Tata Motors is preparing an aggressive product strategy to strengthen its presence in India’s highly competitive sub-4 metre SUV segment. The company has lined up three new compact SUVs for launch later this decade, aiming to capture a greater market share in this hotly contested category. Out of the three, two models are scheduled to launch within the next three years, beginning with the facelifted Tata Punch in November.
Tata Punch Facelift and Next-Gen Nexon to Bring Major Upgrades and Premium Features
The updated Punch will draw heavy inspiration from the Punch.ev, featuring revised exteriors with redesigned bumpers, tweaked headlamps, and new 16-inch alloy wheels. Inside, the cabin will see more significant upgrades, including a larger 10.25-inch touchscreen infotainment system and a bigger driver information display, replacing the current 7.0-inch and 4.0-inch units respectively. Engine options will remain the same, with the familiar 1.2-litre petrol and petrol-CNG powertrains paired to 5-speed manual and automated manual transmissions. Notably, the Punch CNG variant will finally offer an AMT option, enhancing its appeal to urban buyers.
By 2027, Tata Motors will introduce the second-generation Nexon, codenamed Garud, built on an updated version of the X1 platform. While retaining the 1.2-litre petrol and petrol-CNG engines, the new Nexon may drop the 1.5-litre diesel due to the cost implications of stricter BS7 emission norms. The future Nexon will step up in features with a 12.3-inch infotainment system, powered driver’s seat, and advanced safety technologies including Level 2 ADAS, positioning it as a more premium offering in the segment.
Tata Scarlet: A Rugged Compact SUV with EV Potential Arriving by 2028
Looking further ahead, Tata is developing a rugged-looking SUV codenamed Scarlet, positioned as the younger sibling of the Sierra. Designed with a boxy, masculine stance akin to Mahindra’s Thar and Maruti Suzuki’s Jimny, the Scarlet will stand out with its monocoque construction. This focus on comfort, efficiency, and driving dynamics will differentiate it from body-on-frame rivals while enabling the development of a pure-electric variant. Expected to be priced around ₹9.5 lakh, the Scarlet could debut in 2028, with an EV derivative challenging Kia’s upcoming Syros. Together, these models represent Tata Motors’ bold strategy to dominate the sub-4 metre SUV space with a blend of practicality, modern features, and future-ready electrification.
Summary:Tata Motors plans three new sub-4 metre SUVs to strengthen its market share. The Punch facelift launches in November with design, tech, and AMT CNG upgrades. By 2027, the next-gen Nexon debuts with premium features and ADAS. In 2028, the rugged Scarlet SUV arrives, including an EV variant.
