Mercedes-Benz GLC-Class vs Volvo XC60

What's the difference?

Like I said right from the start, this new, hybrid version of the AMG GLC63 is technically superior to the model it replaces in every meaningful way. It is faster, more powerful and more fuel efficient and therefore a better performance SUV than the model it replaces.

Is it a better model than the one it replaces? Ultimately that will come down to how much stock you put into the soundtrack and your feelings on an AMG not powered by a V8 engine.

Because if you can see past that, then the AMG GLC63 is an absolutely fantastic performance SUV. Not only does the new powertrain make it faster in a straight line, but the chassis is very well-balanced, making for an engaging driving experience.

For those who can look past the smaller engine they will be rewarded with an incredibly fast and rewarding-to-drive member of the AMG family.

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

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.

The GLC63 is unmistakably an AMG from the moment you first lay eyes on it. That’s thanks to the AMG-specific elements, starting with the grille with vertical strikes and the AMG crest on the bonnet; which is now a signature item for the performance sub-brand.

The GLC63 is also fitted with the Night Package II design kit; this adds a darkened grille and black chrome badging to further enhance its visual appeal.

The AMG-specific alloy wheels and more aggressive stance do mean the GLC63 stands out from the rest of the GLC range, helping it look fast even when it’s standing still.

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.

Inside the GLC63 is clearly a derivative of the rest of the range, with its C-Class-inspired design and layout, but there’s enough AMG-specific elements to ensure it looks and feels special. This starts with the AMG steering wheel, which comes not only with a thick rim wrapped in Alcantara, but also some AMG special dials to adjust the various performance settings for the powertrain, suspension and transmission.

Then there are the AMG-specific seats, which look good and offer good support for the driver and front seat passenger. The rear seats offer decent space for what is a mid-size SUV, with room enough for two adults or teenagers or three smaller kids.

Those in the back aren’t particularly well looked after though, with only rear air-con vents and small door pockets but no USB charging ports or other small item storage.

The boot is 590 litres, down from 620L in the rest of the range, thanks to the addition of the rear-mounted electric motor. There’s also no room for the temporary spare the rest of the GLC range gets and instead you have to make do with a puncture repair kit.

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.

This is what lies at the heart of the AMG GLC63’s success or failure. As I mentioned at the beginning, the previous generation’s 4.0-litre twin-turbo V8 has been replaced by an F1-inspired plug-in hybrid powertrain.

But don’t think that means AMG is suddenly focused on efficiency over performance. When AMG says the powertrain is inspired by the brand’s success in Formula 1 racing, what it means is the battery and electric motor provides a significant performance boost to support the internal combustion engine, not just save fuel.

To that end the combination of the turbocharged 2.0-litre four-cylinder petrol engine and the rear-mounted electric motor produces an impressive 500kW and 1020Nm. That’s a massive jump over the 375kW/700Nm made by the outgoing V8.

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.

Mercedes makes no secret that the battery is designed for performance, not saving fuel. It only has a 14km EV range but can recharge quickly on the move to provide a power boost when needed.

But despite all that, the GLC63 is actually significantly more fuel efficient than the old V8, using a claimed 7.3L/100km, which is a massive 4.9L/100km improvement over the old model. Although, on our day-long test drive we didn’t manage to come close to that claimed figure and instead saw returns around 11L/100km, albeit after a lot of spirited open-road driving.

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.

Anyone who still believes in the adage ‘there’s no replacement for displacement’ hasn’t driven a modern turbocharged and hybridised engine. The GLC63 is a demonstration of the metaphorical and literal power of modern technology, combining an extremely efficient and potent internal combustion engine with an electric motor to make enormous real-world performance.

To be blunt, the GLC63 feels like a rocketship out of corners, launching with a ferocity and relentlessness the old V8 simply can’t match. It shouldn’t come as a surprise, a mid-size SUV with 1020Nm was always going to have plenty of performance, but even so it’s a shock to the system every time you give the GLC63 full throttle. Officially AMG claims it takes just 3.5 seconds to run 0-100km/h and has an electronically limited top speed of 275km/h - mighty impressive figures for a five-seat mid-size SUV.

To help get all that torque to the road, AMG deploys torque distribution technology that allows for it to be split an even 50/50 front/rear all the way to 100 per cent to the rear tyres.

Other technologies deployed to enhance its handling include AMG Ride Control suspension with adaptive damping and rear-axle steering. There’s also eight AMG Dynamic Select driving modes and four AMG Dynamics settings (Basic, Advanced, Pro and Master), so it’s a complex vehicle that is designed for the enthusiast.

While it’s easy to drive around town, once you get out on the open road you can really get a sense of the GLC63’s performance potential. Beyond just its powertrain the suspension offers good body control and the rear-axle steering helps it feel agile and responsive. 

It’s not perfect though. At times the complexity of the system does lead to some hesitation when you put your foot down. It certainly lacks the linear power delivery of the old V8 and makes for a slightly trickier driving experience at times.

As for the sound, which is one of the biggest elements missing from the V8, Mercedes has added AMG Real Performance Sound, which features a pressure sensor in the exhaust that picks up on the engine note and plays it through the speaker system. It certainly helps make for a louder, more noticeable engine noise, but it still sounds more like an A45 than the previous GLC63 and for many would-be buyers, that’s a major turn-off.

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 GLC63 is covered by Mercedes Australia’s usual five-year/unlimited kilometres warranty.

As for maintenance, Mercedes offers service plans, spanning three to five years. Three years will cost you $5025, $6455 for four years and five years is priced from $7180. Servicing intervals are 12 months or 20,000km, whichever comes first.

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.