Volkswagen is gearing up to launch the next generation of its three-row SUV, the Atlas, in 2027. Prototypes have been spotted undergoing winter testing in Québec, signaling a full redesign after nearly a decade on the market. This update is crucial for Volkswagen as the large SUV segment has become increasingly competitive.
A Crowded Market, But Still Competitive
The first-generation Atlas, launched in 2016, found a niche in the U.S., but it faced strong competition from established rivals like the Honda Pilot, Toyota Highlander, and Chevrolet Traverse. While sales peaked in 2019 at over 81,000 units, the arrival of newer entrants such as the Hyundai Palisade and Kia Telluride has intensified the rivalry.
Despite this, the Atlas remained a significant player in 2025, selling over 71,000 units and outselling some key competitors like the Mazda CX-90. This shows that while the segment is crowded, there is still space for a well-executed offering.
What to Expect From the 2027 Model
The 2027 Atlas will debut at the New York International Auto Show in April 2026. Volkswagen has confirmed key details:
* New Design: The vehicle will feature all-new sheetmetal and a redesigned interior.
* MQB Evo Platform: The next-generation Atlas will be built on the latest MQB Evo platform, offering improved efficiency and handling.
* Turbocharged Engine: The powertrain will use the EA888 Evo5 2.0-liter turbocharged four-cylinder engine, currently found in the VW Tiguan, producing up to 268 horsepower.
* Similar Dimensions: The wheelbase will remain unchanged, meaning the new Atlas will be dimensionally similar to the current model.
Two Variants Planned
Alongside the standard three-row Atlas, Volkswagen is also preparing a two-row “Atlas Cross Sport” variant for release later this year. Both models will be manufactured at Volkswagen’s plant in Chattanooga, Tennessee.
The redesign is a critical step for Volkswagen to maintain its presence in the competitive large SUV segment. The updated Atlas aims to deliver a fresh design, improved performance, and modern technology.
