Premium off-roaders from Audi and BMW could appear on the market by 2030 to compete with giants like the Mercedes G-Class. Here are the key points:
The Rugged Off-Roader Market is on the Rise
Powerful off-roaders are experiencing a real boom, especially in the USA. While previously a niche for enthusiasts, the segment has grown rapidly with the arrival of models like the Ineos Grenadier, Ford Bronco, Rivian R1S, and GMC Hummer EV. Classic models such as the Land Rover Defender, Mercedes-Benz G-Class, and Toyota Land Cruiser are facing unprecedented competition, and soon new premium contenders from Audi and BMW will join it.
Demand for true 4x4s is growing rapidly not only in the USA but also in China, so the desire of the two main German competitors of Mercedes-Benz to enter this market is quite logical. These new players promise to shake up the market, which could be beneficial for consumers.
Audi’s Plans to Enter the Off-Road Market
What can be expected? Audi has long considered the idea of creating a true off-roader on par with the Mercedes G-Wagen. In early 2025, the brand presented the wild Q6 e-tron off-road concept, a car with such a dramatic appearance that some even doubted whether its design was created by artificial intelligence.
Illustrations Theottle
However, despite the impressive look of the concept, Audi’s real answer to the Land Rover Defender is likely to take a different path. According to reports, the production model will most likely share a technical base with the future Scout Terra and Traveler models of 2027, developed under the umbrella of the Volkswagen Group.
Scout models are planned with a fully electric powertrain and a range-extender setup. Audi could borrow this hardware but will likely increase the power to justify a higher price and premium positioning. Moreover, the Audi model may not only use Scout parts but also be assembled at the future Scout plant in South Carolina. This would avoid tariffs that would apply to a car assembled in Europe and exported to the USA. A launch is possible by 2030.
Off-Road Project from BMW
On the other hand, BMW is preparing its G-Class competitor under the codename G74. It may use the same CLAR platform as the X5, but modified for improved off-road capability on difficult terrain.
Although BMW does not have the same rally heritage as Audi, the company has enough engineering expertise to create a no less capable vehicle. Like its competitor, it will almost certainly be produced in the USA at the brand’s plant in South Carolina.
The powertrain question also remains important. Since the fully electric Mercedes G580 did not gain popularity, it would be wise for Audi and BMW to offer their off-roaders with internal combustion engines, either alone or as part of a hybrid system. If Audi and BMW still want to sell electric versions, they may find more willing buyers in China, where there are already many rugged electric vehicles.
Unprecedented Market Demand
Demand for SUV off-roaders has never been so strong. Last year, the combined sales of the Ford Bronco, GMC Hummer, Ineos Grenadier, Jeep Wrangler, Land Rover Defender, Land Rover Range Rover, Mercedes G-Class, Rivian R1S, and Toyota Land Cruiser reached 415,007 units, more than the 349,517 in 2023. In the first nine months of this year, sales amounted to 371,495 units, putting the segment on track to exceed the 2024 results. It is clear that the new Audi and BMW models cannot appear too soon.
The entry of players like Audi and BMW into the true off-roader market could be a turning point for the entire segment. Their experience in creating premium cars, combined with powerful engineering and the ability to use shared platforms within their groups, allows for high-level products to be expected. The key question remains the balance between the authentic off-road capability expected from such a class of vehicles and the level of comfort and technology characteristic of German premium brands. The success of these models will also largely depend on the correctly chosen powertrain strategy, especially in such diverse markets as the USA and China.