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GMC Terrain 2027 transmission update to 8-speed automatic

© gm.com
GMC updates the 2027 Terrain with an 8-speed automatic transmission, dropping the CVT. Learn about production, engine specs, and towing capacity changes.
Michael Powers, Editor

GMC will update the transmission lineup for the 2027 model year Terrain. Starting in June when production begins, the crossover will exclusively feature an 8-speed automatic transmission (RPO MGH). The continuously variable transmission (CVT), previously available on front-wheel-drive versions, will be dropped from the range.

Currently, 2025–2026 models with front-wheel drive come with a CVT, while all-wheel-drive versions get the 8-speed automatic. The 1.5L Turbo engine delivers 175 horsepower and 250 Nm of torque with the CVT, or 275 Nm with AWD and the 8AT.

GMC Terrain
© gm.com

GM has not officially disclosed the reason for dropping the CVT. Potential factors include production unification, cost optimization, or improved traction characteristics. In the current generation, towing capacity is 362 kg for FWD and 680 kg for AWD. With the switch to the 8AT, it is expected that the maximum figure of 680 kg will become available for all versions.

Production of the 2027 GMC Terrain will start at GM's plant in San Luis Potosí, Mexico. This move away from the CVT aligns with GM's strategy to simplify its product lineup and reduce costs. Unifying the transmission reduces logistics and assembly complexity and may enhance the model's reliability, especially given reports of transmission issues from owners of previous versions. Moreover, the 8-speed automatic could improve the Terrain's market perception, as buyers in this segment traditionally prefer conventional automatics over CVTs.