Volkswagen unveiled its new Atlas SUV at the New York International Auto Show recently, but the smaller engine and lack of hybrids suggest it still doesn’t grasp what American buyers want in the booming three-row seven-seater market.
Car launches are generally ghastly events, and this was way down there with the most hideous… and perhaps gave a clue as to why VW struggles to match its huge European sales success in America.
The All-New 2027 Atlas | Volkswagen of America
For decades, the giant German group has repeatedly failed to catch the mood of American consumers. The second-generation model launches in the face of a 6% fall in US sales last year. That’s 71k, which sounds healthy, but is way behind the Ford Explorer (223k), Chevrolet Traverse (148k), and around half the Toyota Grand Highlander’s 137k.
All this matters because, as we’ve seen from recent launches, the fight for three-row SUVs is hotting up. American families are switching from minivans to these bigger seven-seat SUVs, and the world’s manufacturers are clamoring for a share of those profitable SUV sales.
In this context, the Atlas II arrived with a whimper rather than a crash. Reviewers found it all a little underwhelming, with the headline changes being a somewhat smarter design than its predecessor and a general all-round upgrade of onboard tech and luxuries. Independent journalists doubted that ambient lighting, a bigger infotainment screen, and a powered tailgate would swing the sales battle VW’s way.
Volkswagen
In many eyes, the Atlas has simply become more like its sister SUV, the Audi Q7, which is supposed to be the more upmarket model. Top Gear dismissed the new car, saying it lacks character and “feels weedy.”
Where you might think the Atlas needed something more, err, persuasive, is under the hood. But the new model comes with just one engine configuration, and surprisingly it’s smaller than the previous 3.6-liter VR6. Towing capacity remains the same, performance marginally better. Okay, six more horses have been added with the new 2.0-liter four-cylinder Evo5 ICE turbo unit, but many Americans prefer those old-school V engines.
Top Gear and Edmunds have driven the new Atlas, and both report that under heavy acceleration – say merging on a highway with seven people inside – the four-pot turbo sounds “strained” and “buzzy,” whereas the old VR6 had a smoother, premium growl.
Volkswagen
And as for hybrids and electrics, there aren’t any in the 2027 lineup at all. Instead, VW is promising a hybrid version ‘later in the lifecycle.’ Observers suggest this could be as late as 2029, with the arrival of a new non-plug-in hybrid platform shared with the Atlas Cross Sport and Tiguan. It means Hyundai, Kia, Toyota, and numerous Chinese newcomers are already way ahead of VW.
Where once it was an import pioneer with the Beetle and Type 2 Bus, it has failed to capitalize on those cult victories, with decades of mismatched products. Repeatedly, cars designed for European needs – with small engines, compact frames, and cornering stability – have failed to captivate Americans wanting space, power, and style. It seems incredible that VW still does not offer a full-size pickup truck, the biggest-selling vehicle segment in the USA. Add in the stigma of Dieselgate, poor reliability ratings, and tariff costs, and VW’s attempt at a confident, upbeat Atlas launch was somewhat hard to watch.
The vehicle is expected to go on sale later this year, full specs and pricing are yet to come.
Source: VW
