What's the difference?
For Lexus, 2025 was a year of celebration. It marked not only its 35th anniversary in Australia but was also the year when total sales surpassed 200,000 since its local launch and electrified powertrains took a record share of more than 76 per cent of the fleet.
In other words, three out of four Lexus vehicles sold were either HEV (Hybrid), PHEV (Plug-in Hybrid) or BEV (Battery) with the most popular model for more than a decade being the mid-size NX which represents more than 40 per cent of the Japanese marque's sales. The NX was also calendar year 2025’s top seller in Australia's ‘Medium SUV over $60K’ segment in which it competes against a bewildering number of rivals.
Clearly, the NX has hit a sweet spot with prestige SUV buyers, with the vast majority choosing HEV or PHEV powertrains. We were recently handed the keys to one of the latest NX offerings to find out why this stylish five-seater has such enduring appeal for couples, families, weekend travellers and business professionals.
The first-generation Volvo XC90 remained on sale for 12 years in Australia before being replaced by the handsome second-gen version that recently clocked up a decade of sales.
There’s a reason for the longevity. People love the Volvo XC90. It is a reliable seven-seat family-friendly SUV with a premium bent. You’ll spot loads of these at fancy private school drop off.
Volvo has extended the life of the second-gen XC90 with a significant late-life update. It adopts some features from its stablemate, the similarly sized and positioned EX90 electric SUV.
It doesn’t get a fully-electric powertrain but you have the choice of a mild-hybrid grade that acts as the range opener and the well-equipped T8 Plug-In Hybrid I’m testing.
Interestingly, a number of this car’s rivals have had their lives extended, too. As many carmakers pour billions into EVs, they’ve taken to delivering major updates to older internal combustion platforms rather than developing all-new underpinnings. The Audi Q7 and BMW X5 are other examples of this.
For the update, Volvo has ushered in a front-end design refresh, a fresh take on the interior, new multimedia and safety tech, a light tweak to suspension and new colours and wheels.
But is this enough to keep premium SUV buyers interested? Let’s find out…
The NX 450h+ Luxury combines high build quality and upmarket looks with plug-in hybrid convenience/performance/economy and numerous luxury appointments. It’s a competent all-rounder that's difficult to fault and clearly meets the needs of many prestige mid-size SUV buyers.
It’s a credit to Volvo that the XC90 feels like a new car, even with its older underpinnings. This latest update has successfully addressed areas that needed the most attention, namely the multimedia system, interior and exterior design. The electric driving range now feels somewhat old school compared to the numbers some manufacturers can achieve these days. A lot of PHEVs now exceed 100km EV range and buyers are starting to expect that. And setting up the third row takes way too much effort to want to do it regularly. The new Volvo XC90 is a comfortable, engaging and properly premium family SUV and the updates have only improved what was already a solid offering.
The exterior is a sculptured blend of sharp creases and flowing curves which create a sporty and sophisticated appearance that clearly appeals to many buyers.
The interior looks and feels about as spacious and airy as you could realistically expect in a mid-sized SUV, which is enhanced with the roof open and sunshine pouring in.
The boldly contrasting two-tone grey and camel interior trim in our test vehicle adds to its visual appeal although we suspect such a bold colour choice could also be a stain magnet in everyday use, particularly for young families with lots of sticky kids’ stuff onboard.
Back in early 2015, I attended the international launch of the second-generation Volvo XC90. At the time I thought it was a handsome SUV, with Volvo successfully interpreting what is essentially a big people-hauling box on wheels with typical Scandinavian flair.
There’s been a facelift since then, but this latest refresh brings the XC90 bang up to date.
New elements include a modern take on the 'Thor's Hammer' LED headlights, and a new bonnet and grille with an updated diagonal logo spread across the car's face. At the rear the only change is slightly darker tail-lights.
The new grille in particular looks great, and with all of the blacked-out elements of the T8 - grille, lower air intakes, parts of the apron, mirror caps, roof rails and window surrounds - it looks quite cool, especially contrasted with the test car's 'Crystal White' paint. It has elevated the overall look.
Inside, Volvo has made big changes, mostly with the dash and console. It retains the familiarity of other Volvos, but is much more in keeping with its new all-electric EX90 sibling.
It still has a horizontal theme, but with cool new vertical air vents. The new multimedia screen fits well into the dash layout, and isn’t over sized. It’s the ideal size at 11.2 inches. There are a few buttons underneath but not many.
The mix of materials used at the front of the cabin includes ‘Grey Ash’ wood, piano black, chrome, metal-look speakers, grey fabric and soft touch as well as hard plastics. It sounds like it would be too much but it works well.
Volvo has always been a leader when it comes to car seats and the new XC90 is no exception. The beautifully designed ventilated charcoal Nappa leather seats look and feel stunning. The tiny Swedish flag is a nice touch, too.
The engine start/stop button and the crystal selector add a touch of glamour to the cabin. Overall, the XC90 feels properly premium inside, still with a Scandinavian bent. Just lovely.
Its compact dimensions of 4660mm length, 1865mm width and 1660mm height make the usual driving chores in congested urban settings, particularly tight inner-city streets and parking spaces, much easier than a full-size SUV.
With its 2050kg kerb weight and 2540kg GVM, it has a load capacity of 490kg of which up to 75kg can be carried on the roof rails using approved racks.
While almost half a tonne of load capacity may seem ample, keep in mind that the combined weight of five large adults could reach that limit before you could start loading their luggage.
It’s also rated to tow up to 1000kg of braked trailer, which would be ideal for hauling small trailers with a recreational focus like fold-out campers, jet-skis, trail bikes etc. However, Lexus does not publish a GCM figure, so for weekend escapees we don’t know how much it can legally carry and tow at the same time.
There’s more than adequate space for the driver and front passenger, along with storage that includes a bottle-holder and bin in each door, overhead glasses holder and a single glove box.
The centre console has two cupholders and a deep box with padded lid that doubles as a comfy elbow rest. You’ll also find a quartet of USB ports, a 12V socket and wireless phone charging pad.
The rear bench seat is surprisingly accommodating for tall people, given I’m 186cm and when seated behind the driver’s seat set in my position I still have sufficient knee clearance and headroom.
However, with three up, those in the centre must compete for shoulder space plus have their feet either side of the transmission tunnel and knees together between the front seat backrests. So, three adults is okay for short trips but should be capped at two for longer drives.
Rear passenger storage includes a bottle-holder and bin in each door, pockets on both front seat backrests and two cupholders with the centre seat backrest folded forward. The rear of the centre console has adjustable air vents, rear seat heating controls, another 12V socket and a pair of USB ports.
The power tailgate can open by waving your foot under the rear bumper (useful when hands are full) to gain access to the rear luggage area, which provides numerous internal hooks for securing cargo straps or nets plus underfloor storage for the charging cables and more.
This luggage area offers up to 520 litres (more than half a cubic metre) of load volume with the rear seat upright. It expands into what is effectively a small van when the rear seat is folded flat, which can carry everything from a mountain bike to flatpack furniture.
Any dedicated seven-seat family SUV needs to nail practicality and when it comes to the Volvo XC90, there are clear pros and some surprising cons.
One of the many pros is the seats. As mentioned, they look schmick, but are also supremely comfortable and offer the perfect level of bolstering and support. The T8 has a seat adjustment memory function that can be programmed into the driver profiles that also tailors other functions to suit different drivers.
The quality of the materials and build quality of the cabin is largely impressive. Even the damping of the indicator stalk has a feeling of high-end quality.
Volvo’s digital instrument cluster is clear and easy to navigate, once you work out what the buttons on the steering wheel do. They don’t have words on them so it takes a while. The driver’s manual comes in handy for this.
The big story in the cabin is the new 11.2-inch multimedia display. Volvo uses a Google platform and the car comes with Google Services which includes Google Assistant voice control, Maps and Play.
I’m a fan of Apple CarPlay and once I have assessed a car’s in-house multimedia system I often defer to CarPlay. It’s simple and familiar. But aside from using CarPlay to connect once, I used Volvo’s system for the vast majority of my time with this car.
Logging into your Google account means your favourites come up on the map and there is no downside to functionality. If I had the car for longer I would've added Spotify to the system and logged into that, too, but I was happy listening to digital radio on the phenomenal 19-speaker Bowers & Wilkins sound system.
The screen takes some familiarisation, but once you understand the home keys and how to switch between apps, it’s a pleasure to use. It has a clear layout, nice graphics and is responsive. Yes, the air con controls are mostly housed in the screen, but if you tap the lower part of the screen the entire climate menu appears. It is light years ahead of Volvo’s previous screen set-up.
Most functions are housed in the screen, although there are buttons just under the screen for volume and audio on/off, front and rear demisters, hazard lights and a button to open the glove box.
Storage up front is just okay. The console houses shallow cupholders and a handy upright phone holder, as well as the device charging pad. It’s a shame there’s no under console storage, but the transmission tunnel might be too chunky for that.
The shallow central bin houses two USB-C ports and a 12-volt outlet. Bottle storage is decent in the front door cards.
The panoramic sunroof only has a sheer blind (it’s powered) which is less than ideal in a country like Australia. It’s been fine in winter but I’m curious to know what it’s like in the height of summer.
The second row features manual window blinds to keep your little ones cool.
There’s some back support for the second-row seats but the base is flat. Some of the seat fabric in that row looks like it doesn’t quite fit, but I think that’s the nature of the leather with the intricate designs.
In terms of space, there’s ample leg, toe and headroom, and the rear backrests recline for extra comfort on long trips. The bases roll forward and back and the seats are split 40/20/40.
Kids will likely fight over who has to sit in the middle seat because the combination of an intrusive transmission tunnel and the rear of the front centre console protruding into the space means it is not a great seat.
Occupants have access to chest and knee-level air vents, heated seat and digital climate controls, map pockets, two USB-C ports and a central fold-down armrest with a fiddly cupholder mechanism. The rear doors will only house small, narrow bottles.
Accessing the third row of the Volvo is challenging. For starters, to move the second row seats forward you need to use the lever at the top of the seat and the roller under the base to move them. And they are heavy seats. That leaves just enough of an aperture to get into the third row.
But first you have to raise the third row. Sadly there’s no lever in the boot area to quickly raise or lower the third-row seats. You have to either climb into the boot and reach for the lever at the top of the seats, or reach through the back door and try and raise them that way. And again, they are heavy.
It is a deeply unintuitive system and leaves you exhausted and frustrated. Especially when you consider other seven seaters have a much more functional and lightweight third-row arrangement.
Once in the third row, it’s clear it is for humans with tiny legs only. It is not a space appropriate for six-foot tall men like me, even for short distances. You do get ample headroom, air vents, cupholders and storage boxes on either side that open up to show a kid-friendly spider web design with a friendly looking spider. Cute!
The seats fold flat into the boot floor and the loading lip is level with the floor so loading heavy or long items should be a breeze. You can adjust the air suspension from the boot to lower the height further which is always a handy feature.
It comes with a solid cargo blind but you need to remove it if you want to raise the third row. When putting it back in, it catches on the third-row seat belts, so it’s not the best design.
In terms of boot features, the Volvo comes with a household charging cable that is housed neatly under the boot floor in a stylish bag. Many PHEVs and EVs still don’t have a dedicated spot to house a cable so you have to take up boot space with a chunky cable bag. Good job, Volvo.
It has a powered tailgate, a few nooks and a pair of 5.0kg hooks. However, it doesn’t have a spare wheel of any description. Just a tyre repair kit. This is due to packaging restrictions, but it’s never an ideal solution.
In terms of space, the Volvo can swallow 640 litres of cargo with the second row up and 301L with all three rows in place. That latter figure isn’t bad compared to some seven-seaters.
Our test vehicle is the NX 450h+ Luxury (launched late 2025) which sits one rung below the premium 450h+ F Sport on the model ladder. Even though they share the same PHEV all-wheel drive (AWD) underpinnings, the Luxury’s emphasis on providing more affordable luxury at the highest level is reflected in its list price of $84,500, before on-road costs, which is $11,500 less than its F-Sport sibling. Our example is finished in optional 'Graphite Black' prestige paint available at extra cost.
As you’d expect there are plenty of items on the standard equipment list including 18-inch alloy wheels with 235/60 R18 tyres and an inflator/repair kit (no spare), heated door mirrors, tilt-and-slide moonroof, a rear spoiler, roof rails and LED headlights/DRLs to name a few.
Step inside using the smart entry and start function and drivers are treated to luxuries like front seat heating/ventilation with 12-way power adjustment (eight-way passenger), a heated steering wheel with paddle shifters and power height/reach adjustment, digital multi-information display, an electric parking brake, traffic sign recognition, tyre pressure monitoring and active parking aids.
There’s also outer rear seat heating, dual-zone climate control, wireless phone charging, multiple USB ports, 10-speaker premium sound, a 14-inch multimedia touchscreen with multiple connectivity including wireless Apple CarPlay/Android Auto and lots more.
The pre-update XC90 soldiered on for 10 years and Volvo has, at various points, offered multiple powertrains, including a diesel. Not anymore.
Volvo now offers just two distinct powertrain grades for the XC90, the B5 Bright mild-hybrid from $104,990, before on-road costs, while the T8 plug-in hybrid I am testing tops the range at $130,990.
There’s an increase in cost over the pre-update versions of about $5000 for the B5 Bright and $2600 for the T8 PHEV, but the XC90 remains more affordable than rivals like the Audi Q7, BMW X5 and Mercedes-Benz GLE for equivalent grades.
On top of that, the Volvo is the only dedicated seven-seat premium plug-in hybrid SUV on the market.
The B5 Bright comes standard with a decent amount of gear including Google Services, keyless entry, a power tailgate, 12.0-inch digital driver’s display, wireless charging, powered front seats with heating, cooling and memory functions, wired Apple CarPlay and a new 11.2-inch digital touchscreen with over-the-air updates.
It also gets four-zone climate control, heated rear seats, a 360-degree camera and a crystal gear shifter by Orrefors.
Step up to the T8 PHEV and you gain a 19-speaker Bowers and Wilkins audio system, a panoramic sunroof, heated steering wheel and more.
There is a lot of standard gear packed into both XC90 grades. It can’t match the value of rivals like the Lexus RX and Genesis GV80 but it offers better value than some of those European rivals.
The sophisticated PHEV drivetrain with electronic AWD comprises a 2.5-litre four-cylinder petrol engine that delivers 136kW of power and 227Nm of torque to the front wheels through a Continuously Variable Transmission (CVT).
There’s also electric motors front and rear, fed by an 18.1kWh lithium-ion traction battery that can provide limited electric-only driving range.
The front electric motor, which assists with driving the front wheels through the CVT, produces 134kW/270Nm while a smaller one exclusively drives the rear wheels with 40kW/121Nm. Although the combined output from these three power sources is 310kW, Lexus claims a total system output of only 227kW to optimise efficiency and reliability.
The petrol engine and electric motor outputs are electronically synchronised and traction is continuously monitored to automatically vary the amount of power being sent to the front or rear wheels to optimise stability and traction in all conditions.
There’s also a choice of drive modes comprising 'Normal', 'Sport' and 'Eco' and paddles on the steering wheel allow manual shifting of the CVT 'ratios' for a more engaging drive, or to increase the regenerative braking effect (like using lower ratios on descents etc).
Several operational modes can also be selected including electric-only driving (we covered 60km on one full charge and 56km on another) and two modes of hybrid driving, plus battery charging while driving courtesy of the petrol engine which during our test charged the battery from near zero to 100 per cent in 56km.
There’s also external plug-in charging of course. At home we used the three-pin domestic wall socket compatible 10A charger/AC Type 2 cable supplied with the vehicle, which took about six hours (at a tiny 2.3kW) to charge from 35-100 per cent.
Two powertrains are available in the new XC90, both with all-wheel drive.
The B5 Bright comes with a 2.0-litre four-cylinder turbo-petrol engine with 48-volt mild hybrid assistance offering 183kW of power and 350Nm of torque. It can dash from zero to 100km/h in 7.7 seconds.
The version I’m testing has a 233kW, 2.0-litre four-cylinder turbo-petrol engine with a plug-in hybrid system that uses a 107kW electric motor and an 18.8kWh, 400-volt battery.
The total system output for the T8 PHEV is 340kW and a meaty 709Nm. It uses an eight-speed automatic transmission. It can complete the 0-100km/h sprint in a brisk 5.3 seconds.
Lexus claims average combined consumption of only 1.3L/100km, achieved in ideal lab conditions which is largely irrelevant. When we stopped to refuel after 424km of real-world testing, which included our usual mix of suburban, city and highway driving and switching between the different modes (including 116km of electric-only driving), the dash display was showing 5.7L/100km.
That was close to our own figure of 5.4 calculated from fuel bowser and tripmeter readings, so based on our test consumption and depending on the mix of drive modes used, you could expect a realistic driving range of up to 1000km from its 55-litre tank which prefers 95RON premium petrol.
The mild-hybrid XC90 B5 Bright has an official fuel use figure of 8.1 litres per 100 kilometres, which is on the thirsty side, although it is a 2.5-tonne SUV.
Officially, the XC90 T8 Plug In Hybrid sips just 1.8L/100km on the combined (urban/extra-urban) cycle, but as with any PHEVs, unless you charge your car religiously and never drive far enough to deplete the battery, that figure is extremely hard to achieve.
I charged the car regularly using my home wall charger (two to three hours for a full charge) and the fuel gauge barely moved.
After a week of mixed driving my final fuel economy figure was 3.4 litres per 100km, which isn’t too bad.
The XC90 T8 has a 3.6kW onboard charger and a Type 2 plug so it’s only capable of AC charging. It is not compatible with a DC source so no fast charging on the go.
The official electric driving range according to Volvo is 77km, which feels a little old school compared to the many PHEVs landing on the market now that have an EV driving range in excess of 100km.
The offical figure also seems somewhat optimistic because the most I got on a full charge was 60km. Anecdotally, I have heard it can get up to 70km after a charge, it just didn't get there in my time with the XC90.
The cabin is what you might call ‘cosy’ for tall people like me (186cm) but there’s still adequate room to find a comfortable driving position.
The ride quality is noticeably firm, which contributes to its sporty feel. The steering is nicely weighted with good response and braking is reassuringly strong.
Acceleration in full-electric and hybrid modes is brisk but not exceptional and about what you’d expect from this powertrain, which engages the rear electric motor for standing starts and other situations to ensure all-wheel drive traction is being deployed when you need it most.
We sampled the different drive modes, with 'Sport' providing a more engaging feel (particularly when manual shifting using the paddle shifters), 'Eco' producing a more subdued response to optimise range and the default 'Normal' providing a pleasant compromise.
Even so, despite its technical wizardry and generous choice of driver preferences, we reckon most daily driving owners would simply plug-in and charge each night, start off in electric-only mode and if needed continue in ‘Normal’ hybrid mode.
For a tall, large and heavy SUV, the XC90 has an excellent driving position. You feel hunkered down in the driver’s seat; it’s almost sporty!
Those healthy power and torque figures translate well on the road. It is properly quick off the mark and picks up pace rapidly when already at speed. You do need to work out the trigger point for the accelerator because if you give it too much it feels a little like a slingshot.
The transition between the electric motor and the petrol engine is noticeable, but it’s still smooth. It’s not harsh or clunky like some hybrids and PHEVs. Similarly, the eight-speed transmission is so smooth it rarely makes its presence felt. It's a lovely match for this powertrain.
On that, the cabin is incredibly well insulated. It’s a hushed ride at any speed. Again, you’ll hear the engine kick in but it has a nice note so that noise is welcome.
The powertrain has several driving modes including 'Pure' (EV only), 'Power' (for added performance) and 'Hybrid'. Hybrid is the go-to and 'Auto' allows the system to determine when the petrol engine kicks in. This is the best everyday mode.
Volvo understands the XC90 is more than just family transport and has engineered it in such a way that it offers a surprising level of dynamism.
It’s flatter in corners and bends than you expect of a car of this size and weight. It has a balanced chassis, likely helped by the air suspension, with minimal body roll and little lateral movement inside. Impressive.
It has enough grip on looser surfaces, aided by the all-wheel drive set-up.
The ride quality is more composed and refined at higher speeds, regardless of the road conditions, managing potholes and the like quite well. Volvo has tweaked the suspension tune as part of the update for this very reason.
At lower urban speeds, it’s not quite as calm. You’ll feel speed bumps and potholes and it's a little jiggly on rough surfaces. The low profile (275/35 R22) tyres are partly to blame here.
With that said, it’s not enough to dampen the overall XC90 drive experience. It is a lovely car to drive, whether cruising on freeways, country road blasts or city commuting.
Its underpinnings might be 10 years old, but the XC90 feels as fresh to drive as many of its rivals.
The NX has a maximum five-star ANCAP rating (awarded 2022), eight airbags and a suite of active safety features including AEB with pedestrian and daytime cyclist/motorcycle detection, steering assist, lane-keeping, safe exit assist, rear cross traffic alert, blind-spot monitoring, traffic sign recognition, LED DRLs, tyre pressure warning and lots more. The rear seat is equipped with two ISOFIX child seat anchorages and three top tethers.
Volvo’s reputation for safety is hard to beat, so as expected the XC90 comes with a solid list of standard safety gear.
The safety tech includes auto emergency braking (AEB) with pedestrian, vehicle and cyclist detection, low-speed rear AEB, blind-spot monitoring with a cross-traffic alert and a ‘Run-off road Mitigation system’ that uses steering and braking to edge you back into the lane.
It also gets a front and rear collision warning, traffic jam assist, adaptive cruise control, lane keeping aid, tyre pressure monitoring, post-impact braking, an adjustable speed limiter and more.
One thing it doesn’t have is an ANCAP crash safety rating. It was awarded a maximum five stars back in 2015 but that rating has expired and Volvo says there are no plans for the car to be re-tested.
Comes standard with a five years/unlimited km warranty. Same applies to the lithium-ion traction battery, which is eligible for additional warranty coverage of up to five years (so 10 years in total) based on annual inspections.
Scheduled servicing is every 12 months/15,000km, whichever occurs first. Capped pricing, which applies to the first five scheduled services up to five years/75,000km, totals $3225 or an average of $645 per service.
The XC90 is covered by Volvo’s five-year, unlimited kilometre warranty, and the servicing schedule is every 12 months or 15,000km, whichever comes first. These are similar terms to other premium brands in Australia.
Buyers can opt for one of two capped-price servicing packs, costing $2380 for three years and $3870 for five years.
This pricing is a little more than the BMW X5 but quite a bit more affordable than the Mercedes-Benz GLE.
The Swedish brand used to have a reputation for over-priced servicing but it’s sharpened up its offer considerably in recent years.
Volvo has around 40 dealerships located across Australia and conducts its servicing in-house at the dealer.