Bottom Line Up Front
The next rival to the revived Tata Sierra has been spotted, and it’s powered by a Mercedes‑derived engine. Expect a launch later this year, a price around ₹12 lakh, and mileage near 14 km/l.

Upcoming Sierra Rival with Mercedes Engine – Launch Date, Price & Mileage
Image: Upcoming Sierra Rival with Mercedes Engine – Launch Date, Price & Mileage – Performance Comparison and Specifications
Design & Looks
First impressions show a bold, boxy silhouette that echoes the original Sierra’s rugged charm. The front fascia features a large grille with a subtle Mercedes badge, while the side profile retains the iconic high beltline and pronounced wheel arches. Inside, the cabin appears to blend retro switches with a modern touchscreen infotainment system, aiming to please both nostalgic fans and new buyers.
Performance & Mileage
Under the hood, the rival will reportedly use a 2.0‑litre Mercedes‑tuned turbo‑charged four‑cylinder. This engine should deliver around 170 hp, enough to move the 1,300 kg body confidently on Indian roads. Early leaks suggest a claimed fuel efficiency of about 14 km/l in mixed driving, which is competitive for a compact SUV with this power level.
Price & Rivals
Pricing is expected to start near ₹12 lakh (ex‑showroom). That places the new contender between the Mahindra XUV300 and the Tata Nexon, but with a premium engine badge that could justify a slightly higher price tag. Its main rivals will therefore be the XUV300, Nexon, and possibly the new Hyundai Creta entry‑level model.
Key Specs at a Glance
| Engine | Mileage | Price | Top Features |
|---|---|---|---|
| 2.0 L Mercedes‑tuned Turbo | ≈14 km/l (mixed) | ≈₹12 lakh |
|
FAQ
What is the expected mileage of the new Sierra rival?
Manufacturers claim around 14 km per litre in mixed city‑highway conditions.
When will the vehicle be launched in India?
Sources point to a launch in the third quarter of 2026, with bookings opening a month earlier.
Is the Mercedes‑engine version worth the higher price?
If you value smoother power delivery and a premium badge, the extra cost could be justified. For pure budget buyers, the standard engine variants of existing rivals remain cheaper.
Join the Conversation
What do you think about a Mercedes engine in a budget SUV? Share your thoughts in the comments below.
Source: Read Official News







