2026 Cupra Terramar VZe Review: Stylish Hybrid SUV with Torque Steer Downsides

The Volkswagen Group’s decision to spin off Cupra as an independent brand in early 2018 has proven to be a masterstroke. While SEAT has struggled to maintain relevance, Cupra has thrived, launching a series of bold, youth-oriented models that resonate with buyers. Last year alone, Cupra sold 328,800 vehicles—a 32.5% increase over 2024—outpacing its former parent, SEAT, which sold 257,400 cars.

Among Cupra’s latest offerings is the 2026 Terramar, a plug-in hybrid SUV closely related to the Volkswagen Tiguan. While its design is undeniably striking, whether it belongs on your shortlist depends on more than just aesthetics. Here’s what you need to know.

Quick Facts: 2026 Cupra Terramar VZe

• Model: 2026 Cupra Terramar VZe
• Starting Price: AU$77,990 (approximately $56,000 USD) plus on-road costs
• Dimensions: 177.9 in (L) x 73.3 in (W) x 63.3 in (H) (4,519 x 1,860 x 1,610 mm)
• Wheelbase: 105.5 in (2,681 mm)
• Curb Weight: 1,940 kg (4,276 lbs)
• Powertrain: 1.5L turbocharged four-cylinder engine + electric motor
• Output: 268 hp (200 kW) / 295 lb-ft (400 Nm)
• 0-62 mph (0-100 km/h): 7.3 seconds
• Transmission: Six-speed dual-clutch
• Efficiency: 6.2 L/100 km (37.9 US mpg) as tested
• Availability: Now

Powertrain and Performance: Powerful but Not the Quickest

The Terramar VZe is the most expensive and most powerful variant in the lineup, but it’s not the fastest. Its plug-in hybrid system combines a 1.5L turbocharged four-cylinder engine (130 kW / 174 hp, 250 Nm / 184 lb-ft) with an electric motor (85 kW / 114 hp, 330 Nm / 243 lb-ft), delivering a combined 200 kW (268 hp) and 400 Nm (295 lb-ft).

Unlike some rivals, the VZe is front-wheel drive only, which introduces certain challenges—more on that below. Despite its strong output, it doesn’t accelerate as quickly as the cheaper Terramar VZ. The VZ, equipped with a 2.0L turbocharged four-cylinder (195 kW / 262 hp, 400 Nm / 295 lb-ft), completes the 0-100 km/h (0-62 mph) sprint in just 5.9 seconds, compared to the VZe’s 7.3 seconds.

Driving Experience: Torque Steer and Braking Concerns

While the Terramar VZe’s powertrain is impressive on paper, real-world driving reveals some notable drawbacks. The front-wheel-drive configuration leads to torque steer, a phenomenon where the steering wheel pulls to one side under hard acceleration. This can make the driving experience feel less composed and more fatiguing on long trips.

Additionally, the brake feel is described as poor, lacking the feedback and stopping power expected in this price range. These issues detract from what is otherwise a refined and stylish cabin.

Design and Interior: Classy but Not Revolutionary

The Terramar’s exterior design is a standout, blending Cupra’s signature bold styling with SUV practicality. Inside, the cabin is classy and well-appointed, though it doesn’t push boundaries in terms of innovation or technology. Materials are premium, and the layout is intuitive, but the driving experience doesn’t quite match the visual appeal.

Cupra’s Australian Market Presence

Cupra’s expansion in Australia has been robust, with the brand recently delivering its 10,000th vehicle in the market. The company currently offers six models (excluding the discontinued all-electric Born, which was scrapped in 2024). However, plans to enter the U.S. market by 2030 have been delayed, with the timeline now uncertain.

Pros and Cons at a Glance

• Pros:
  
  • Striking, modern exterior design
  • Refined and classy interior cabin
  • Efficient plug-in hybrid powertrain
• Cons:
  
  • Front-wheel-drive torque steer under hard acceleration
  • Uninspiring engine and exhaust note
  • Poor brake feel and feedback

"The Volkswagen Group’s call to spin off Cupra as a standalone brand... once looked like a gamble. In hindsight, it reads as one of the smarter moves in the group’s recent playbook."