New Volvo XC90 from $90K

Volvo's ground-breaking new XC90 will be priced from $89,950 plus on-road costs when it arrives in Australia in May next year.

While that marks a significant step up from the outgoing, original XC90 (priced $20,000 lower, from $69,590), it's not far from the same starting prices of the most direct seven-seat SUV rivals from Germany, including the Audi Q7 (from $90,500), BMW X5 ($83,900) and Mercedes-Benz (M-Class $83,500).

Pricing will extend all the way to $122,950 for the range-topping T8 Twin Engine plug-in hybrid model, which along with other R-Design models will go on sale here in the third quarter of 2015, bringing the total line-up to seven.

The new XC90 will initially be available here in D5 diesel and T6 petrol form, in both Momentum and Inscription equipment grades. The T6 costs $4000 more than the D5, while Inscription models cost $7000 more than the base Momentum, and R-Design models will be priced a further $1000 higher.

Opening the range at under $90,000 is the XC90 D5, powered by a 165kW/470Nm 2.0-litre four-cylinder turbo-diesel engine that consumes 5.8L/100km and emits 152g/km of CO2.

The T6 petrol range starts at $93,950 and comes with a 236kW/400Nm 2.0-litre four-cylinder turbo-petrol engine consuming 7.7L/100km and emitting 179g/km.

Australian efficiency figures for the T8 Twin Engine R-Design hybrid, which adds a 60kW electric motor to the mix, are yet to be announced.

All XC90 variants come standard with all-wheel drive, an eight-speed automatic transmission and fuel-saving idle-stop system.

The second-generation XC90 (and the first redesign in 13 years) is the first vehicle to employ Volvo's new Scalable Product Architecture (SPA) platform and four-cylinder Drive–E engines, and is claimed to bring a class-leading new central touch-screen infotainment system.

Volvo's new local chief Kevin McCann said the XC90 will be a significant player for the Swedish brand in Australia, where 10 of the 1927 'First Edition' models sold in the first 48 hours will find homes.

"Following its overnight public reveal at the Paris motor mhow, we are pleased to detail further information on the all-new Volvo XC90,” said Volvo Car Australia's managing director.

“The all-new Volvo XC90 is an exciting step towards the future for Volvo in Australia. It’s a vehicle which will continue to redefine the perception of the Volvo brand and deliver on the promise of uncompromised luxury, class-leading technology and world-first safety innovations.”

2015 Volvo XC90 pricing:
D5 Momentum -- $89,950
D5 Inscription -- $96,950
D5 R-Design -- $97,950
T6 Momentum -- $93,950
T6 Inscription -- $100,950
T6 R-Design -- $101,950
T8 R-Design -- $122,950