Volkswagen Set to Launch Two New Hybrid Models

Volkswagen is preparing to introduce two new hybrid models in the North American market soon, as it works to respond to shifting consumer demand away from fully electric vehicles towards hybrid options.

Although the German manufacturer already sells regular and plug-in hybrids in Europe, it had initially focused its North American strategy on all-electric cars, SUVs, and trucks, anticipating a faster transition to battery electric vehicles than has actually materialised. With hybrid sales now outpacing demand for pure EVs in the region, Volkswagen is adjusting its plans.

The first hybrid offering will be a version of the Volkswagen Tiguan, due to arrive in a couple of years. The current all-new 2025 Tiguan, launching this summer, will not feature a hybrid powertrain—a gap the company intends to address. 

At the 2025 New York Auto Show, Volkswagen of America CEO Kjell Gruner confirmed that both the Tiguan and the larger Volkswagen Atlas will receive hybrid variants.

The next-generation Atlas is expected in 2027, with the hybrid version arriving sometime after the initial launch. Both models will be conventional hybrids rather than plug-in hybrids, meaning they will not require charging and will save on weight and cost.

Volkswagen plans to manufacture the hybrids and source their batteries locally in North America, rather than importing them from Europe. This decision also allows the brand to adapt to any changes in low-emission vehicle regulations and potential incentives over the next two years.

The automobile company also hinted at the possibility of introducing a mild hybrid version of the Volkswagen Jetta in future. The company previously offered a Jetta hybrid before discontinuing it in 2016.

By adding hybrid powertrains to its most popular models in the region, Volkswagen aims to strengthen its position in the North American market and better meet evolving customer preferences.