Seat to End Altea MPV Production as SUV Strategy Takes Priority
Seat will phase out the Altea and Altea XL MPVs, shifting focus to a new family of SUVs, with the first compact model due for launch in 2016.
Seat will halt production of the Altea and Altea XL MPVs, ending a decade-long run for the Spanish brand’s compact people carrier as it prepares to introduce a new SUV range from 2016. The move is a response to growing demand for SUVs across Europe and a shift in Seat’s product strategy under Volkswagen Group ownership.
Altea bows out after 11 years
The Altea, designed by Walter de Silva, entered the market in 2004 as Seat’s answer to the compact MPV segment. The larger Altea XL followed in 2006, offering additional boot space and flexibility. Both models sat on the Volkswagen Group’s PQ35 platform, shared with the Leon and Golf. The range expanded in 2007 with the Altea Freetrack, a crossover-inspired variant with optional four-wheel drive.
Despite a strong start, over 31,000 units sold in the first year, the Altea struggled to match rivals in a segment dominated by models like the Renault Scenic. In the first half of 2015, Seat sold 10,544 Alteas in Europe, a 9.5% increase on the previous year, but still far behind the Scenic’s 62,508 registrations over the same period, according to JATO Dynamics.
SUVs to take centre stage in Seat’s line-up
Seat’s decision to discontinue the Altea comes as the brand prepares to launch its first SUV, a compact model based on the Volkswagen Group’s MQB architecture. Production will take place at Skoda’s Kvasiny plant in the Czech Republic, alongside the new Volkswagen Tiguan and Skoda Kodiaq. According to Seat, the new SUV will offer an alternative for customers seeking the practicality of an MPV with the higher driving position and styling now in demand.
The company has outlined plans for a broader SUV line-up, with a subcompact crossover scheduled for 2017 and a larger SUV, influenced by the 20V20 concept, expected by 2020. This mirrors a wider industry trend as SUV sales in Europe continue to climb, with forecasts from IHS Automotive predicting the segment will pass two million annual units by 2020, up from 1.56 million in 2014.
What the switch means for buyers and dealers
For buyers, the end of the Altea marks the disappearance of one of the few compact MPVs still available from a mainstream brand. Seat will now direct family buyers towards its new SUV models, aiming to capture customers moving away from traditional people carriers. Dealers will see the Altea phased out of showrooms as stock runs down, with the first Seat-badged SUV expected to arrive in 2016. The new models will share much of their underpinnings and technology with Volkswagen Group siblings, promising familiar engineering but with Seat’s own styling and pricing position.
- Altea and Altea XL to end production in 2015
- First Seat SUV to launch in 2016
- Subcompact crossover and larger SUV planned for later years
Seat’s pivot to SUVs reflects the changing priorities of European car buyers and the brand’s need to improve profit margins, as SUVs typically command higher prices and offer better returns than hatchbacks or MPVs. The Altea’s departure closes a chapter for Seat, but its replacement is designed to meet the demands of a growing market segment.
