Tesla Model 3 vs Volvo C40
What's the difference?

Tesla Model 3

$54,900 - $80,900

2026 price

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Volvo C40

$34,990 - $49,990

2023 price

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Maserati Quattroporte

Mazda 6

Mazda Cx-6E

Mercedes-Benz A200

Mercedes-Benz C-Class

Mercedes-Benz C43

Mercedes-Benz C63

Mercedes-Benz CLS-Class

Mercedes-Benz E-Class

Mercedes-Benz EQ-Class

Mercedes-Benz EQS

Mercedes-Benz S-Class

Renault Megane E-Tech

Renault Scenic E-Tech

Summary

2026 Tesla Model 3

2023 Volvo C40

By James Cleary

By Tom White

Safety Rating

Electric motor type

Permanent Magnet

Electric motor type

—

Vehicle type

Battery Electric

Vehicle type

—

Electric range

750 km

Electric range

—

Energy consumption

13.6 kWh/100km

—

Battery capacity

75.00 kWh

—

Seating

Likes

Safety
Energy efficiency
Cabin environment

Great charging and range
Two well specified variants
Impressive driving performance

Dislikes

No spare tyre
FSD unconvincing
Average ownership proposition

Single motor not as good value
Seats could be more comfortable
Rear seat space compromised

2026 Tesla Model 3 Summary

It’s been in Australia since 2019 and despite the arrival of a comprehensively upgraded version in late 2023, the Tesla Model 3’s once gargantuan popularity has been declining in recent years.

A seemingly never-ending influx of pure-electric alternatives, primarily from China, has eroded the mid-size sedan’s positioning as the go-to, best-value EV choice.

But to its credit Tesla has again evolved the Model 3 proposition with the introduction of this Long Range Rear-Wheel Drive grade in October last year, at the time positioning it as “the longest-range EV in Australia”.

Since then, Tesla has adjusted the model grade name to Premium Long Range Rear-Wheel Drive.

Some additional tweaks, made in response to customer feedback, also illustrates the EV pioneer’s determination to step up in the face of increasingly fierce competition.

So, does this latest Model 3 do enough to earn a spot on your electric vehicle shopping list? We spent a week behind the wheel to find out.

@carsguide.com.au ‘Dog Mode’ in the Tesla Model 3 is a life-saver for four-legged friends in the summer heat.🐾 #tesla #model3 #ev #cartok #doggosdoingthings ♬ original sound - CarsGuide.com.au

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2023 Volvo C40 Summary

Throughout its history Volvo has been known for a lot of things. Being a safety leader, dorky but endearing station wagons, ‘bloody Volvo drivers’, and more recently, a trailblazer in minimalist premium design.

The C40 is the first step in a next chapter for Volvo, with the brand wanting to be known next for its leadership in the electric space. For the first time for Volvo, it’s a fully electric offering

But in a world of Teslas, Polestars, and Mercedes Benz EQs, where does the C40 sit, and is it worth considering in an increasingly congested premium small SUV space?

We went to its Australian launch to find out.

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Deep dive comparison

2026 Tesla Model 3 2023 Volvo C40

Verdict

Tesla has done enough with the introduction of this Premium Long Range RWD variant to keep the Model 3’s head well and truly above water in an increasingly competitive segment. After more than six years it still looks good, with a pleasant cabin environment, plenty of performance and leading energy efficiency. Safety is top-shelf and it stands up well in terms of practicality and driving dynamics.

That said, the ownership proposition is average, the determination to make so many functions screen-based is frustrating and the optional Full Self-Driving system is unconvincing. With the Model S and Model Y now discontinued globally it will be interesting to see how the Model 3 continues to evolve.

Verdict

The C40 becomes a compelling option in the electrified small SUV space, offering a premium look and feel, great range and tech inclusions at the price, as well as awesome on-road dynamics.

Its main downsides are the rear seat, which is compromised by its platform and design-led roofline, and the overwhelming power and added traction of the dual-motor makes the single motor less attractive on the value front.

Still, regardless of variant chosen, the C40 looks to offer a stand-out balance of price, range, and performance, against its traditional rivals and newcomers alike.

Tesla Model 3 vs Volvo C40 What's the difference?

Summary

Deep dive comparison

Verdict

Verdict

Tesla Model 3 vs Volvo C40
What's the difference?