Cupra Australia has issued a recall for 169 Terramar SUVs produced in 2025, covering a dual software fault that can affect both the electric power steering system and the car's advanced driver assistance functions. This is not a minor inconvenience issue. Both faults can present without visible warnings to the driver, and both involve systems that are expected to work seamlessly during normal and emergency driving.
The Terramar launched in Australia in 2025, positioning itself as a European-flavoured alternative in the competitive mid-size SUV segment. That makes this recall notable: the car is barely off the showroom floor, and the fault is already generating a government-level safety response.
Fault One: Power Steering Loses Its Assist
The first part of the recall involves the electric power steering system. Under certain driving conditions, the EPS may become temporarily inoperable. Cupra's recall notice is clear that the steering itself does not fail completely. You can still physically steer the vehicle.
What changes is the amount of effort required. Without power assistance, the steering wheel becomes substantially heavier to operate. This is manageable at highway speeds where minimal steering input is needed. In tight parking situations, during an emergency lane change, or when cornering at lower speeds, that sudden jump in steering weight can be genuinely dangerous. A driver who is not expecting it may miss their intended line or struggle to react quickly enough.
The temporary nature of the fault compounds the problem. Because it can resolve without any intervention, a driver may not recognise what happened until it occurs again in a more demanding situation, such as avoiding a hazard on a country road.
Fault Two: Emergency Assist and Travel Assist Can Switch Off Without Warning
The second fault is the one that requires more attention. It involves the Terramar's Emergency Assist and Travel Assist driver assistance systems, both of which are safety features rather than conveniences.
Emergency Assist monitors driver responsiveness. If it detects that the driver is not paying attention or has become unresponsive, it applies controlled braking to bring the vehicle to a stop safely. Travel Assist combines adaptive cruise control and lane-centring, which operates on the same platform.
Both systems require the driver to keep hands on the wheel periodically. The fault occurs when the driver's hands are off the wheel for an extended period. During this window, the system triggers a brake jolt designed to alert the driver. The software can then misinterpret this jolt as intentional braking by the driver, concluding that the driver has re-engaged, and promptly deactivating both Emergency Assist and Travel Assist.
The more serious part: the instrument cluster may fail to display the visual or audible warnings that these safety functions have been deactivated. The driver continues assuming the systems are active when they are not.
For anyone using Travel Assist on a long highway run, this is a meaningful safety concern. The system you believe is monitoring your lane and maintaining distance may have been quietly switched off.
Which Vehicles Are Affected and What to Do
The recall captures 169 Cupra Terramar SUVs, all produced in 2025. Cupra has published the full Vehicle Identification Number list and original recall notice through the government's Product Safety Australia database.
Unlike some modern recalls that can be resolved via an over-the-air software update, the Terramar fix requires a physical visit to an authorised Cupra dealer. The workshop will apply a software update to both affected systems, free of charge. Cupra has not indicated how long the dealer appointment takes, but software updates of this nature are typically completed within a few hours.
If your Terramar is affected, book the appointment as soon as practical. Do not wait until you experience one of these faults. The ADAS issue in particular is the kind of fault that only becomes apparent in a situation where the safety system was needed but was not functioning.
For any questions, the Cupra Recall Campaign Hotline is on 1800 879 112.
Context: Cupra's Second Major Recall in Australia
Carseekers has tracked Cupra's recall history in Australia closely. In 2025, the Born electric hatchback was recalled over a battery fire risk, affecting 1,666 vehicles. That was a hardware-adjacent issue. The Terramar recall is software-driven, which means it can be fixed without replacing components, but it also reflects how complex modern vehicle software has become, and how edge cases in that software can create genuine safety gaps.
The Terramar shares its fundamental architecture with the Volkswagen Tiguan, a platform that has proven itself globally over many years. The underlying hardware is sound. What this recall reveals is that the specific software calibration for the Terramar's EPS and ADAS integration produced unexpected behaviour under conditions that may not have been fully covered in development testing.
This pattern is not unique to Cupra. Software recalls have become more common across the industry as the volume of software in modern vehicles has increased dramatically. The difference between brands is not whether they have software recalls, but how quickly and cleanly they resolve them when they do.
What to Ask If You Are Buying a Terramar Right Now
Carseekers would advise any buyer currently in negotiation on a Terramar to ask the dealer directly: has the recall software update been applied to this specific vehicle? A dealer who cannot confirm this should apply the update before you take delivery. There is no good reason to drive away from a handover in a car with a known, open safety recall.
For buyers who were considering the Terramar but are now uncertain, one recall does not define a car's reliability trajectory. The Tiguan platform on which it is based has a strong long-term record. The Cupra brand itself is a newer entrant, which means less accumulated service history in Australia, but the mechanical fundamentals are well-established Volkswagen Group engineering.
If the software fault concerns you, wait until your dealer confirms the update is applied before finalising the transaction. It is a reasonable and simple ask.
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The finer details
Your questions answered.
How do I know if my Cupra Terramar is included in the recall?
The recall covers 169 Cupra Terramar SUVs produced in 2025. Cupra has published the full VIN list through the Product Safety Australia government database. You can also contact any authorised Cupra dealer or call the Cupra Recall Campaign Hotline on 1800 879 112 to check your vehicle's status.
What is the Cupra Terramar power steering recall fault?
Under certain driving conditions, the electric power steering system may temporarily lose its power assistance. Steering remains physically functional, but the driver must apply significantly more effort to turn the wheel. This is most dangerous at low speeds, during tight cornering, or in an emergency manoeuvre. The fault can resolve on its own, which means it may not be immediately obvious when it has occurred.
Can the Cupra Terramar safety system recall be fixed via over-the-air update?
No. Unlike some modern recalls, the Cupra Terramar fix requires a physical appointment at an authorised dealer. The dealer will apply a software update addressing both the power steering issue and the ADAS deactivation fault. The repair is free of charge. Call 1800 879 112 or contact your nearest Cupra dealer to book.
Is it safe to keep driving my Cupra Terramar before the recall is fixed?
Cupra has not issued an immediate stop-drive order. However, both faults can arise without warning, and the ADAS deactivation issue can occur silently without dashboard alerts. Booking the repair promptly is the sensible approach. Avoid relying on Travel Assist or Emergency Assist features until the update has been applied.
Does the Cupra Terramar recall affect its value or should I avoid buying one?
A software recall with a known fix does not typically affect long-term resale value once the update is applied. The Terramar's Volkswagen Tiguan platform is mechanically proven. If you are buying a Terramar now, confirm with the dealer that the recall update has been applied to that specific vehicle before signing. Any dealer worth their commission will do this without hesitation.
Is the Emergency Assist deactivation fault common in other Cupra or VW models?
This specific fault has only been declared for the Cupra Terramar. There is no current recall for equivalent Volkswagen or Skoda models in Australia with the same issue. The Terramar shares platform architecture with the Tiguan, but each model has its own software calibration, and this fault appears specific to the Terramar's ADAS configuration.
