What's the difference?
More than half a century of 5 Series pedigree has led BMW to this, the first electric version of its venerable sedan, the i5.
It's true that electric cars come with benefits that suit the realm of luxury (or at least executive) motoring like their effortless acceleration and near-silent operation, so this new G60 5 Series has the potential to be the best yet in its ‘i5’ form.
But there are rivals, well-liked ones at that, which BMW must contend with to snatch the spot at the top of the large premium sedan ladder technically held currently by the Porsche Taycan in terms of sales - though Mercedes’ E-Class would lead if its electric cousin EQE’s sales were combined.
So, with names like that to go up against, BMW better have brought its A-game.
Commercial vans are not an exciting segment of the car industry - but they are big business.
Not only do businesses, especially fleets, need a quality van, if you can crack the market there are meaningful sales for some of the biggest name brands in the country.
Unsurprisingly, Toyota dominates the mid-size van market with its HiAce, which notched up more than 12,000 sales in 2024 to make it one of the market leader's most popular models. For Ford the Transit Custom is even more important as the brand’s third best-selling vehicle behind the Ranger and Everest.
Which is why the decline of Volkswagen’s Transporter has been a big deal for the brand, and it’s why the arrival of the all-new, seventh-generation model is such a big deal. The German maker only sold 875 Transporters last year, as the transition between the out-going model and this new one hit hard.
But that’s the past, Volkswagen is focused on the future, with high hopes this new Transporter can rise back up the sales charts. It also completes VW’s commercial van line-up, sitting alongside the smaller Caddy and ID.Buzz Cargo as well as the larger Crafter.
This new Transporter is slightly less Volkswagen than the previous six generations, though, as it is now platform sharing with Ford as part of the two automotive giants’ commercial partnership (which sees the Amarok also based on the Ranger).
By working together it has allowed the two companies to develop not only a new diesel-powered van but also an all-electric offering and a plug-in hybrid. The latter won’t be available until sometime in 2026, but we’ve just driven the new diesel and electric Transporter.
There’s no getting around the i5 being a rather expensive offering. More than $150,000 to get into an electric sedan that’s not much faster than a hot hatch is a big ask, but there’s plenty to enjoy about the 5 Series.
Things like its heated leather seats shouldn’t be the reason you’re willing to spend so much on a sedan when a $50,000 hybrid SUV will score you the same, instead it’s the fact the 5 Series is a delight to drive and hasn’t lost the feeling of prestige the badge has earned over the last half a century.
In terms of value - if speed isn’t your focus and you’re less of a gadget-type-operator when looking at cars like this - the 520i has the style and comfort you’d need and at $100K less than the M60.
And in terms of large electric sedans, the i5 eDrive40 is cheaper than a Porsche Taycan (by a little) or an Audi e-Tron (by a lot). The Genesis G80 Electrified is the closest cheaper rival, by about $10K, or the less powerful Mercedes EQE is similarly priced at $154,900.
Essentially, if you’re looking at a 5 Series, it might be worth considering if you really need it to be electric, but if so, there aren’t many alternatives in its category for the price.
Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.
So has Volkswagen done enough with this new Transporter to win back buyers in what has become a highly-competitive van market?
Based on our initial test drive of the Transporter, it’s safe to say Volkswagen has a good chance of regaining some lost ground. But it won’t be easy because there isn’t any particular area where the Transporter really sets itself apart from the competition.
It’s a pleasant van to drive, with a roomy, modern cabin and a competitive cargo area, at least with the diesel engine. The electric Transporter provides an alternative choice for a small audience, but the huge price premium and limited range will mean it won’t suit the vast majority of buyers.
The real opportunity for VW will come when the PHEV arrives in 2026. That has the potential to help create some difference between itself and the likes of Toyota and Hyundai.
It’s noticeable that the brands dominating the commercial van market are the big name ones, rather than the cheaper Chinese competition, which suggests buyers are looking for a trusted name rather than the lowest price.
So from that perspective, Volkswagen has a decent chance of regaining lost ground given its heritage in the van segment.
Note: CarsGuide attended this event as a guest of the manufacturer with meals provided.
If you’ve watched other members of the BMW family go into a new generation within the last few years - the 3, 4 and 7 Series particularly, you won’t be too surprised by what you see here. Especially with the latter, having seen the petrol variants look roughly the same as the electric ones.
BMW specifically made the petrol 520i and the i5 variants look similar for egalitarian purposes - to not disenfranchise 520i buyers who are still spending a fair chunk of cash but might not be ready to go EV.
That means all three variants score a mix of new and old. The kidney grille remains and isn’t as large as on the M3 or 4 Series, while the bonnet line following it and the ‘character line’ down the car’s side also remain. And yes, the Hoffmeister kink where the C-pillar meets the passenger window’s lower corner is still there.
On that C-pillar though is a ‘5’ stamped into the bodywork, new to this generation, while the front grille as mentioned has a glowing light surround - the brand’s ‘Iconic Glow’ already seen on the 7 Series.
Overall, thanks to being slightly larger in every dimension, the new 5 is starting to look bigger than a 7 Series from a little while ago. And that’s because it is - its body is overall longer than an E65 7 Series from the mid-2000s.
It’s 5060mm long 1900mm wide, 1515mm tall (97mm longer, 32mm wider, and 36mm taller). Its wheelbase is 20mm longer too at 2995mm.
Commercial vans are typically not instruments of design, but rather a study in functionality. But credit to the Volkswagen designers because it clearly looks like a Volkswagen from the outside, despite its Ford lineage. While there are obviously some similarities between the Transporter and Transit Custom inside, the front-end design definitely has a visual connection to the previous generation models.
But, of course, functionality is important and by using the Transit Custom underpinnings, Volkswagen has been able to grow the Transporter. It is 150mm longer and the standard wheelbase has been stretched by 100mm, compared to the six-generation, which allows for even more cargo space.
The cabin is well laid out, with a new 12-inch digital instrument display and a 13-inch multimedia touchscreen taking prominence on the dashboard. The multimedia system includes built-in navigation plus wireless Apple CarPlay and Android Auto, as well as digital radio.
A longer wheelbase means more space inside, where the 5 Series also still looks fairly familiar to those who have spent any significant time in a recent model BMW.
BMW has historically been pretty bang-on with ergonomics, and the new-gen 5 does a good job of sticking to that. Comfortable sports seats and quality feel for the materials on touch points mean the 5 Series feels nice to be in, and relatively restrained interior design for a somewhat luxurious car means it looks nice too.
It’s let down only by a couple of things - its multimedia screen and Operating System 8.5 is a little less simple to use now, and requires more touching the screen than previous iDrive systems, rendering the scroll wheel less useful.
The BMW Interaction Bar too is a little tricky to see controls on, as well as lacking physical feedback for using controls. Vent flow controls are digital sliders on the Bar, while vent direction is controlled by an unusual ‘joystick’ style control nearby.
The rear seat is plenty spacious, as you’d expect from a large sedan, with climate controls and ports for charging devices in the rear.
This is the really important element for any good commercial van, both the practicality of the cabin (as drivers spend long hours behind the wheel) and the cargo capacity in the back (for the obvious reasons).
Up front there’s a wireless charging pad and seven USB ports spread around the cabin. There are plenty of small item storage spots, and some not so small items, with a large shelf on top of the dashboard and multiple in-door shelves.
Of course, it’s out the back that’s really important and, as mentioned earlier, there is more space thanks to the larger overall dimensions.
Both SWB and LWB vans come with a plastic floor cover as standard, plus there are load rated tied tie down points, a 12V charging port in the D-pillar and LED lights in the roof.
Thanks to the extra length, the SWB has a 2.6m load length and 5.8 cubic metres of cargo space, while the LWB has 3.0m in length and 6.8 cubic metres. There’s also a steel fixed partition with window, window grille and load through hatch to stretch the usable space even more.
The total payload for the Transporter varies depending on the powertrain. The TDI 2WD can take up to 1062kg (SWB) and 1016kg (LWB), while TDI AWD can manage 963kg (SWB) and 917kg (LWB). The electric Transporter has a significantly lower payload, rated at 806kg (SWB) and 760kg (LWB).
Towing capacity also changes depending on the powertrain, the TDI 2WD can manage 2000kg, TDI AWD up to 2800kg and the electric 2300kg.
There are three members of the new 5 Series family from launch, with a base 520i starting things off from $114,900 before on-road costs.
It’s the only petrol-powered (with mild-hybrid, we’ll come back to this) variant in the trio, but it does have a fairly extensive list of features as standard. In terms of tech and comfort, most of what comes with the 520i is available further up the range too, with the major differences being drivetrain related.
In the 520i, the interior upholstery is synthetic ‘Veganza’ leather with Alcantara, though optional Merino leather is a $4000 BMW Individual option. The front seats are heated as standard, however, and electrically adjustable with memory settings and lumbar support.
A 12.3-inch instrument display paired with a 14.9-inch multimedia display are standard across the range, running BMW’s Operating System 8.5, while a head-up display, ambient lighting, wireless phone charging tray and BMW’s ‘new’ Interaction Bar are included too - a crystalline-style strip across the dash with touch-sensitive ‘buttons’ like the climate controls.
A panoramic glass roof - unable to be opened - is standard too, while the 520i’s sound system is a Harman Kardon set-up with 12 speakers.
Exterior features are quite similar to the more expensive i5 variants, with Adaptive LED headlights, automatic boot opening, an M design kit with front and rear aprons, side sills, and BMW’s Iconic Glow kidney grille surround.
Optional in the 520i is an ‘Enhancement Package’ which adds a choice of aerodynamic 21- or 20-inch wheels, metallic paint, and a 655-watt 17-speaker Bowers & Wilkins surround sound system for $5400. One test car on the launch we attended was painted in a BMW Individual colour - Tanzanite Blue - which upped the price to $7800.
Moving up the range to the mid-tier i5 eDrive40, which starts from $155,900, adds Merino leather interior, metallic paint, Bowers & Wilkins surround sound and aerodynamic 20-inch wheels standard, but it also includes adaptive suspension and some other EV-related features.
BMW’s ‘Adaptive Suspension Professional’ comes with Integral Active Steering (rear-wheel steering) and is a step up over the M Sport suspension from the 520i, while its aero wheels function as a way to keep the electric car’s range being affected by resistance.
The eDrive40 also comes with an acoustic protection system to make ‘electric car noises’ to warn pedestrians, as well as BMW’s ‘Iconic Sounds’ for the occupants - basically a system that uses orchestral sounds composed by Hans Zimmer that are affected by acceleration intensity, speed, and drive mode.
It also comes with the standard kit for an electric car, a Mode 2 and Mode 3 charger, cable, and a five-year Chargefox subscription.
The top-spec i5 M60 xDrive ups the cost to $215,900 and the features list again slightly (as well as being far more powerful).
Its suspension is even more advanced, adding the brand’s Adaptive M Suspension Professional with active anti-roll, plus 21-inch aero wheels as a no-cost option. The M60 also gains an M rear boot lip spoiler.
Inside, BMW’s ‘Crafted Clarity Glass’ controls in the centre console are standard, as is ventilation for the front seats and a four-zone automatic air conditioning system.
In addition to the multiple powertrains, there’s also a variety of body styles to choose from - van in both standard and long wheelbase, Crewvan in both lengths and the long wheelbase Dual Cab.
The Transporter TDI (diesel) SWB van begins the range at $58,590 (all prices exclude on-road costs), while the same size with electric power is priced from $83,590; so the cost of going electric is a big one.
The diesel van LWB is priced from $60,590, and the electric van LWB $85,590, so the extra room is a much cheaper upgrade.
Standard equipment on the Transporter van includes 16-inch steel wheels, LED headlights and tail-lights, keyless ignition, climate control, cloth-trimmed seats, heated front seats and a four-speaker sound system.
Customisation is a key part of the commercial vehicle market, so Volkswagen has done its best to ensure aftermarket suppliers can use the Transporter as a platform to shape it into whatever customers need - delivery van, camper, etc.
For business operators Volkswagen Australia has done a deal with a company called Sortimo. The so-called Sortimo ‘1-Click’ is a new system, exclusive to Volkswagen, that allows owners to add interval shelving options to any VW commercial van direct from the dealer. This can be added at the time of purchase so it can be included in the financing for the car.
Despite BMW calling it ‘electrified’, the base 520i is only a mild hybrid so most wouldn’t realise unless they were told.
Its turbocharged 2.0-litre four cylinder puts out a modest 153kW and 330Nm, with power and torque sent to the rear wheels via an eight-speed automatic transmission.
BMW claims it’ll knock over the 0-100km/h sprint in 7.5 seconds, a few seconds too slow to blow anyone’s socks off.
The mid-spec eDrive40 has a little more kick to it, its rear-mounted electric motor capable of 250kW/430Nm and able to cut that time to 6.0 seconds.
It’s fitted with an 84kWh battery to draw its power from, the same as the 442kW/820Nm M60 with its all-wheel drive dual-motor setup.
The M-tuned i5 can hit 100km/h in a claimed 3.8 seconds. Bye bye socks, perhaps.
As mentioned earlier, Volkswagen has been able to diversify the Transporter for now and into the future, which means the choice of diesel, electric and plug-in hybrid.
Despite the electrified additions, the most popular choice for buyers is overwhelmingly going to be the turbo diesel. The 2.0-litre four-cylinder unit makes 125kW of power and 390Nm of torque and is paired to an eight-speed automatic. It’s available either with front-wheel drive or Volkswagen’s '4Motion' all-wheel drive set-up.
The eTransporter is rear-wheel drive only, and has a single-speed gearbox attached to its 210kW/415Nm electric motor.
The PHEV isn’t here yet, but when it does arrive, Volkswagen has confirmed it will be producing 171kW/205Nm.
BMW claims the petrol 520i sips 6.7 litres per 100km from its 60-litre fuel tank, though we were unable to independently test any of the claimed figures on the launch day.
The base car has a theoretical range of 896km if it was possible to achieve the claimed fuel consumption figure for the duration of the whole tank - but it isn’t and realistically you could knock about 20-30 per cent off that, depending on how enthusiastically you drive.
In the i5 variants, the same 84kWh battery provides slightly different ranges due to the eDrive40 using 16.56kWh per 100km, and the M60 using 18kWh.
The eDrive40 has a claimed 550km maximum range, while the M60 has a 506km figure thanks to its extra motor and weight.
Fuel economy for the diesel is rated at 7.9L/100km for the two-wheel drive variant and rises to 8.4L/100km for the 4Motion AWD.
Our test drive was limited, so we couldn’t get a fair real-world fuel figure, but if you can hit those claims, with its 70-litre fuel tank it has a theoretical driving range of 886km for the 2WD and 833km for the 4Motion - which should be enough to get even the more active delivery drivers through a few days.
As for the eTransporter, VW claims a driving range of 330km, with 125kW DC charging able to replenish the battery from 10-80 per cent in just 38 minutes. Volkswagen is confident that this should be enough to appeal to back-to-base-style operators looking to cut fuel costs and emissions.
For some cars, the list of features is what really separates the variants, but that’s not the case for the 5 Series. As is a bit of a BMW tradition, the drivetrains dictate the different trim levels and prices, and there are three fairly distinct flavours of 5 Series.
Starting at ground level, the 520i might at first seem like a bit of boring vanilla. Except it’s actually quite smooth and light vanilla.
There’s not a lot to write about when it comes to its drivetrain, but the lightness of its engine and petrol tank combo when compared to EV batteries and motors is refreshing, and makes for a quite dynamic rear-drive sedan.
Its 153kW and 330Nm is delivered smoothly enough with the mild hybrid assistance doing a little in helping responsiveness, but without intervening in the gearshifts it doesn’t feel particularly keen.
It lacks the ride comfort of the i5’s adaptive suspension, but it’s able to be driven in a spirited manner that belies its size and even, to some extent its 1725kg kerb weight. Chocolate sprinkles on the vanilla, if you like.
It’s not fast, but it feels nimble compared to its electric siblings and can carry a fair bit more speed through corners, after which there’s room to notice its rear-drive characteristics.
It’s especially noticeable after getting out of the 2130kg eDrive40, though the extra power from its 250kW/430Nm motor makes for some more spirited acceleration and a little more excitement when exiting a corner, especially if you’re aiming to double-check if it really is rear-wheel drive. There’s a little more than choc-topped vanilla going on here.
The steering is, like in the 520i, direct and responsive, though in most cases is probably best set to ‘comfort’ rather than ‘sport’ in its settings.
The eDrive40 is rather comfortable and capable when barrelling through twisty backroads, and doesn’t feel out of hand for a five-metre-long sedan. It holds its weight well, and telegraphs when you might be approaching the limit quite sensibly.
When considering that, then, it’s impressive how brutally capable the 2305kg M60 is.
Here, we’re looking at a double-choc fudge with extra choc, and maybe some cookie dough in there for good measure. There’s a lot to like, but boy is it heavy.
It’s 580kg (or exactly half a Peugeot 208 GTi) heavier than the 520i, but it feels quick on its feet and its anti-roll seems to do a lot in terms of dynamics, the limiting factor really seems to be its tyres (which can and will squeal quite quickly to let you know when approaching said limit).
While you’ll need to take caution with how much speed you approach a corner with, you’re not going to lack acceleration on the other side, its all-wheel drive being less ‘fun’ but more efficient at getting you away from the bend than in the rear-drive eDrive40.
That adaptive suspension does also translate to a comfortable ride on relatively rough roads - only particularly bad bumps will reveal how much weight and pressure is being placed on each corner of the big sedan.
Volkswagen is a company that prides itself on its driving dynamics, even when it comes to vans. Even with the Ford influence, the new Transporter unmistakably feels like a Volkswagen in the way it drives.
It's worth noting we drove the Transporter unladen, so it may respond differently when filled with cargo, but the fundamental behaviour should remain the same.
There’s no mistaking you’re behind the wheel of a big van, but the Transporter reacts well to your inputs, so it feels responsive and surprisingly agile for such a sizable vehicle.
The same is true for the turbo-diesel engine, which feels strong enough to pull the big van along with a minimum of fuss (although, again, that was without a full cargo load in the back). What the engine does well is perform quietly. The cabin is well-insulated from the outside world, so it makes for a more relaxed environment, which will be a welcome factor for anyone looking to spend their working day inside the Transporter.
We sampled the electric Transporter and it also performed well. Dynamically it felt very similar, despite being rear-wheel drive, but obviously the bigger difference is under the bonnet. The electric motor does a fine job, but it feels solid rather than being particularly punchy. The TDI feels like it does the work easier, even under acceleration which should be the electric motor’s strength.
ANCAP hasn’t crash tested the new 5 Series. The last generation was a five-star car and it would be unusual to see that change with additional safety features - even with stricter testing.
The 5 Series comes with BMW Driving Assistant Professional as standard, with active cruise, lane assist and departure warning, front and rear cross traffic alert, collision prevention and intervention systems - in fact BMW says it has about 40 safety systems including an augmented reality dash display.
Its list of airbags includes front and side airbags for driver and passenger including one between the two occupants, as well as curtain airbags front and rear.
This is an area previously overlooked, not just by carmakers but even the safety authorities. Given vans like the Transporter are on the road more than your average family car, it’s important to keep everyone safe.
There is no ANCAP score for the new Transporter yet, and the safety authority hasn’t crash tested the latest Ford Transit Custom, either. So there is clearly still some work to do before commercial vans get the same level of attention as passenger cars.
In terms of equipment, the Transporter comes with a range of active safety items including 'Front Assist' (with cross traffic alert and adaptive cruise control) and a rear view camera. There are also front and curtain airbags to protect the occupants.
BMW has a fairly industry-standard five-year/unlimited kilometre warranty on its new cars, while its electric car batteries are covered by an eight year/160,000km warranty.
For servicing, BMW offers numerous discounted packs and deals based on your preferences and desire to pay upfront.
For the 5 Series, a five-year/80,000km basic service package is $2400, though the i5 will have different needs and lower servicing costs not yet listed by the brand.
Volkswagen says the Transporter and eTransporter require servicing annually or every 30,000km - whichever comes first.
The diesel is significantly more expensive to service, with even the cheapest visit costing $670 and the most expensive $892. Over the first five years the Transporter will cost $3880 to maintain.
By contrast, the eTransporter costs $410 for every visit, except the 90,000km major check-up which is $496. So over five years it will cost $2136 to service.
While VW has an expansive national network of dealers for servicing, and a history with commercial vehicles, that’s not a big advantage over its key rivals in this market - Toyota, Ford and Hyundai - which all boast the same.