If your terrace faces south, your furniture is basically sitting under a magnifying glass for much of the day. I’d tackle the problem in layers: shade first, then covers, then material choice and routine care.
Start with terrace shade. A cantilever umbrella, retractable awning, pergola with slats, or shade sail can block the harshest midday sun without making the space feel closed in. If you can, place furniture along the edge or under a wall overhang rather than in the center of the terrace where sun hits hardest. In cities, wind can be tricky, so anchor umbrellas and shade sails properly.
Next, use breathable furniture covers. Avoid cheap plastic tarps, because they trap heat and moisture and can cause mildew or fading. Look for UV-stabilized, water-resistant but breathable covers that fit loosely enough for air to move. Cover cushions and tables when the terrace will sit unused, especially in summer afternoons, and pull covers off when furniture is damp.
Material matters for UV-resistant outdoor furniture. Powder-coated aluminum frames, teak or acacia with proper oiling, HDPE wicker, and solution-dyed acrylic cushions handle sun better than cheap resin or untreated wood. Dark colors absorb heat, so lighter finishes can feel cooler and show less fade. Even good materials need care: clean with mild soap, rinse, and dry thoroughly. Re-oil wood once or twice a year, tighten bolts, and use UV-protective spray only if the manufacturer recommends it.
For soft furnishings, store cushions in a dry box when not in use and bring them inside during long stretches of intense sun. Rotate chairs and tables occasionally so one side doesn’t take all the UV. This layered approach gives you practical sun damage protection and keeps urban outdoor furniture looking better for longer on a sunny south-facing terrace.