Jaguar XE vs Ford Mustang

What's the difference?

The Jaguar XE is a dynamic, prestige mid-sized premium sedan, for those who are more concerned with engaging driving than cargo space and rear legroom.

The sweet spot in the range is the entry R-Dynamic SE.  Buy that one and option the handling pack, and you'll still come in under the costs of the HSE.

Bang for you buck is the XE’s strong point and you won’t find more horsepower at this price in rivals such as BMW 3 Series, Benz’s C-Class or the Audi A4.

Having driven the latest example of the Mustang GT, I hope Bill Ford is true to his word and keeps the V8-powered Mustang for as long as possible. It isn’t the most razor-sharp sports car or the most powerful muscle car, but it offers the kind of driving thrills and enjoyment that have made the car an icon.

The price increase is steep but the new technology inside drags the Mustang into the modern era and will add more youth appeal to a car that is largely unchanged in concept for the past 60 years.

But now that I’ve driven it in the USA and France, I can’t wait for it to finally reach Australia.

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

This freshen up of the XE sees a sharper, wider look for the mid-sized sedan with sleeker headlights and tail-lights, plus redesigned front and rear bumpers.

From front-on the XE looks low, broad and planted, a black mesh grille and the way it’s flanked by much larger air intakes is tough, and the signature Jaguar long bonnet curving down towards it looks magnificent.

The rear of the car has benefited greatly, too. Gone are those overly simple tail-lights, replaced by more refined units with a strong resemblance to the F-Type's.

How much smaller is the XE than its big sister the XF? Well, here are the dimensions. The XE is a mid-sized car at 4678mm long (276mm shorter than the XF), 1416mm tall (41mm shorter in height) and 13mm narrower at 2075mm wide (including the mirrors).

The Mercedes-Benz C-Class is almost the same length at 4686mm, while the BMW 3 Series is 31mm longer.

The XE’s cabin has been updated, too. There’s the new steering wheel which has a more minimalist and cleaner design than the previous tiller, the rotary gear shifter has been replaced with an upright trigger-grip device (another functional improvement), and there’s the 12.3-inch digital instrument cluster.

New materials and trims are used throughout the interior. Both grades have premium carpet mats, and aluminium trim around the centre console.

In the SE four types of two-tone leather upholstery can be specified as non-cost options, while another four which are $1170 options in the base grade are available free in the HSE.

The standard cabins of both grades feel luxurious and premium.

While this is considered a ‘new generation’ Mustang, the reality is this is more of a major overhaul than a complete, blank sheet redesign. As such, there’s a lot of carry over to the design, but that’s not to say there aren’t some significant changes.

For example, it’s still clearly a Mustang in its silhouette, sharing that with the sixth-generation model it replaces, as well as the now-iconic 1960s Fastback models, but the details are noticeably different.

To try and create more differentiation between the GT and EcoBoost models, Ford has designed unique front ends for each. Both are characterised by a strong horizontal line across the front of the more angular grille that meets the new ‘tri-bar’ daytime running lights.

The EcoBoost has an upper grille similar in size to the out-going model, the GT is a much larger upper section which incorporates a pair of ‘nostrils’ as well as a bonnet vent - both of which are functional for cooling and aerodynamics.

Down the sides Ford has lowered the beltline and created a more defined rear fender ‘shoulder’ that helps create the impression of a wider car. 

At the rear the famous ‘tri-bar’ lights remain and there are unique diffusers for each model, with the EcoBoost running two exhaust tips and the GT getting quad pipes.

But it’s inside where the biggest design changes have happened. The retro-inspired cabin of the sixth-generation - which features shiny silver plastic toggle-like switches and round air-con vents - has been overhauled.

The iconic ‘double brow’ design to the dashboard, which dates back to the original 1964 Mustang, has been dropped and replaced with a pair of digital screens. There’s a 12.3-inch display for the digital instrument cluster and a 13.2-inch multimedia touchscreen.

This change is designed to appeal to a younger audience but also allows for greater customisation and variety of displays, with Ford developing six different instrument panel options depending on the setting the driver chooses.

The primary three are the 'Normal', 'Sport' and 'Track' modes, which have been inspired by the GT supercar and the Mustang Mach-E electric SUV, while there’s also a 'Calm' setting, providing only the necessary data, such as speed, in a simplified format.

The final two have been created to tailor to fans of the brand’s 1980s ‘Fox Body’ Mustang, with digital versions of its round analogue dials in both a ‘Day’ and ‘Night’ mode, with the former using white graphics and the latter getting retro green dials.

Mid-sized sedans have a tough job on their hands when it comes to practicality – they need to be small enough to park and pilot in the city but big enough to carry at least four adults comfortably along with their luggage.

I’m 191cm tall and while space up front for me is plentiful, space behind my diving position is limited. Headroom in the second row is getting tight, too.

The small rear doors also made entry and exit a bit of a challenge for me.

Boot space is also not the best in the class at 410 litres. I’m being kind. See, the Mercedes-Benz C-Class has a cargo capacity of 434 litres, while the BMW 3 Series and Audi A4 have 480 litres volumes.

Up front you’ll find a USB and a 12-volt outlet, but if you want the wireless charger for your iPhone or Android device you’ll need to option it for $180.

The sixth-generation Mustang copped a lot of criticism for its interior look and feel, and while it certainly wasn’t at European levels of quality it was more affordable than any European V8-powered coupe.

The introduction of the new digital displays certainly adds a more premium impression to the cabin when you get inside, but you can still see a lot of the previous generation in this model, in particular the doors and centre console.

It’s pretty practical, for a sports car, with a pair of cupholders and a lidded centre console box for small item storage. 

One noticeable issue with the screens is the control virtually everything to do with the multimedia, including the air-conditioning, so trying to make small temperature adjustments is more complicated than just pressing a physical button. 

Not surprisingly space feels very similar to the outgoing Mustang with supportive and comfortable seating up front that made long stretches behind the wheel feel easy, which is nice for a sports car.

As for the rear seats, they remain incredibly tight for space and are better for soft item storage rather than squeezing people into.

Despite the largely carried over body and interior, the boot is slightly smaller than the previous model, with the coupe measuring 376 litres compared to the 408 litres offered previously. 

Ford Australia hasn’t confirmed the complete list of specifications for the seventh-generation Mustang range, but pricing has been locked in and we do know all three initial models - Dark Horse, GT and EcoBoost - will be offered here.

Having previously driven the Dark Horse in the USA in 2023, this time we sampled the GT and that’s the model we’ll focus on in this review.

We already know it will be priced from $77,002 for the six-speed manual and $80,902 for the 10-speed automatic coupe (both prices exclude on-road costs). The GT will be the only convertible option for Australians (and will only be available with the auto), priced from $86,102.

That’s a significant price rise from the out-going model, jumping up nearly $12,000 ($11,712 to be precise), which means it will be more expensive than the Nissan Z ($75,800) and closer to the BMW-based Toyota Supra (starting at $87,380).

On the plus side, this price increase is expected to come with a ramp up in standard equipment, including a new digital dashboard which features a pair of large screens, as well as the introduction of the line lock feature we missed on the previous model and the all-new 'Drift Brake'.

There’s one engine for both the R-Dynamic SE and R-Dynamic HSE – a 2.0-litre turbo-petrol four cylinder making 221kW/400Nm. Drive is sent to the rear wheels via an eight-speed automatic transmission.

The four-cylinder felt strong and all that torque arrives low in the rev range (1500rpm) for good off-the-line acceleration. The transmission is also excellent, shifting smoothly and decisively.

It’s a shame the V6 isn’t offered anymore, but 221kW is a lot more power than you’ll get for this money in a BMW 3 Series or Mercedes-Benz C-Class

During the top secret development of this seventh-generation model there were plenty of rumours that Ford was considering a hybrid system for this Mustang. Fortunately for lovers of old-school V8 engines that proved not to be the case.

Instead it’s powered by a 5.0-litre V8 that's an evolution of the ‘Coyote’ unit from the previous ‘Stang but now featuring some technical changes, including dual throttle-bodies and separate airboxes to help improve performance. In the GT it’s tuned to make 345kW and 550Nm.

It can be paired with either a six-speed manual gearbox or 10-speed automatic transmission, both sending all the power to the road via the rear wheels.

Jaguar says that the XE will use 6.9L/100km of premium unleaded petrol when driven on a combination of open and urban roads.

After my time with it the trip computer was reporting an average of 8.7L/100km. Not bad considering the test drive would have been thirsty work for the four-cylinder turbo engine.

While it hasn’t been confirmed by Ford, the Federal Government's Green Vehicle Guide has the Mustang GT rated at 12.8L/100km. And while that’s quite a thirst for unleaded petrol, it shouldn’t come as a surprise given it’s a 345kW 5.0-litre V8 engine.

If you value efficiency in your American muscle car, the four-cylinder turbocharged EcoBoost is rated at 9.4L/100km. But based on previous evidence, Mustang buyers are likely to opt for power over saving petrol.

The claimed consumption figure translates to a driving range between fills of around 650km.

The launch took place on twisty country roads snaking away from the coast in Northern NSW, but I was only a few corners in before it became darn clear the R-Dynamic HSE was talented dynamically. Impressively so.

The HSE I tested was fitted with the $2090 'Dynamic Handling Pack', which adds bigger front brakes (350mm), adaptive dampers and configurable settings for throttle, transmission, chassis and steering.

Steering which felt a tad heavy in town became the XE's secret weapon as the roads curled through the hills. The confidence the steering, delivering great feedback and accuracy, gives the driver can’t be overstated.

This combined with the XE’s excellent handling and powerful four-cylinder engine makes it a clear dynamic standout among its competitors.

A comfortable ride even, on potholed roads, but flat handling regardless of how hard it was pushed through corners amazed me.

Sure, optional adaptive dampers were fitted to our test car, but considering the work out they were getting without skipping a beat, their response was impressive.

Following this I dropped into the seat of the red R-Dynamic SE you can see in the images. While this wasn’t fitted with the handling package the HSE had, the only real difference I could feel was in the comfort – the adaptive dampers were able to produce a more composed and cushioned ride.

Handling, however, felt sharp, sure and the steering gave me the same confidence I experienced in the HSE.

As promised earlier, here’s how the Mustang GT felt powering through the French countryside…

But first, it’s worth acknowledging that, in truth, it wasn't hard work getting through the traffic even in the manual Mustang. While the clutch is on the heavier side, it’s got a smooth action and the engine's torque and flexibility make darting in and out of gaps in the traffic a breeze.

However,  once out on the open roads the Mustang really could run free. The V8 engine sounded fantastic bellowing out across the fields and through the quaint little villages we passed through.

As you'd expect, the V8 provides plenty of grunt, it's an incredibly flexible engine pulling hard right across the rev range and makes us appreciate even more that this now remains the last of its kind since the demise of the V8-powered Chevrolet Camaro and Dodge Challenger.

Driving the Mustang in conditions like this makes you understand why it has been such a popular sports car not only in Australia but around the world for decades.

While the manual transmission has fallen out of favour with Aussie buyers, the truth is it's the pick for this GT. The fact it has less ratios to choose from than the 10-speed automatic means it feels more urgent and (again) the flexibility of the engine allows it to shine.

Not that the auto is bad, it does a fine job, it just lacks the buzz and engagement the manual ‘box provides.

What arguably impresses even more than the engine is the handling. Having driven the Dark Horse last year and being so impressed by its handling, particularly with the 'Performance Package', there was some concern prior to driving the GT that it would feel less impressive and, dare I say, duller.

But that's far from the case. Instead, the GT feels responsive and well sorted across a variety of road conditions. While it may lack the precise handling characteristics of a European sports car, it’s clear Ford has made this latest Mustang better suited for the rest of the world, not just America.

Not that Ford has made the Mustang too serious, as the introduction of the Drift Brake demonstrates. This rally-style electronic handbrake allows you to, as the name suggests, snap the car into a slide - when the circumstances allow.

Ford finally gave us our first (official) use of the Drift Brake when it paid us up with stunt driving expert, Paul Swift, who taught us how to slide the Mustang into a parallel park.

Obviously this is not designed for road use but for those who want to take their Mustang to the track it will no doubt lead to a lot of fun and some shredded tyres.

Full safety specifications haven’t been announced, but in the US, where it’s already on sale, all models are equipped with at least a reversing camera, rear parking sensors, auto high-beam headlights as well as front, side and driver’s knee airbags.

There’s also a decent level of active safety gear with pre-collision assist with autonomous emergency braking and lane departure warning all standard. But adaptive cruise control, lane centring assist and intelligent speed assist are all optional.

Frankly, after my French experience I’d be hoping the lane centring assist is an optional locally because the overly sensitive system drove us crazy on our French test drive.

Repeated warnings to ‘put our hands on the wheel’ when our hands were firmly affixed to the tiller moved from just frustrating to borderline dangerous as the only way to trigger the system to stop making its request was to quite violently tug on the wheel and jerk the car in the lane. 

It’s another case of poorly calibrated safety systems that make you question the value of the technology in the first place, especially when you find yourself turning it off because it’s safer to just pay attention as a responsible driver.

It will be interesting to see if ANCAP crash tests this new generation Mustang, especially considering how closely related it is to the previous model.

ANCAP famously (or infamously, depending on your point-of-view) crash-tested the previous Mustang and awarded it two from a possible five-star rating.

Despite the public criticism it didn’t seem to impact Ford’s sales of the pony car, which remained a best-seller. 

Since the Mustang, ANCAP has not tested any of its rivals, with sports cars including the Toyota Supra, Nissan Z and Subaru BRZ all unrated by the safety authority.

The Jaguar XE is covered by a three-year, 100,000km warranty. Servicing is condition-based (your XE will let you know when it needs a check-up) and there’s a five-year/130,000km service plan which costs $1750.

Again a low score here, but that’s because of the short warranty compared to the five-year coverage which has become an industry expectation and while there is a service plan there’s no service-by-service price guide.

There are no details confirmed at this stage but there’s no reason to believe the Mustang won’t be covered by Ford Australia’s usual five-year/unlimited kilometre warranty.

Similarly, service intervals are likely to be 12 months/15,000km.

For reference, capped price servicing on the out-going Mustang GT came in at $299 for each of the first four services, up to four years/60,000km. Not bad.