The invention is a new and distinct ornamental dwarf grapevine variety denominated ‘VDG004’. The new grapevine carries the REN1 gene for resistance to powdery mildew and is characterized by light green leaves, no visible hair on the young leaves, not having prominent lobes on mature leaf, having smooth leaf surface, having greenish internodes with distinctive anthocyanin accumulation on the nodes, and having small light purple berries.