Volvo has built a reputation around ‘sensible’ vehicles but unlike the boxy designs of its past, the newly updated XC60 proves that sensible doesn't have to mean soul-crushingly boring.
The Swedish SUV has undergone what Volvo diplomatically calls a “significant refresh”, which involves a subtle new look on the outside and plenty of new tech and material changes inside.
Pricing has gone up by $1000 for the 2.0-litre turbo-petrol ‘B5’ model grades while the plug-in hybrid version maintains the same price points. See below for the full price list.
Starting with exterior changes, Volvo says the refreshed XC60 adds a more “contemporary” look to the premium five-seater, achieving this via a new-look lower bumper design.
There are now darker taillights and new wheel options, while three extra colours are on offer: Forest Lake (blue), Aurora Silver, and Mulberry Red.
The biggest update is arguably the infotainment system, which is now more than twice as fast as before, with graphics that render 10 times faster. Translation? No more tapping the screen like a manic woodpecker while your passenger judges your tech incompetence.
The larger 11.2-inch touchscreen is the star of this show, now boasting 21 per cent more pixel density for what is claimed to be a crisper visual experience.
Volvo says the user experience is now improved and can be more personalised than before, while several Google services are built into the native operating system, which is based on the Android Auto OS.
Inside, Volvo has upgraded to materials like ‘Quilted Nordico’, which sounds like a high-end sleeping bag but is actually a premium synthetic leather upholstery.
Volvo has changed up the interior décor by adding new inlays and highlights throughout the cabin to deliver a “more exclusive and contemporary experience”.
The wireless phone charger has been modified to improve usability and ergonomics and the Swedish car-maker reckons the cabin is quieter now, presumably due to improved sound suppression materials in the bodywork – perfect for contemplating whether you really needed that top-spec T8 Plug-in Hybrid powertrain.
Options include either Harman Kardon or Bowers & Wilkins sound systems plus air suspension, the latter designed to deliver both smooth, comfy cruising then a firmer ride at a touch of a button.
There are four variants to choose from, all with all-wheel drive. The entry-level Plus B5 Bright starts at $74,990 plus on-road costs (ORCs) and rising to the Ultra B5 Dark for $81,990 plus ORCs. These B5 models are propelled by a four-cylinder turbo-petrol mild hybrid engine (183kW/350Nm) hooked up to an eight-speed automatic transmission.
Step up to the XC60 Plus T8 Plug-in Hybrid Dark ($92,990 plus ORCs) or Ultra T8 Plug-in Hybrid Dark($101,990 plus ORCs) and you get a more potent – and efficient – powertrain.
It comprises a 233kW turbo-petrol engine up front along with a 107kW electric motor that drives the rear wheels. This setup means you can cruise around town in complete silence on electric power alone.
Standard features are expected to be generous, with Volvo Australia confirming power-adjustable front seats with memory, a crystal gear lever selector, integrated child booster cushions in the rear seat, head-up display, 360-degree parking camera and a blind-spot information system.
Since 2017, Volvo has sold over 1.5 million XC60s globally, making it the brand’s bestseller and proof that people really do want to have their cake (luxury) and eat it too (practicality).
Thus far in 2025, to the end of May, the Volvo XC60 accounts for 3.9 per cent of the luxury mid-size SUV market segment, down slightly on the same period last year. The top-selling vehicle in the segment is the Lexus NX with a 13.1 per cent market share.
How much does the 2025 Volvo XC60 cost?
XC60 Plus B5 Bright: $74,990 (+$1000)
XC60 Ultra B5 Dark: $81,990 (+$1000)
XC60 Plus T8 Plug-in Hybrid Dark: $92,990
XC60 Ultra T8 Plug-in Hybrid Dark: $101,990
* Prices exclude on-road costs