Cadillac Optiq vs Volvo XC60

What's the difference?

A taste test, but so far so good for the Cadillac Optiq, which is already my favourite model in the Caddy range. More space than you think meets a lovely cabin experience and a punchy powertrain.

Note: CarsGuide attended this event as a guest of the manufacturer, with accommodation and meals provided.

Note: The author, Andrew Chesterton, is a co-owner of Smart As Media, a content agency and media distribution service with a number of automotive brands among its clients. When producing content for CarsGuide, he does so in accordance with the CarsGuide Editorial Guidelines and Code of Ethics, and the views and opinions expressed in this article are solely those of the author.

The facelifted Volvo XC60 Ultra B5 Dark is the car at school pick-up that doesn’t need to brag. It just gets on with things and it looks good doing it. It offers a strong mix of family-focused features, comfortable and composed road manners and thoughtful practicality throughout the cabin.

The updated media system is crisp and responsive, though it could use a few tweaks to be truly intuitive. Overall, the XC60 mild-hybrid remains a solid choice for families who value understated luxury, comfort and safety over flash. It doesn’t reinvent the wheel, but it does what it does well.

I really like the exterior of this Optiq, and especially the front-on view, with its vertical DRLs and that bold Cadillac grille delivering real medium SUV street presence. 

You could argue the side profile is a little more vanilla (discounting the big wheels, of course), but it looks swept-back and sporty, and not as though it has been designed exclusively for aerodynamics above all else. That's a compliment, not an insult. Cadillac's engineers say every line and crease has been developed to help it slip through the air, but it does it without looking like a science experiment. 

The material choices inside are lovely, too. The brand says it has focused on sustainable and recycled materials (the centre console is made from tulip wood and recycled newspaper, for example), but the highlight in my test car was the fabric derived from recycled polyester fabric that lined the door panels and much of the dash. It's a refreshing (and comfy) departure from the norm.

Less positive is the level of Mar-a-Lago bling dotted elsewhere in the cabin, like the chrome ringed centre console and silver-tipped vent controllers. They jar with the otherwise dark, calming and modern-feeling space.

There are physical buttons galore, controlling all your climate settings along with steering-wheel controls as shortcuts for key functions, but there is also still a bit of on-screen action for things like quick access to your driving modes.

The tech looks fab, though, with the curve through the screen looking intentional and elegant and way nicer than the tablets plonked in a lot of EVs these days.

The XC60 has a graceful, poised curbside presence. Its wide stance and smooth body panels give it a confident silhouette, while the redesigned grille with dark accents, integrated intake vents (both faux and real), and those sharp 'Hammer of Thor' headlights tie it all together. It’s not trying to be sexy, but it is undeniably handsome. It's the kind of SUV that turns heads quietly rather than shouting for attention.

Inside, the vibe is pure Scandi chic. There’s a refreshing lack of plasticky surfaces, with everything feeling solid and premium to the touch. The supple Nappa leather seats and expansive panoramic sunroof instantly make the cabin feel airy and refined.

Taking centre stage on the dash is a new 11.2-inch portrait-style media display. The layout is a little too reminiscent of an oversized iPad for my taste, but the crisp graphics and quick touch response are big pluses. Adding a touch of craftsmanship, the crystal Orrefors gear shifter and genuine driftwood inlays across the dash and centre console bring warmth and texture you don’t find in most rivals.

Is this facelift breaking new ground? Not really. But then, it doesn’t need to. Volvo has long been firmly planted in the premium end of the field and this update simply shows it's still cultivating all the right qualities.

The Cadillac Optiq is around 4.8m long, 1.9m wide and 1.6m high, which is slightly longer than your average mid-size SUV. And I would argue most of that extra space is located in the back seat, where – at 175cm – I had no problem stretching out behind my own driving position. There was plenty of knee room and, thanks to a virtually flat floor, no bulky tunnel getting in the way for the middle-back rider, either.

Headroom could be a touch more challenging. It was no issue for me, but there wasn't a ton of clear air between the top of my head and the raked roofline, so six-foot-plus passengers might be stooping. Still, if your kids are six-foot-plus, get them into the NBA and have them buy you a car instead.

Elsewhere in the back there are cupholders in the pull-down seat dividers, ISOFIX attachment points in each window seat and twin USB-C ports. There are air vents but no temp controls for backseaters.

The boot is sizable, too, with Cadillac promising 744 litres of cargo space with the rear seats in place and 1603 litres with the rear seats stowed flat. And kudos for not just providing a neat charging cable space under the boot floor, but also giving you a little zip-up suitcase to store it in.

The XC60 is spacious without being sprawling. The front row is the sweet spot for comfort, with generous leg and headroom plus ergonomic seats that offer excellent under-thigh and side-bolster support. They also bring the luxury of heating, ventilation and even massage functions.

The rear row uses firmer padding, and while the backrest looks fairly flat, it’s deceptively supportive. Adults should be comfortable back there on longer journeys. Access is only slightly compromised by the wheel arch eating into the rear aperture, but otherwise it’s an easy SUV to get in and out of. My eight-year old pointed out that the rear doors are on the heavy side, though, and often need a good slam to latch properly.

Storage is well thought out throughout the cabin. Up front you get a decent glove box, cupholders, drink bottle holders, door bins, a dedicated phone tray that doubles as the wireless charging pad and a shallow centre console with two USB-C ports. One niggle. The cupholders don’t grip cups as snugly as they should.

The rear row has a 60/40 split with a 'ski-port' door and a fold-down armrest. And in the back, there are door bins with bottle holders, a fold-down armrest with cupholders and net map pockets. Rear passengers are also spoiled with dual-zone climate control, four directional air vents and two more USB-C ports.

One of the XC60’s best family-friendly features is the integrated booster seats, which have two height settings and fold neatly back into the base when not in use. They’re a lifesaver if you have kids who feel like they've 'aged out' of car seats but aren’t quite tall enough to go without. Of course, there are also ISOFIX mounts and three top-tether points if you still need to install child seats.

Out back, the boot offers a flat loading space, a powered tailgate with kick function and a healthy 613L of storage with all seats up (up to 1543L when the rear row is folded). You also get a 12-volt socket, a proper temporary spare tyre, and if you’ve got the optional air suspension (as per our test model) you can raise or lower the boot height for easier loading.

Tech usability is a bit of a mixed bag. The new 11.2-inch media display is sharp and responsive, and it comes pre-loaded with Google apps like Maps, Spotify and Assistant. But the Apple CarPlay and Android Auto isn't wireless, which feels like a miss at this price point.

The Bluetooth is patchy, with calls and music sometimes not syncing properly. A wired connection works better, especially for my iPhone 15 Pro Max, but I'm not a fan of leaving my phone on charge all the time. If you’re already familiar with Volvo or Polestar’s system, you’ll feel at home, but first-timers may need a little time to adjust.

There are two mild-hybrid variants in the XC60 line-up, and the one we’re driving here is the flagship Ultra B5 Dark. Priced at $81,990, before on-roads, it costs about $7000 more than the entry-level Plus B5 Bright, but that premium buys you a longer list of included features that makes the Ultra Dark feel like the sweet spot of the range. Especially considering Volvo also offers two plug-in hybrid XC60s, but those command up to $20K more!

In terms of market rivals, the XC60 sits right in the middle. The Audi Q5 TFSI starts at $81,000, while the Lexus NX 350h Sports Luxury AWD asks $87,900, both before on-road costs.

Standard equipment is generous. The Ultra Dark gets a panoramic sunroof and Nappa leather upholstery, with the electric front seats offering heating and ventilation functions plus a heated steering wheel for winter comfort. There's a 360-degree view camera system with surrounding parking sensors and a park-assist feature.

Tech upgrades include a new 11.2-inch media display with in-built navigation, Google apps, and wired Apple CarPlay/Android Auto, backed up by four USB-C ports, a 12-volt socket and a wireless charging pad. There's also a Volvo phone app, which allows users to pre-condition the climate prior to entry, have a digital key and program the spare key for any kids who might want to borrow the car!

Families will appreciate the thoughtful touches like a powered tailgate with kick function, built-in child booster seats in the rear row, a temporary spare tyre (a welcome feature), four-zone climate control and lots of storage throughout the cabin. Keyless entry sensors on every door add another layer of convenience.

Our test car was also fitted with just over $5000 worth of options, including the Bowers & Wilkins premium sound system, active air suspension, tinted rear windows, and even front seat massage functions. When you consider that many rivals charge extra for equipment that comes standard here, the XC60 Ultra B5 Dark makes a strong case for itself on value.

There is only one trim level and powertrain on offer in the Optiq, called the Sport AWD, and with it comes dual electric motors – one on each axle – delivering a total 224kW and 480Nm. 

That's enough, says Cadillac, to push the Optiq to 100km/h in a hot-hatch-feeling 6.3 seconds and on to a top speed of 210km/h.

The Ultra B5 Dark tested here is all-wheel drive and has a 2.0-litre, four-cylinder, turbo-petrol mild-hybrid engine. It produces up to 183kW of power and 350Nm of torque.

The 'mild hybrid' tag comes from a 48-volt system paired with an integrated starter-generator. It’s not a full hybrid, so you won’t be gliding around silently on electric power alone, but it helps smooth out stop-start driving, boost efficiency and add a little extra shove when you put your foot down.

The result is an engine that feels lively in the city and confident out on the open road, with enough in reserve to make overtaking stress-free.

The downside of the Cadillac EV experience arrives here, with surprisingly slow charging speeds for a vehicle in this class. Remember, Australia's fastest DC chargers are rated to 400kW, and a vehicle like the BMW iX3 will accept it, taking you from 10 to 80 per cent charged in 21 minutes.

The Optiq, though, is rated to just 110kW, which feels a bit odd. The brand doesn't quote a 10 to 80 per cent time and instead says you'll accrue "up to 94 kilometres of range in 10 minutes".

Still, most people charge at home, and there the Optiq can be plugged into anything from a regular wall socket to a super-fast 22.1kW three-phase AC wallbox. 

The brand is promising a total 425km WLTP driving range with a fully charged battery.

Volvo claims combined cycle (urban/extra-urban) fuel use of 7.6L/100km for the XC60 Ultra B5 Dark, which isn’t bad for a turbo-petrol but reminds you that this is only a mild hybrid. With a 71-litre fuel tank, you’re looking at a theoretical driving range of up to 934km which is great for a family SUV likely to see its fair share of school runs and road trips.

In my real-world testing, which included plenty of urban driving with one longer trip in the mix, I averaged 8.6L/100km. That’s a little higher than the claim, but still a respectable result overall.

First things first, this was a limited test of the Optiq, mostly stop-start Sydney traffic, so you’ll have to wait 'til we get the Caddy through the CarsGuide garage for a full and thorough test for a detailed driving review. But on first impressions, the signs are good for the Optiq.

The power delivery is rich and plentiful, and while it’s not aggressively fast, there’s more than enough punch from the line to get you up and moving in traffic.

It rides well, only feeling a bit brittle over properly rubbish road surfaces, and it offers a refreshing sense of connection to what’s going on beneath the tyres.

The steering can feel a little vague on-centre, however beyond that it feels direct but not darty, with a nice weight to the movement. 

The active noise cancellation and sound deadening appear to be doing their roles well, too. I drove past a roadworks site, and most of the drilling occurring outside was banished from entering the cabin. Impressive stuff.

Again, I want to spend more time with the Optiq before passing full judgement, but so far so good – it's my favourite of the Cadillac products to date.

There’s plenty of power on tap, with enough left in reserve when you really need to push it. Around town, the XC60 keeps up with traffic effortlessly, and out on the highway it never feels strained. The transmission is fairly punctual with its shifts, though you do need to drive it a little more assertively to avoid any lag when accelerating from a stop.

Visibility is excellent thanks to the big, wide windows and higher driving position. It’s also refreshing to have a wide rear window behind the C-pillar as it's something not all rivals manage.

On the road, the XC60 feels composed and comfortable. The cabin stays quiet even at highway speeds and the suspension soaks up the worst bumps without ever feeling floaty or disconnected. Handling is equally predictable, with steering and dynamics that feel natural and reassuring. Take a sharp corner at speed and you will notice a slight loss of composure but it rights itself quickly.

Day to day it’s also very car park friendly. Parking sensors and the 360-degree camera view make manoeuvring simple, though the video feed looks a little blurry at the edges. A more seamless stitch between camera angles would improve the presentation, but functionally it gets the job done.

While the 2026 Volvo XC60 hasn’t undergone ANCAP testing yet, it continues Volvo’s long-standing reputation for safety with a comprehensive suite of features. Standard equipment includes autonomous emergency braking, blind-spot monitoring, lane keeping aid, lane departure warning, rear cross-traffic alert, front and rear collision warning, traffic sign recognition, driver attention warning and seven airbags - basically covering all of the essentials.

For families, there are integrated booster seats in the rear row, ISOFIX child seat mounts, and three top-tether anchor points. A stand-out feature is the programmable spare key, which is colour-coded in bright orange and allows you to set speed and speaker-volume limits. Which is ideal for nervous parents who share the car with teens or other young drivers.

Other practical safety touches include a protective first-aid kit and warning triangle, adaptive cruise control with stop/go function, parking assist, surrounding parking sensors and a 360-degree camera system.

The Cadillac Optiq is covered by the brand's five-year, unlimited-kilometre warranty, which lags the similarly sized and priced Hyundai Ioniq 9 and Kia EV9, but is on par with the Germans. There's also five years of roadside assistance, while the battery is co vered for eight years or 160,000km. 

Service intervals are 12,000km or 12 months, and the brand says it is still finalising service pricing, so that’s something to ask about before you commit.

Rather than conventional dealers, Cadillacs are typically sold online with hands-on inspection at 'Experience Centres' - currently one in Sydney and one Melbourne. Service and test drive sites are also in place in Brisbane, Canberra, Adelaide, Perth and Hobart.

The XC60 is covered by a standard five-year/unlimited-km warranty, which is okay for its class, especially at the premium end. You can pre-purchase either a three- or five-year 'Volvo Genuine Service Plan'. The five-year plan will set you back $3870, which is steeper than many rivals, though Volvo sweetens the deal with five years' complimentary roadside assistance. Services are spaced at every 12 months or 15,000 km, whichever comes first.

One thing for regional owners to keep in mind, while Volvo has a decent retail footprint, there are only 34 Volvo service centres in Australia. Depending on where you live, that can mean a long drive. In my case, the nearest Volvo service centre is almost two hours away. That adds travel time and inconvenience for regular maintenance or unscheduled work.