(first posted 11/2/2017) With the Toyota RAV-4, Honda CR-V and Subaru Forester, the Japanese invented the compact crossover and helped establish a segment that continues to grow and grow in popularity throughout the world. Beneath these compact crossovers, however, are sub-compact crossovers. Toyota and Honda have only recently introduced their C-HR and HR-V; Subaru makes do with a jacked-up Impreza hatch. But the Japanese actually invented this segment two decades ago, it just took the world that time to figure out they liked these kinds of cars.
Mitsubishi’s Minica-based Pajero Mini and Pajero Junior were technically the first tiny crossovers. But with their tiny kei-class dimensions and 1.1 litre (and smaller) engines, they had no future outside of the Japanese market. These were more like sub-subcompact crossovers.
The first widely exported tiny crossover was a bit larger and a bit more powerful and, therefore, destined for greater popularity overseas. And who made this cute little soft-roader? To borrow the company’s advertising tagline for many years, “Daihatsu, that’s who!” The Terios was exported to various Asia-Pacific and European markets and confounded many.
With its tall stance, decent ground clearance, and spare tire on the back, the Terios looked like a funhouse mirror SUV– it was also a good five inches narrower than a Toyota Yaris. But unlike the little Japanese trucks export markets had become accustomed to – like the Suzuki Samurai/Sierra and Jimny – the Terios wasn’t designed to be taken off-road. This was a car-based vehicle with a monocoque chassis, although full-time 4WD was standard. Unlike larger crossovers like the RAV4, the Terios had a live rear axle.
Although a turbocharged three-cylinder engine was available in the Japanese market, the Terios’ export engine was a 1.3 four-cylinder. This little engine had just 81 hp and 77 ft-lbs, and was mated to a five-speed manual or four-speed automatic. Although the Terios weighed under 2400 lbs, the little 1.3 still had to be revved to get the soft-roader moving. The Terios wasn’t especially satisfying to drive – as with subcompact crossovers today, compromises were made. The Terios sat higher than, say, a Nissan Micra – a favorable attribute to the young, mostly female buyers Daihatsu was targeting – but it didn’t handle as well.
The Terios was a steady if unexceptional seller here in Australia but disappeared when the Daihatsu brand was withdrawn here in 2005. However, a second-generation model was launched elsewhere. A little larger, the second Terios was also available in a new, long-wheelbase model with seven seats.
The first-generation model was also available in an extended seven-seat model in Indonesia, while the Terios was also built in Malaysia and sold as a Perodua; the Japanese market also featured a Toyota-badged Terios. The Chinese even ripped off the design.
Although many found the little Daihatsu puzzling, it clearly caught on with some. Today, subcompact crossovers are surging in popularity in markets all over the world, from Brazil to India to the UK and so many more. And it wasn’t market leaders like Ford or Toyota or Volkswagen that invented this segment. It was Daihatsu, that’s who.
Related Reading:
Curbside Classic: 1990 Daihatsu Rocky SE – Technical Knockout
Curbside Classic: 1989 Daihatsu Charade – Treat And Retreat
Curbside Classic: 1997-99 Daihatsu Applause – *sound of crickets in audience*
Still see quite a few of the first gen models here in Tokyo.
The first Honda HR-V was contemporary with the Terios, no? Even though it wasn’t sold in the States until later.
The Terios still pipped it by a couple of years.
Have to admit, I forgot about the HR-V briefly. But then it didn’t seem to match the success of its bigger brother, and then took an eight year leave of absence…
Only one year, the HR-V was introduced in 1998.
I have a 2001 as my daily:
I always thought the first-generation HR-V was cute, and I’m pretty categorically hostile to the genre.
+1
A really sharp shape that seemed to bear no relationship to any other Honda at the time.
+1
I’m going to pick some nits and suggest the 2CV Sahara got there first.
https://www.curbsideclassic.com/blog/cc-for-sale-1961-citroen-2cv-sahara-4×4-includes-a-spare-12-hp-engine-and-transmission-in-the-trunk/
Ah, but isn’t a crossover traditionally a different, SUV-esque body on a passenger car platform?
To be fair, the definition can be blurred. If you count jacked-up passenger cars, you could say cars like the Fiat Panda 4×4 and AMC Eagle Kammback beat the Terios
I stand corrected. Thanks to both you and Paul, I have come to the conclusion that the nits I was picking were in fact non-existent.
The Terios is one of those shapes that appears so narrow and tall it would be easy for one person to just push it onto its side. Not that I would try that, mind.
I hear ya, Don. They do NOT look steady on their wheels. People talk about cow-tipping but what about Terios-tipping?
Haven’t driven one, but have driven the Holden Cruze, the earlier Suzuki Ignis-based one, and tall, skinny and live rear axled, it remains the only modern car that left me terrified. It felt as if it would tip in a straight line. The Terios appears to be skinnier again, and I feel seasick at the thought of driving one.
Let’s go back even further: KdF Kommandowagen.
Yes, the definition of CUV is a source of debate, but I’ve adopted the one that says it has to have a unique body but passenger car underpinnings.
And then, the Kommandowagen begat the 1962 Polar Bug.
Who wears a licence plate linked to an entire continent?
(Great color photos of this one on the web also)
“Kommandeurwagen”?
I have to say Suzuki Jimny/Samurai is the first small 4×4, its model in the 90s has unit body, that qualified as small crossover, a popular car form these days. But like all the second tie Japanese auto makers, it never got any traction in North American. In my view, engineering might, smart marketing and luck has made Honda to be prime auto maker, we see now the same thing in today’s Subaru.
They’re not unibody. These Suzukis all sit on a ladder-type frame.
Reminds me of the upcoming Ford EcoSport. Not sure I would be happy with a 3 cylinder engine. A 4 cylinder is available, but only with 4 wheel drive. Also, all US models have automatics. A 5 speed manual option would be a much better power train choice!! I guess Millennials don’t know how to shift gears ;-(
There’s a lack of joined-up thinking in Ford’s small-car strategy – IMO they should’ve skipped the Ecosport for the US market until the next full redesign since it’s already five years old (not to mention that it feels like it’s been “upcoming” since 1978 at this point) and has NO spinoff potential.
Meanwhile, the Fiesta Active just launched in Europe is much fresher, not saddled with the swing rear door and external spare that buyers have already rejected, and would allow Ford to continue serving the hot-hatch, high mpg and “prices starting at” market niches. But it seems that bringing in the Ecosport and dropping the Fiesta were two separate decisions made at least two years apart.
Could not agree more. The US will get the Ecosport after the rest of the world gets the new Fiesta. Why they think it’s a good idea to send this ancient CUV here, but will (.possibly) discontinue selling the “regular” Fiesta, is beyond me.
Several European magazines have already dubbed the Ecosport an also-ran in the field of CUVs.
Even Land Cruisers don’t have an “external spare” anymore. At least, not here.
It looks completely ridiculous on that Ford EcoSport.
Toyota released a special edition of the Prado (as it is known here) without the rear-mount spare. It did lose one of the dual fuel tanks, so only 90L instead of 180L capacity. All of the suburbs-only drivers won’t know or care, but the Round-Australia types will make sure to get the standard one.
Well, manual transmissions have been decreasing in popularity for years now and I don’t think you can lay all the blame on millennials, as much as my generation seems to have become the whipping boy for everything.
As for the EcoSport, it was designed for developing markets; the previous EcoSport was really just a high-roof Fiesta sold in Europe, Brazil and some other markets, but while Brazilians embraced it, it seemed to fade away in Europe. So, Europe replaced it with the B-Max after a very protracted model run and then the second-gen EcoSport seems to have been designed specifically for countries like Brazil and India. I feel like its introduction to Western Europe, Australia and North America wasn’t part of the original plan.
At least Americans are getting the refreshed version; here in Australia, we’ve had it for a few years now and, while I don’t have the sales figures handy, it seems to be trailing a lot of its rivals. This revised version has come too late and I think it’ll probably get slaughtered by the new Hyundai Kona.
The B-Max is a sub-compact MPV.
The EcoSport is still on the list. Plus something called “The new Ford Kuga”.
http://www.ford.nl/Personenautos
Yes but the B-Max arrived in Europe in 2012 as the Fusion was being discontinued. And really, while one looked like an MPV and one an SUV, they were both basically high-roof Fiestas.
The second EcoSport arrived in Europe later than in the markets it was designed for.
I could be wrong, but the current Kuga is the 2nd generation of that vehicle? The 1st generation was designed in and for Europe while the 2nd generation is a design also sold in North America as the Escape.
Again, I could be wrong, but the current Ecosport is that model’s 1st generation…but with updates. It’s based on the early-mid NINETIES Ford Fiesta.
Yes, it was designed for developing countries, but just because it’s the “correct” size is no reason to use it to plug a hole in a car manufacturers lineup.
I agree on the Kuga, and I think the “new” as referenced by Johannes is a facelift of the 2nd-gen car. In Australia this coincided with the move from the Kuga name to Escape (I think).
There was an earlier Ecosport designed for Brazil/South America, while Wikipedia at least says the ‘current’ one is based on the 6th-gen Fiesta (the just-replaced one).
I do agree that the Fiesta Active would seem to be a better fit for the US, in the mould of the M-B GLA, however perhaps that is linked to the new/next Fiesta not being sold there (perhaps not in Australia either). I have only seen Ecosports on the road, but comparison reviews haven’t given it the best reports.
@ johnh875;
My thinking was, had they opted for the Fiesta Active, there’d be no need to drop the Fiesta in the US; the Active’s volume would carry the hard tooling costs for the entire line since we never got the three-door and under this scenario the sedan would go away (CUVs seemingly replacing sedans anyway, the Active would replace it).
I drove a turbo diesel Kuga not too shabby, 2.0 PSA engine and trans it got along well.
I don’t know why I kind of like Daihatsus, but I kind of do.
I could’ve seen this being a decent seller here in the US had Daihatsu languished a bit more instead of leaving in ’92.
There are two Terios at the hotel I’m living at both belong to the bar manager one arrived on a tow rope having failed to make it the 100kms from Christchurch the other under its own power, she might be keeping the dead one for parts hopefully she wont need any both are tidy little cars
What an adorable trucklet!
It looks like a 5/8 scale CRV, with just a hint more ruggedness to the design. Shame it wasn’t sold here. I suspect it would have sold quite well, because the crossover concept and segment was very novel at the time and I am sure many people who prefer small cars would have loved this Geo Metro-like SUV.
I don’t think it would have come close to the CRV or RAV4s’ sales but with keen pricing it could have made a business case for itself and probably enjoy cult status today.
A better idea than the Suzuki X-90 at least, I think.
Being the owner of a 91′ Rocky, it’s nice to see coverage of the overseas Daihatsu models on here, as any information of them here in the States is slim to none. Keep it coming!
Awesome! I’ve seen exactly one pop up for sale in Indiana, I’d worry about parts availability for it though. What have your experiences been like?
I rented a 2nd gen Terios on my honeymoon in Costa Rica at the beginning of this year, was initially disappointed at the rental counter as I had reserved a Jimny. At least I was able to snag a 5spd variant. Without knowing any better I assumed it was a lame FWD-based AWD crossover type thing. I ended up totally falling in love with this pint sized rough-roader, it zipped right up our very interesting climb up dirt roads to our AirBnB jungle villa. Old school Toyota fulltime 4wd with a solid rear axle sets it WAY apart from a generic FWD based crossover. I didn’t get it in too much trouble, but definitely tested its mettle with some rocky climbs, a few water crossings, and some beach access roads with some really sharp approaches and breakovers. The only time I ran out of clearance was crossing a half-buried steel culvert, just slightly scraped a low hanging crossmember. I think we got close to 30mpg out of the 1.5L, not bad for how I was using it. It was perfectly adequate power wise for Costa Rica’s pacific coast highway where speed limits are generally in the 60-80kph range. The one thing I would add would be either a crawler sub-1st gear, or a low range in the transfer case. There were a few spots climbing up to our villa where if I had to stop, restarting would require really slipping the clutch with a lot of throttle to get going again.
One more beauty shot
Nice photos!
Two references to SEVEN seat versions in the article. Extended wheelbase does not extend the width. Three across seating in one row, really?
this Diahatasu was sold in India as Premier Rio from 2009 .. It was powered by ancient 1.5L Peugot TUD5 diesel engine. Interestingly company bought tooling from a Chinese Company. The car was flop. But it sowed seeds for Compact SUV in india. Four years later Ford Ecosport was launched which was hit.
In 1986, the Chevy dealer I worked for announced they were purchasing “2 exciting import franchises to boost sales”. As a car salesman, I was thrilled to hear it as pushing mid-eighties GM products was wearing on my soul. Who would be joining the party?? They leaked that one was European and the other Japanese —JAPANESE!!! The Holy Grail of 80s car sales! I was saved! I could finally stop hiding on the back lot every time one of my sales was towed back in for repairs, angry customer close behind! Eventually, they made the big announcement in a combined sales/service meeting—and the “winners” were………………. Peugeot and Daihatsu! I quit on the spot.
The body configuration of a tall wagon, four door hatchback, just makes sense. You can build it in any size. Consider Ford, from Expedition to Escape, truck chassis or unitized car platform. I would imagine that many buyers may have chosen the larger sized vehicles initially, but later might consider that a more compact version might be a better fit. I told my Wife that I was interested in the new Lincoln Corsair, and she asked if that was supposed to take the place of my Navigator. I told her no, it was supposed to take the place of my Mustang!
We had one of these as a rental in Costa Rica back in ’04. It was charming and well suited to the rougher roads. Simple, durable, functional, and capable.
I was fairly sure I was going to die in it as my stepfather rocketed down the mountain two lanes at night, passing at inadvisable speeds and locations, attempting to make up time that really didn’t need to be made up.