Volkswagen Taigo is a sportier take on T-Cross

Volkswagen has expanded its small SUV range in Europe to include the all-new 2021 Volkswagen Taigo – an SUV-coupe that's aimed at style-conscious lifestyle buyers.

Fractionally longer and wider, and with more rakish styling than a Volkswagen T-Cross, the Taigo has been designed to slot into the range between the Polo supermini and the more practical T-Cross, with pricing set to kick off at "less than €20,000" ($A32,000) when sales begin in the coming weeks.

Already on sale in South American markets badged the Volkswagen Nivus, the sportier take on a T-Cross is claimed to have been "technologically adapted" for Europe, which is a less-than-subtle hint that the cars sold in markets like the UK will get a more advanced specification.

In Europe, the Taigo will also be offered with a flagship sporty R-Line model grade.

The R-Line gains LED matrix headlights and Volkswagen's IQ Travel Assist semi-autonomous cruise control as standard, plus a sportier body kit and 18-inch rims.

Inside, there's a 10.5-inch digital instrument cluster and a 9.2-inch infotainment system.

Beneath the skin, the Taigo sits on the same VW Group MQB A0 platform as the Volkswagen Polo and T-Cross and it is expected to share its powertrains.

That means the base models will get a turbocharged 1.0-litre three-cylinder petrol with either 70kW or 81kW, while the range-topping versions will be equipped with the 110kW 1.5-litre four-cylinder turbo.

Both will be offered with either a six-speed manual or a seven-speed dual-clutch automatic.

Despite the sportier focus, a GTI version has already been reportedly ruled out for the Taigo, despite there being comfortably enough room to package the Polo GTI's latest 152kW 2.0-litre four-cylinder turbo.

Later on, more powerful versions could arrive in the form of VW's mild-hybrid tech that will be rolled out to meet stricter emissions regulations.

There is currently no timetable for launch in Australia.