2026 GMC Terrain: Dependable, Yet Misses the Mark on Electrification
The 2025 GMC Terrain, a compact/midsize utility vehicle (CUV), is making waves in the U.S. market with its competitive pricing and premium features.
Available in a single trim level, the Elevation, the Terrain starts at an affordable $31,395 for front-wheel drive (FWD) and $33,395 for all-wheel drive (AWD) models. Later in the year, pricier off-road AT4 and luxury Denali trims will be added to the lineup, but pricing for these has not been announced yet.
Sales performance for the Terrain has seen a slight dip in Q2 2025, with 16,413 units sold, a decrease of approximately 40% compared to the same period in 2024. However, this contrasts with overall GMC and GM sales, which have experienced growth in Q2 2025.
Despite paying extra tariffs to import the Terrain from Mexico, General Motors (GM) has decided not to raise prices for the CUV.
The 2025 Terrain continues with a 1.5L turbocharged inline-4 cylinder engine, delivering 175 hp and 203 lb.-ft. of torque. FWD models are paired with a continuously variable transmission (CVT), while AWD variants receive a new 8-speed automatic transmission.
The Terrain's interior is designed to feel premium, distinguishing itself from its Chevy Equinox cousin. The cabin features sweeping horizontal lines, chrome accents, and a 15-inch portrait-oriented floating center touchscreen. The infotainment system runs on Android Automotive, with Google Services, Google Maps, Google Assistant, and the Play store. Wireless Apple CarPlay and Android Auto are also available.
The Terrain's ride is tuned for everyday driving comfort, with available AWD enhancing traction in various conditions. However, the CUV's towing capacity is relatively low, with a certification of 1,500 lbs. (680 kg), compared to competitors like the Toyota RAV4 and Ford Escape.
The Terrain competes with various compact CUVs, including the Toyota RAV4, Honda CR-V, Mazda CX-5, Nissan Rogue, Subaru Forester, Ford Escape, Tesla Model Y, Hyundai Tucson, and Kia Sportage. The RAV4, in particular, outsells the Terrain and nearly every other entrant in the Middle CUV segment, with RAV4 sales tallying 475,193 last year.
The 2025 model year of the Terrain has undergone numerous upgrades for its core Elevation trim. The Denali trim, starting at $43,590, includes premium features such as a native nav system, Bose premium 7-speaker audio system, wireless phone charging, head-up display, heated and ventilated seats, and body-colored lower body trim.
An 11-inch digital driver information center provides customizable displays, and the CUV offers a 5G Wi-Fi hotspot. The Terrain also comes with a skimpy towing capacity certification of 1,500 lbs. (680 kg), compared to competitors like the Toyota RAV4 and Ford Escape.
The AT4 trim, returning for the 2026 model year, starts at $38,600 and features a special Terrain driving mode, lifted ride height, metal underbody protection shield, and jet-black perforated leather seats.
In summary, the 2025 GMC Terrain offers a competitive pricing structure, premium interior, and a focus on everyday driving comfort. Despite a slight dip in sales, the Terrain remains a strong contender in the compact CUV market segment, particularly when considering its strong overall GM brand presence.
- The Terrain's pricing, starting at $31,395 for the base Elevation trim, falls within the finance realm, making it an attractive option for those looking for an affordable vehicle in the automotive industry.
- The Terrain's design, featuring a premium cabin with chrome accents and a 15-inch touchscreen, aligns well with the evolving lifestyles of urban consumers, reflecting its presence in the lifestyle market.
- The Terrain's competition includes a wide range of compact CUVs such as the Toyota RAV4, Honda CR-V, and Ford Escape in the transportation sector, highlighting the intense competition within the industry.
