Volkswagen revealed the official fuel economy figures from the EPA for its new Taos, just a few days after announcing pricing information. All Taos models include a 1.5-liter turbocharged four-cylinder engine developing 158 horsepower and 184 pound-feet of torque. Front-wheel-drive models use a traditional eight-speed automatic transmission, while the AWD version receives a seven-speed dual-clutch box. This power output isn't outstanding even by subcompact crossover standard, but it's far from the bottom of the heap.

The EPA rates the front-wheel drive Taos at 28/36/31 mpg city/highway/combined, making it tied for best-in-class highway fuel economy with the Nissan Kicks. Keep in mind though, the Kicks is considerably smaller than the Taos and only offers a naturally aspirated engine with 122 hp. This excellent highway fuel economy tops every other FWD competitor, including the Chevy Trailblazer, Hyundai Kona and Venue, and Kia Seltos. However, the city mpg is a tad lower than competitors like the Kicks, so it still bests the Taos in combined fuel economy.

While not as impressive, the AWD Taos still posts frugal fuel economy figures. It is rated at 25/32/28 mpg city/highway/combined. These numbers outmatch AWD rivals like the Hyundai Kona and Kia Seltos, though the Subaru Crosstrek is still more efficient with either of its two engines.

"We developed the Taos for North America with a balance of efficiency and drivability that we've rarely seen from competitors in the compact SUV space," said Hein Schafer, senior vice president of product and strategy for Volkswagen of America." We think customers will embrace a fun-to-drive, well-equipped SUV at a very competitive price point."

The EPA says an FWD Taos owner will save around $750 in fuel over five years compared to the national average new vehicle, while an AWD owner will save around $250 in the same period. The 2022 Volkswagen Taos starts at $22,995 for the FWD model and $24,445 with 4Motion AWD, which is more than many smaller rivals in this category. Buyers will pay a slight premium over rivals for this car's impressive size, fuel economy, and standard features.