This Is the Cheapest New German Crossover With All-Wheel Drive

In the world of crossovers, German engineering often comes with a premium price tag, especially when all-wheel drive enters the equation. However, there is a model that offers a premium interior and year-round traction at a price tag that few of its competitors can match.

Not all German crossovers with all-wheel drive break the bank. One particular model stands out by offering a premium design, everyday usability, and advanced features, all while remaining highly affordable by segment standards. It’s a smart buy for those who want a taste of German quality and capability without the steep entry fee.

In this article, we reveal the cheapest new German crossover you can buy today with all-wheel drive. We’ll break down its starting price, explain how its AWD system enhances performance and versatility, and take a closer look at the interior to see how it stacks up in terms of comfort, space, and technology compared to its more expensive rivals.

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You Can Get a German AWD Crossover For Under $30,000

Generally, German brands are much more expensive than average, with the likes of BMW, Audi, and Mercedes-Benz offering luxury at a high price tag. There is still one mainstream German brand offering excellent value for money, though, and that is Volkswagen. In their lineup of crossovers, it is the subcompact Taos that offers all-wheel drive at the cheapest price.

2025 Trims and Pricing

For the 2025 model year, Volkswagen has updated the Taos with styling that is more aligned with the rest of the brand’s current lineup. But it isn’t just the Taos’ looks that have changed. The German brand has gotten a little more horsepower out of the Taos’ little turbocharged engine, which results in a noticeable increase in pep. All models now come with an eight-speed automatic instead of the seven-speed DCT that used to be offered on all-wheel drive models. The infotainment screen has also been improved.

The Taos may not be the most affordable option in the subcompact segment, but it has a lot to offer for what you pay. Volkswagen has created an identity of grown-up sensibility, and in that way the Taos is extremely practical and comfortable. While all models come with front-wheel drive, even the most affordable S trim can be equipped with all-wheel drive for an additional

Best Value Trim

While you can certainly pick up a Taos S and equip it with all-wheel drive and call it day, if you’re willing to spend a little more money, you can get a lot more value. The SEL is too expensive, and you could spend that money getting yourself something more exciting, like a turbocharged CX-30. The SE Black doesn’t really offer any improvements in terms of features, mostly being a cosmetic package.

Obviously, this leaves the SE. The SE trim is less than $3,000 more expensive than the S, and you get quite a few desirable pieces of kit for that price. A set of standard 18-inch wheels makes the Taos look more stylish and adaptive headlamps and parking sensors add an extra layer of practicality. A power-adjustable driver’s seat, heated front seats, remote start, and a wireless smartphone charging pad are also standard on this model.

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Even With All-Wheel Drive The Taos Is Efficient

If you’re on a budget and looking to buy an all-wheel drive crossover, something that is likely important to you is fuel efficiency. There are far too many crossovers on the market which see a massive drop in efficiency when equipped with all-wheel drive. While the front-wheel drive Taos is more economical, the all-wheel drive model is still plenty light on fuel.

Performance Specifications

The Volkswagen Taos comes equipped with one of the more powerful base engines in the subcompact class, which allows it to feel pretty quick compared to many of its rivals. As mentioned earlier, Volkswagen has squeezed an additional 16 horsepower out of the engine compared to the outgoing model. The turbocharged four-cylinder is standard across the board, and the eight-speed automatic has become standard kit.

Another big reason to opt for the all-wheel drive system is its more sophisticated suspension setup. Front-wheel drive models make use of a torsion-beam system while all-wheel drive models feature a multilink design. This helps make the all-wheel drive model feel particularly smooth, even over somewhat bumpier surfaces. Either way, though, the VW offers plenty of fun thanks to its low-speed grunt and well-tuned chassis.

Fuel Economy

As mentioned above, opting for the all-wheel drive Taos does drop its economy rating. However, the Taos is still an impressively efficient car. The average combined fuel economy for the subcompact crossover segment is around 28 miles per gallon. This means that the front-wheel drive model is well above average and the all-wheel drive model stays within the realms of normal. Compared to the few other subcompacts with all-wheel drive, the Taos isn’t bad at all. This excludes hybrid models, of course.

Key Driver Assist and Safety Features

• Adaptive Cruise Control
• Lane Keep Assist
• Automated Emergency Breaking
• Road Sign Detection
• Park Distance Control

Volkswagen has infused the Taos with their advanced suite of driver assists, making it extra practical. For one, it is capable of combining the adaptive cruise control system, which features stop-and-go, and lane keep assist to offer a semi-autonomous driving experience. It is also capable of detecting road signs and displaying them in the cabin as well as using sensors and automatic breaking to help you park.

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Volkswagen May Not Be a Luxury Brand, But The Taos Is Super Comfortable

While many obviously opt for German brands because of their association with luxury, Volkswagen offers a more humble experience. That being said, the German brand still puts a huge emphasis on offering a stylish cabin that is just as practical as it is comfortable. Of the mainstream brands on the market, many look at Volkswagen as being among the most luxurious, and we can see why with the Taos.

Interior Dimensions and Comfort

One thing that the Taos can definitely not be faulted on is the amount of space that it offers inside the cabin. Those in the front have plenty of space to kick back and stretch out their legs, and those in the rear will feel plenty comfortable as well. Cargo space is also plentiful, and if you need to haul something particularly large, you can fold the second row away to create up to 65.9 cubic feet of space.

The interior of the Taos is designed much within the Volkswagen ethos. It is comfortable and classy but also exceptionally pragmatic. While things like cloth upholstery are standard, some models can be equipped with leatherette or leather instead. There is a bevy of desirable comfort features available in the Taos lineup as well, with things like customizable ambient lighting, dual-zone climate control, heated and ventilated seats, and a panoramic sunroof being on offer. The brand has also reintroduced buttons instead of touch controls for the climate control system.

Infotainment and Technology

For the 2025 model year, an eight-inch infotainment screen is now standard kit on every trim of the Taos. Along with this, every model comes fitted with a fully-digital gauge cluster, which is rare standard equipment in this segment. More affordable trims offer a wired connection for Android Auto and Apple CarPlay, but you can get wireless compatibility on the upper trims.

As mentioned before, there is plenty of other practical tech in the cabin, such as a wireless charging pad for your smartphone. SE and SEL trims also allow you to control key features within the crossover using voice commands.