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Volkswagen prepares to retire its long-serving Touareg SUV after two decades of production in Germany

Volkswagen
Volkswagen

The world of cars is changing fast, and not even the most iconic models are safe.

As Volkswagen steps harder on the pedal toward its electric vehicle (EV) goals, one of its longest-standing and most prestigious combustion-engine vehicles is about to be retired for good.

Volkswagen to Retire the Touareg SUV After More Than Two Decades

Volkswagen is reportedly preparing to end production of its flagship SUV, the Touareg, in 2026.

This marks the end of an era for a car that has been on the market since 2002 and sold more than 1.1 million units globally across three generations.

For over two decades, the Touareg stood as the pinnacle of VW’s petrol and diesel offerings—especially after the luxury Phaeton saloon was discontinued in 2016.

But with the carmaker shifting its focus to an all-electric future, even the Touareg’s legacy isn’t enough to save it.

Falling Sales and Fierce Competition Seal Touareg’s Fate

Although the Touareg was once a hit with families and praised for its blend of luxury and utility, its recent sales figures tell a different story.

VW is reportedly selling just over 1,100 units per year, a sharp decline as the large SUV market has been dominated by flashier, more premium rivals from Audi, BMW, Mercedes-Benz, and Porsche.

When the Touareg’s retirement is officially announced, the Tayron SUV is set to take over as VW’s largest combustion-engine model in the UK—but it won’t carry the same prestige.

A Shared History with the Porsche Cayenne

Interestingly, the Touareg was developed side-by-side with the Porsche Cayenne—a bold move at the time for Porsche, which was dipping its toes into the SUV world for the first time.

Both vehicles launched in 2002 and shared platforms, but the Cayenne gained more attention over the years thanks to the power of the Porsche brand.

Despite their similarities, the Cayenne left the Touareg behind in sales and status, especially in a market now saturated with ultra-luxury SUV entries from Bentley, Ferrari, Lamborghini, and Maserati.

No Direct Replacement for VW’s ‘True Flagship’

Volkswagen isn’t planning a direct successor to the Touareg, meaning this will likely be a clean break.

Once the most prestigious model in VW’s combustion-engine lineup, the Touareg’s end will officially mark the brand’s exit from the executive SUV class.

When the Touareg last received a facelift in 2023, VW confirmed that over 1.13 million had been sold worldwide, including about 58,200 units in the UK.

While sales might’ve slowed, the model has earned a reputation for resilience.

A Russian Driver’s 40ft Drop Proves the Touareg’s Toughness

One of the most jaw-dropping stories that highlight the Touareg’s durability came in late 2023.

A Russian driver named Evgeny Shamko survived a terrifying 40-foot fall when his SUV plunged from a multi-storey car park after breaking through a weak barrier.

Miraculously, Shamko walked away without a scratch—a testament to the SUV’s build quality.

Arteon and Passat Already on the Chopping Block

The Touareg isn’t the only VW model being phased out.

The brand has already removed the Arteon Shooting Brake from its combustion range, and the regular Arteon saloon disappeared from UK showrooms back in 2023.

As for the Passat, a new version was launched recently—but only as an estate.

The traditional four-door saloon is gone, leaving the electric ID.7 as VW’s only saloon-style option moving forward.

Even VW’s EV Lineup Isn’t Immune to Cuts

Volkswagen is streamlining its electric offerings too.

The ID.5, a sportier coupe-styled sibling to the ID.4, is also facing the axe and is expected to disappear by 2027.

Launched in 2021, the ID.5 was aimed at the Chinese market, but rising competition from cheaper local EV brands has made it a tough sell.

It didn’t fare much better in Europe, and it never made it to U.S. showrooms.

Interestingly, the ID.5’s platform also underpins the recently launched Ford Capri EV, which has stirred plenty of debate among enthusiasts.

Looking Ahead: Smaller EVs and a GTI Revival

Volkswagen’s future focus is on smaller electric vehicles. A compact ID.2 is expected to launch next year, and an even tinier ID.1 could follow in 2027.

These models are likely to be more affordable and better suited to Europe’s city roads.

And for those worried that VW’s sporty heritage might get lost in the EV shuffle—good news. CEO Thomas Schäfer confirmed in May that the legendary GTI performance badge will live on in Volkswagen’s electric lineup.

What’s Next for Volkswagen?

Volkswagen is clearly in full transformation mode.

As the company shifts gears toward an electric future, it’s saying goodbye to some of its most iconic combustion-engine cars—including the once-revered Touareg.

While there’s no denying that change is happening fast, it’s also clear that VW has a plan.

Whether fans of the brand will embrace these new electric chapters with the same enthusiasm remains to be seen.