling of the previous car, elevating things a notch with an increase of nice materials throughout.
While some may find the abundance of gloss-black finishes a bit harder to maintain, it’s hard not to feel like this new Tiguan is a major generational jump from the previous one. Mission accomplished, VW.
The J7 is, in essence, a scaled-up version of its smaller sibling, the J5 - a car my family affectionately dubbed the “Temu Range Rover” during our week with it. The resemblance remains.
The squared-off proportions, upright grille and slim lighting signatures lean heavily into that premium off-roader aesthetic, and there’s no doubt the look will appeal to buyers chasing presence without the associated price tag.
Compared to the J5, the J7 carries a touch more personality.
There’s a small racing-flag accent panel along the flanks, flush-fitting door handles and a set of 19-inch aerodynamic alloy wheels that add some visual flair.
Inside, the cabin is cleanly executed with its pared-back styling and the 13.2-inch central display dominates the dashboard. This makes it the visual anchor of the interior as physical buttons are minimal and most functions are accessed via the media screen. That screen-led design will divide opinion, but it does create a modern aesthetic.
The synthetic leather upholstery feels convincingly premium, and the materials do enough to lift the ambience beyond what you might expect at this price point.
Like the previous model, VW hasn’t forgotten its pragmatic touches for the interior, despite its increase in complexity and appointments.
Finding a driving position was easy for me at 182cm tall, with both a healthy adjustment range for the seats and steering wheel. The digital instrument cluster remains one of the best on the market in terms of usability and customisation, while the multi-function steering wheel commits to buttons rather than the widely-disliked haptic feedback panels, which have appeared on various other VW models.
Unfortunately, this doesn’t entirely extend to switchgear for key functions, with the climate control exclusively controlled via touch sliders, a touchscreen menu or the Tiguan’s new voice control suite, none of which are as intuitive as just having a physical dial for temperature and fan speed and buttons for recirculate, auto and on-off.
However, the Tiguan does have a central dial on the console, which can cycle through volume control, drive modes or ambient lighting modes when pressed. A welcome addition.
Moving the shift stalk to the steering column, like the ID.4 and ID.5, has also allowed additional space for the centre console area, which is now quite versatile. It includes a variable-height armrest console box with either dividers or a dual-bottle-holder fitting, which can be interchanged between the two areas, while the dual-charging bays up front have a rubberised cover, which can be pulled down as to not waste the storage space. This has the additional feature of making the cooling system for the wireless charging phones more effective.
There are two large bottle holders and pockets in each door, which have a carpeted finish to reduce vibration, and there’s also a passenger glovebox.
The rear seat offers a healthy amount of space behind my own driving position. I had leagues of knee room and a healthy amount of airspace above me, however the presence of a tall raise for the transmission tunnel eats into the amount of room a centre passenger would have for their feet.
The comfortable seats continue and are on rails if you need to increase the amount of room in the boot, or simply want a more aggressive recline. When it comes to storage, there are bottle holders in each door, a drop-down armrest with dual bottle holders, dual USB-C outlets on the back of the console, as well as dual air vents with a touch control panel for the independent third climate zone. The only thing it seems to be missing is built-in window shades, which are offered on some Skodas and the now-discontinued Passat (RIP).
The boot helpfully features a powered tailgate on all grades, and measures in at 652 litres with the second row up, or 1650L with the seats down. Numbers can be deceptive, but it does seem large for the class, and there’s a space-saver spare wheel under the floor.
Up front, the J7 Track delivers where it matters. The electric front seats offer heating and ventilation functions and feel supportive over longer drives. There’s enough width and shoulder room to avoid feeling hemmed in.
Access is good with wide door apertures and an easy step-in, step-out height from both rows. In the rear, the available space is generous, and the thick seat padding and supportive backrests will make longer journeys quite comfortable. The flat floor also means the middle seat isn’t automatically the punishment position for an adult.
Storage has been thoughtfully considered. Up front, the large centre console shelves make it easy to keep clutter contained, while the dual-opening middle console is deep enough to swallow a small handbag. There’s also a small side pocket beside the driver that’s ideal for keys or a garage remote.
Rear passengers will enjoy four device pockets, as well as a couple of map pockets. There are two cupholders and drink bottle holders in each row, as well as good-sized bins in each door.
With all rows in use, the boot has up to 500L of capacity, and the flat loading floor makes it easy to slide larger items in and out. Overall, it’s a usable and practical space for gear storage but you'll notice the lack of a powered tailgate as there isn't a dedicated handhold on the outside of the lid to easily open the boot.
There's also no charging ports or power outlets in the boot, which feels unusual for a plug-in hybrid. You have to make do with a tyre repair kit rather than a spare wheel but that's not unusual in this corner of the market.
The individual charging options are functional with a single USB-A and C port offered in each row and a 12-volt socket up front but you miss out on a wireless charging pad in this grade. The multimedia touchscreen is responsive and the layout is fairly intuitive to use. However, the lack of physical controls for simple adjustments like side mirror positioning or climate control can become frustrating. Some functions are just better served by buttons.
The wireless Apple CarPlay and Android Auto operate smoothly and the CarPlay has maintained a steady connection this week. The built-in sat nav is also easy enough to use.
Volkswagen is attempting to broaden the appeal of the Tiguan this time around. As such, it hasn’t jacked prices up massively like some recent new-generation versions of rivals, despite a comprehensive cabin tech overhaul and big lift in standard equipment.
As a result, the range is vast, with six variants covering a wide price spectrum and, as the brand says (or hopes), a wide range of potential buyers.
Kicking it off is the base model 110TSI Life, which, at $44,990 plus-road costs, is only $1000 more than the outgoing version. It sports a carryover 1.4-litre turbocharged four-cylinder engine, although it has a new version of VW’s seven-speed wet dual-clutch automatic sending power to the front wheels, replacing the derided dry dual-clutch that marred the base version of the old car.
Standard equipment on the base car is high, including 19-inch alloys, a full array of LED lights both for the headlight clusters and rears, it also includes a 12.9-inch multimedia touchscreen with wireless Apple CarPlay and Android Auto, a 10.25-inch digital instrument cluster with the brand’s signature digital cockpit software, tri-zone climate control, ‘comfort’ cloth seats (said to be benchmarked against the best in-class) with manual adjustments, a leather-trimmed multifunction steering wheel, dual wireless phone chargers, ambient dashboard lighting and even an electric tailgate.
The mid-spec Elegance grade can be chosen with either the 110TSI engine in front-wheel drive, or the new 150TSI 2.0-litre engine in all-wheel drive, priced at $50,690 and $60,690 respectively. It increases the equipment to include chrome styling on the exterior with alternate 19-inch wheel designs, rear privacy glass, improved LED headlights with a lit-up centre strip and dynamic cornering functions, leather interior trim, power adjustments with heating, ventilation, and message functions for the front two seats, and a heated steering wheel.
Alternatively, there is the 150TSI R-Line which starts at $55,690, representing a $4600 price reduction compared to the outgoing 162TSI R-Line. It is also all-wheel drive only and features an R-Line styling pack inside and outside, with sporty but manually adjusted cloth bucket seats featuring integrated headrests up front (which miss out on the heating and ventilation of the Elegance grade), black headlining, an R-line steering wheel with additional contouring, 19-inch alloys in a sportier design, a wider wheel and tyre package for enhanced grip, and the VW’s signature progressive steering tune.
Both 150TSI cars also add adaptive chassis control and hill descent control as standard, with an additional off-road and snow driving mode, while the Elegance specifically scores a larger 15-inch multimedia screen.
Finally, topping out the range is the new 195TSI R-Line priced at a massive $70,490. Not only does this grade score its own 195TSI engine sourced from the Golf GTI, but it also adds everything available in the range, swapping out the 150TSI R-Line’s cloth seats for the leather-trimmed, heated, cooled and massaging ones otherwise only available on the Elegance, along with the larger 15-inch screen, sporty steering wheel and R-Line appearance package inside and out, along with its own set of 20-inch alloy wheels.
Option packs include a black styling pack for the R-Line at $1500, a panoramic sunroof available on the Elegance and R-Line grades at $2100, and the Sound and Vision package, which adds premium audio and the larger 15-inch multimedia screen to the 110TSI variants for $2700.
This makes the Tiguan range span from surprisingly good value at the low end, to a real enthusiast-only proposition at the pinnacle, with VW even pitching the 195TSI R-Line at the lower-end BMW X3 and Mercedes-Benz GLC buyers.
In reality many of its mainstream rivals should include options like the dominant Toyota RAV4 ($42,260 - $58,360), Subaru Forester ($38,690 - $50,140), Nissan X-Trail ($38,025 - $59,265), Hyundai Tucson ($39,100 - $61,100) and Kia Sportage ($32,995 - $55,420).
The surprise, some will note, is all of the Tiguan’s rivals have at least one hybrid variant, where VW has chosen to stick with combustion only for the time being for its new-generation mid-sizer.
There are two plug-in hybrid grades in the J7 line-up and we’re testing the entry-level Track here, priced at $43,990 drive-away. It’s a strategic price point because aside from its close relative, the Chery Tiggo 7 Super Hybrid, which undercuts it at $39,990 drive-away, the Track is the second-most affordable option among its immediate rivals.
By comparison, the GWM Haval H6 GT PHEV lists at $51,990 drive-away, while the MG HS Super Hybrid Excite comes in at $52,696 drive-away. The BYD Sealion 5 undercuts them all as the most affordable plug-in hybrid in the country right now, starting from $33,990 before on-road costs.
It’s worth noting that the H6 GT is offered in a single, well-specified grade, and its higher price reflects that broader equipment list. Even so, the J7 starts from a strong position before you get into its features.
For a base variant, the Track gets some good stuff like electric front seats with heating and ventilation, synthetic leather upholstery, remote start with pre-entry climate control and a full suite of LED exterior lighting. That’s the sort of kit you’d expect to climb trim levels for.
Practical touches are scattered throughout. The centre console is air-cooled, the driver’s seat has a memory function, there are steering wheel-mounted controls and dual-zone climate control comes as standard. Then there’s the built-in karaoke app. Entirely unnecessary, but mildly amusing, however, you will need to supply your own microphone!
Technology feels well-considered as there’s wired and wireless Apple CarPlay and Android Auto, built-in satellite navigation, a large 13.2-inch multimedia display and a 10.25-inch digital instrument cluster. The 360-degree camera system is clear and complemented by front and rear parking sensors.
You do miss out on a powered tailgate and some charging options as there’s no internal vehicle-to-load (V2L) AC outlet and no charging ports in the boot. Still, as a base offering, the J7 Track presents as a neat package.
There are three engine options in the Tiguan range, and it is notable none are even mild hybrids (MHEVs) in 2025.
The base engine present in 110TSI variants is even a carryover 1.4-litre four-cylinder turbocharged petrol engine, providing 110kW/250Nm to the front wheels. The big news for these base cars is the dry-clutch DCT has been swapped out for the better-performing wet-clutch version, which also has various improvements made to it for this iteration. Notably, VW has stripped-out the stop-start system with this engine and transmission combination.
The brand says it opted not to use the more recent 1.5-litre MHEV version of this engine as it simply didn’t need it to meet Australia’s new emissions standards and it would have added a prohibitive amount to the cost of entry-level variants to justify its inclusion in the range.
Next up is the new 150TSI engine. It is a 2.0-litre turbocharged four-cylinder unit, which replaces both the 132TSI and 162TSI engines from the previous-generation model. It provides 150kW/320Nm and drives all four wheels via the same seven-speed dual-clutch automatic. This engine also reintroduces stop-start.
At the top of the range, solely available on the R-Line, is the 195TSI engine. VW says this offers buyers of the previous Tiguan R somewhere to go, but also an option for those who wanted more than the previous 162TSI R-Line offered. The 2.0-litre four-cylinder turbocharged 195TSI engine is sourced from the Golf GTI and produces 195kW/400Nm, driving all four wheels via the same seven-speed dual-clutch. It reduces the 0-100km/h sprint time from 7.1 seconds to 5.9 seconds.
It is a shame in the current environment VW hasn’t chosen to make a splash with the 1.5-litre plug-in hybrid (PHEV) variant, which is available overseas. This Tiguan features a 25kWh battery paired to the 110kW engine to make for an estimated 100km electric-only driving range. It even features both 11kW AC charging and 50kW DC charging for convenient top-ups.
If you want it, tell your dealer. VW tells us they’re working on a business case for the PHEV in the background, but if you want electric driving for now, it’s pointing current customers to the ID.4 (from $59,990 before on-roads).
Both plug-in hybrid grades of the J7 share the same powertrain, pairing a 1.5-litre four-cylinder turbo-petrol engine with a single electric motor. Combined outputs sit at a healthy 255kW and 525Nm which is the same as its Chery cousin and makes it more powerful than its MG rival but the GWM Haval H6 GT has bigger outputs.
However, once the EV battery is depleted and the system leans more heavily on the petrol engine, the outputs drop significantly to 105kW and 215Nm. This shifts the J7 from feeling spritely to serviceable on the open road.
Power is sent exclusively to the front wheels, and towing capacity is rated at 750kg unbraked. That’s enough for a small box trailer but it won’t be hauling any serious weekend toys.
Efficiency is remarkably even across the Tiguan range, with the new engines and updated transmission helping to make things reasonably straightforward.
The base 110TSI versions have an official/combined fuel consumption of 7.6L/100km, as do the 150TSI versions thar benefit from the stop/start system but have the added heft of all-wheel drive.
The top-of-the-range 195TSI R-Line, meanwhile, is said to consume 8.5L/100km. All versions require 95RON mid-shelf unleaded. And for those who care, the 110TSI and 150TSI produce 173g/km of CO2, while the 195TSI produces 194g/km.
Interestingly, the 110TSI variants have a 55-litre fuel tank, while the 150TSI and 195TSI have a 58-litre fuel tank.
The J7 Track has a Type 2 CCS charging port and accepts up to 6.6kW on AC power and up to 40kW on fast DC power. On that type of DC charger you can go from 30 - 80 per cent in as little as 20 minutes which is great for when you’re on the go. You can shop and charge without much fuss.
The 18.3kWh lithium-iron phosphate battery supports an electric-only driving range of up 90km (WLTP). That sits below its Haval and MG rivals with their respective WLTP ranges of 153km and 120km. Overall though, the J7 has a theoretical driving range over around 1200km, which is great. Of course, you will only see that type of range if you regularly charge it.
Jaecoo claims a combined fuel cycle usage (urban/extra-urban) of 1.0L/100km but my real-world usage has come out at 5.0L/100km even after regularly charging it. However, it's worth noting that I do a lot of longer, highway driving which is where plug-in hybrids are typically less efficient.
Jaecoo recommends a minimum 91 RON unleaded petrol to be used for the J7.
The Tiguan range has some significant upgrades from behind the wheel this time around, but there are a handful of areas where I was surprised to find it didn’t quite live up to expectations.
Firstly, the seating position and driver-centric cabin design make the Tiguan feel like more of a driver’s car than ever before. The bucket-style seats and the high beltline combine to make the seating position feel like more of a hatchback than an SUV. Yet visibility out of the cabin is healthy thanks to large windows and mirrors.
As you set off, the Tiguan feels smoother through its drivetrain than its predecessor, thanks to the new dual-clutch automatic being sandpapered when it comes to its initial engagement and shift-mapping. Even the base 110TSI, which can sometimes struggle for initial torque thanks to a dollop of turbo-lag, has a decent roll-on, and with no stop-start system this time, it’s much more friendly when hopping on the accelerator from a standstill.
The steering tune is great in all grades, helping to make this new Tiguan feel light and reactive, despite its slightly expanded dimensions. This lightness is a trait which shines through on this new version, making it feel much less pedestrian than almost all of its rivals.
On the base variant, this can be to its detriment at times, with the 110TSI engine occasionally overcoming the grip of the front tyres when a lot is asked of it, however all-wheel-drive versions are much more confident in their footing, not only delivering power in a more linear fashion, but also putting it to the ground more smoothly.
R-Line variants, with wider and more expensive tyres, are reactive, grippy, and simply outstanding to drive in this mid-size segment, with the 195TSI bringing a strong additional lump of torque and a throatier engine note.
Indeed, this version of the Tiguan leans into the nameplate’s best traits and solidifies its position as the driver’s option in the segment. The 150TSI R-Line in particular stood out as raucous amounts of fun for a mid-sizer for a fair price, as it could be driven significantly harder than the more powerful 195TSI.
However, this new Tiguan was also not without some disappointments. The amount of road noise in all grades was notable, and while VWs are usually known for their balanced ride quality, all Tiguan variants also featured a certain seemingly inherent firm response to sharper blemishes in the road, perhaps a cost for the otherwise superb body control.
These blemishes in driving ambiance were relatively minor in scale, but surprising to find nonetheless.
This is where the J7 Track feels less resolved. It's not fundamentally flawed by any means but it's not as polished as it could be.
With a charged battery, acceleration is strong and immediate, and there’s enough punch for hills and confident overtaking. Even when the battery is running low, the drop in output doesn’t feel as dramatic in real-world conditions as the standalone engine figures might suggest. You won't win any drag races but it remains competent. It just loses some of the initial punch when accelerating.
Steering is light, which makes urban manoeuvring easy, and the suspension leans toward the softer side. Around town, that translates to a comfortable and compliant ride. Push it harder through bends, though, and the body control starts to feel a little loose.
Highway refinement is another area where there’s room for improvement. Road noise becomes noticeably more present at open-road speeds, although it remains quiet around town.
Visibility out the front and sides is good, and the driving position gives you a fairly commanding view of the road. I don’t feel like there are any large blind spots from my driving position.
There are three levels of regenerative braking, and running it in the strongest setting does a good job of harvesting energy. However, even on the lowest setting, the braking response feels abrupt. At low speeds when the system tends to remain in EV mode, the transition can feel lurchy.
The 360-degree camera system is clear and outside of the heavy-handed regen braking, the J7 is straightforward to park. Just be prepared for passengers, especially opinionated children, to comment on the body movement.
Every new Tiguan gets the full array of modern active safety kit, including freeway-speed auto emergency braking with vulnerable road-user protections and intersection features, lane-keep assist, blind-spot monitoring, both rear and front cross traffic alert, a 360-degree parking camera suite, driver attention alert, traffic sign recognition, adaptive cruise control and exit warning.
It also features an emergency assist feature, and there’s a suite of nine airbags, including a centre airbag. VW is anticipating a maximum five-star ANCAP rating, although at the time we put this review together, the SUV’s score was yet to be released.
The J7 plug-in hybrid variant has a maximum five-star ANCAP safety rating from testing done in 2025 and scored well across its individual criteria with an 81 per cent for its adult protection, 85 per cent for child protection, 80 per cent for vulnerable road user and 84 per cent for its safety assist.
Passive safety items include eight airbags including a front centre airbag and drivers’ knee airbag. Families will like that there are two ISOFIX child seat mounts and three top-tether anchor points but realistically, two child seats will fit best. There are also manual child-safety locks on the doors, powered locks for the rear windows and intelligent seatbelt reminders for all five seats. Parking is easy with the front and rear parking sensors and 360-degree view camera system.
Active safety includes forward and rear collision warning, lane keeping aids, lane departure warning and prevention, blind-spot detection, side exit assist and a relatively unobtrusive driver monitoring system.
Other highlights include emergency lane keeping, which will activate when there’s no response from the driver and the rear cross-traffic alert also gets assisted braking. The lane keeping can oversteer at times and the adaptive cruise control is best without the assisted steering on. The J7 misses out on emergency call capability but otherwise, the safety equipment feels pretty robust.
There’s autonomous emergency braking with car, pedestrian and motorcyclist detection and is operational from 4.0 – 85km/h and up to 134km/h for car detection but it is more typical to see that top figure closer to 180km/h.
Volkswagen offers the Tiguan with its usual five-year/unlimited-kilometre warranty. While this is still the prevailing standard, the warranty wars are back with more manufacturers pushing into the seven-to-10-year category.
The Tiguan requires servicing once every 12 months or 15,000km, although pricing for the service packages was yet to be revealed at the time we put this review together.
The Chinese lucky number '8' is heavily featured in the ownership as the J7 is offered with an eight-year/unlimited km warranty, eight years of battery cover and roadside assistance, plus eight years of capped-price servicing where services average just $422 per visit. That's an impressive suite of terms for the class.
Servicing is well-spaced at every 12 months or 15,000 kilometres and for now the service network is still fairly small, with around 50 centres nationwide.