For 2025, the Volkswagen Taos is getting a makeover, its first since it launched in 2022. As VW’s fourth-best seller in the U.S., it’s getting an upgraded engine and a new automatic transmission for the all-wheel-drive models. This week, we’re going to see if the changes made a difference.

Exterior

This updated model may seem similar from the front, but it now comes with standard LED projector headlights across the board. The rear, however, has seen some changes with a new taillight design that stretches across the back, and the badge lights up too, naturally.

Wheels and Tires

New wheel designs are available, which come in sizes from 17 to 19 inches. They’re all black thanks to the Black package on my SE trim test car, which also features black trim on the mirrors, door handles, and a black roof. It also has a front light bar with a lit VW logo to match the new rear end’s full-width lights and illuminated badge.

These specific wheels are 18 inches and are paired with Bridgestone Turanza all-season tires sized 215/25. The front brakes are 12.3-inch vented discs, while the rear ones are 10.7 inches.

Under The Hood

The Taos comes with just one engine option, a turbocharged 1.5-liter inline-four. This engine has been improved from the previous model with new piston rings, bigger fuel injectors, and a better intercooler, boosting its power to 174 hp, an increase of 18 hp, and 184 lb-ft of torque. It can go from 0 to 60 in about 7.5 seconds.

Starting in 2025, the Taos will feature an eight-speed automatic transmission that was once exclusive to the front-wheel-drive model. The previous seven-speed dual-clutch system for the all-wheel-drive option was a bit rough, so it’s been swapped out for a smoother torque converter eight-speed. All-wheel drive is an option across all trims, offering selectable drive modes for off-road adventures and a multilink rear axle instead of the torsion-beam suspension found in the front-wheel-drive version.

Driving

The revamped Taos has some worthwhile upgrades, but it doesn’t really stand out in terms of excitement. The new powertrain is smooth and delivers decent low-end torque, but even with its boosted output, it tends to lose power quickly, making overtaking and changing lanes a bit more challenging compared to the brand’s more powerful models.

I noticed this especially on the freeway here in East San Diego, where the speed limit is 70 mph and cruising speeds are often higher. In urban areas, however, the engine performs well, and its zippiness allows you to dart through traffic with ease.

My FWD tester paired well with the eight-speed automatic transmission, which shifts quickly to keep the engine in its torque-rich zone. You can still manually shift gears if needed, but I doubt anyone actually would.

The steering is direct and responsive, though I found it a bit too light and lacking in feedback. It stays consistent as speeds increase, which helps build driver confidence on winding roads. The brakes have a nice initial bite, but I found they were sometimes a bit grabby, especially when at speed and you need to slow down fast. This resulted in jerkyiness and front-end shimmying.

The Taos has a nicely tuned suspension that helps maintain speed on smooth roads. Don’t get too excited, though; it’s no VW GTI, but the chassis is stiffer than probably most of its rivals, which provides a certain degree of composure you don’t normally get in this class. This doesn’t mean the ride quality is compromised; it’s mostly comfortable except when you hit a particularly bad section of pavement.

Interior

Inside the Volkswagen, they’ve jazzed up the dashboard, the infotainment touchscreen now looks like it’s floating on a cloud, complete with cool accents. You get an 8.0-inch driver display in the base model, and for the lucky driver in SE and SEL models, there’s a whopping 10.3-inch Digital cockpit. Sure, only the driver gets to adjust their seat like a king, but hey, the passenger can at least reach for the sky with seat height adjustments!

The cabin has some fresh materials added. The base S comes with cloth seats, the SE steps it up with a combo of cloth and leatherette, and the top-tier SEL goes for leather, now offered in a sleek dark blue design.

The seats are decently comfortable if a little firm; the only gripe is the length of the seat cushion, it’s a bit too long for my legs, but other than that, they hold you in well.

The Taos has a nice little wireless charger in the center console, a small but deep armrest cubby, and an actual shifter you can grip instead of a small switch, which is the trend these days.

Every Taos comes with features like rain-sensing wipers, a heated steering wheel, a digital dashboard, two USB-C ports, projector beam headlights, 17-inch wheels, and VW’s IQ.Drive safety tech. If you choose AWD for the base model, you’ll also enjoy heated front seats, heated side mirrors, and 18-inch wheels.

Spend a little more money, and the SE version brings adaptive front lighting that turns in corners, another USB-C port in back, dual-zone climate control with rear vents, remote start, and front and rear parking sensors. The top dog SEL brings 19-inch wheels, a panoramic sunroof, and ventilated front seats.

Cargo Area

Rear cargo room is pretty good for a sub-compact crossover, measuring in at 27.9 cubic feet behind the second row for this FWD car, 3 cubes more than the AWD version. Put the second row flat, and you get 65.9 cubic feet. Unfortunately, the load area is not flat.

Price

This is an SE model, so the base price is $30,145, the paint and the black package are $455, so the total price is $32,025.

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Verdict

The Taos has never been bad to drive, but the powertrain updates deliver an immediately noticeable improvement in the zippiness department. You can now more fully appreciate the Taos’ inherent goodness; it’s a refined, pleasant small SUV with good road manners and reasonable handling abilities.

2025 VW Taos SE Numbers

BASE PRICE: $30,145
AS TESTED PRICE: $32,025
VEHICLE LAYOUT: Front-engine, All-wheel-drive, 5-passenger, 4-door Crossover 
ENGINE: Turbocharged and inter-cooled DOHC 16-valve inline-4
POWER: 174 hp @ 5,500 rpm
TORQUE: 184 lb-ft @ 1750 rpm
TRANSMISSION: 8-speed auto 
CURB WEIGHT: 3,365 lb
0-60 MPH: 7.5 sec
EPA COMB/ CITY/HWY: 31/28/36 mpg
OUR OBSERVED FUEL ECONOMY: 26.5 MPG
PROS: Much improved interior, spacious, refined road manners
CONS: No performance improvement, grabby brakes