Tesla Model 3 vs Volvo XC40

What's the difference?

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.

The Volvo XC40 Recharge Twin Motor is a cute small electric SUV that offers a decent specs list and a sweet urban driving experience. It’s not the nicest ride on a longer journey but it does have a decent range to be able to tackle one, if needed. I didn’t love the interior design but there’s lots the XC40 gets right.

After four years in market, a heavily upgraded version of the Model 3 arrived in Australia in 2023, the biggest visual changes being a reshaped bonnet, aero massaged overall profile and angular slimline headlights.

The boot lid now incorporates a lip spoiler and the tail-lights were remodelled to create a truncated, two-layer effect. And in true Tesla fashion, the standard 18-inch alloy rims are fitted with matt black-finish aero elements filling the gaps between the satin black wheel spokes. Two new body colours - ‘Stealth Grey’ and ‘Ultra Red’ - were recently added to the available palette. For reference, our test car's finish is 'Quicksilver'. 

It’s still clearly recognisable as a Model 3, but these relatively minor design changes have helped the mid-sizer keep up with the slew of sleek newcomers it now faces.

The interior was also given a substantial makeover, the expansive 15.4-inch central display screen backgrounded by an all-new wrap-around dash and revised console treatment, the former featuring a raised insert and the latter a two-device wireless charging station.

Introduction of this Premium Long Range RWD model also brought the small but significant addition of a physical indicator stalk on the left-hand side of the steering column, replacing buttons on the steering wheel. Big ergonomic tick for that.

Customisable ambient lighting lifts the tone, soft materials look and feel good and the doorcards, bins and armrests have been reprofiled into a more sophisticated arrangement.

Our test car’s dark grey and white synthetic leather trim combination lifts the mood as does light from the huge, two-panel glass roof. But beware, while white trim looks dazzling on the showroom floor it takes some extra work to maintain its schmick appearance in the day-to-day grind.

After seven years in market the Model 3 has aged well and still looks sleek and contemporary.

The XC40 Recharge sees some design changes from its fuel-based counterparts and that’s mainly seen in the front because you get a body-coloured panel instead of a standard grille. The 20-inch alloys feature a chunkier-looking design but the front still boasts the cool ‘Hammer of Thor’ headlights (which I'm rather fond of).

The interior is where the electric powertrain loses me because the fuel-based equivalent is so much nicer inside with its leather-accented upholstery and trims.

It's lovely that there has been a conscious effort to use recycled materials and non-leather upholstery throughout but I'm left with the strange-feeling that synthetic seats don’t reflect the grade or price level of this car. 

Other than the cool-looking topography inserts on the dash and front doors and the 9.0-inch vertical multimedia system, it’s pleasant but a little basic in the cabin. Which is shame because the exterior is cute as hell.

At just over 4.7m long, more than 1.8m wide and a bit over 1.4m tall (with a 2875mm wheelbase) the Tesla Model 3 is a low-slung medium-size sedan. 

There’s plenty of space up front, a feeling enhanced by the standard panoramic glass roof and our test car’s white trim brightening up the cabin.

There are long, wide bins on the front doors with enough room for large bottles, a slim glove box (which opens only via an on-screen button, which is annoying) and a generous lidded storage box between the seats that doubles as a centre armrest.

The console houses two cupholders with another storage cubby ahead of them (both with sliding covers over the top) and the dual device wireless charging bay on the lower part of the dash under the media screen.

Switching to the rear, at 183cm I have a surprising amount of foot, leg and headroom when sitting behind the driver’s seat set to my position. The rear door aperture is surprisingly large which helps entry and egress.

Technically able to accommodate three passengers, the back seat is best for two full-size adults on anything other than a mid-length journey, although the flat rear floor helps ease pressure on the centre occupant.

There's a well-hidden fold-down centre armrest with cupholders, there are useful bins in the doors and hard shell map pockets on the front seatbacks.

The crisp 8.0-inch rear screen is a welcome entertainment option for back-seaters and there are adjustable air vents underneath it.

For power and connectivity there are two USB-C ports and a 12-volt socket in the front compartment, a USB-A in the glove box (mainly for dash cam and ‘Sentry Mode’ data storage) and two USB-C ports in the rear under the vents.

Boot space is a ample at 682 litres (the bootlid is adjustable for opening height) with an 88L ‘frunk’ in the nose. And if you need to tow a relatively light load like a box trailer or Jet Ski (or two) you can hook up a 1.0-tonne braked trailer (750kg unbraked).

While we understand it helps maximise battery space and reduce weight, we’re not on board with Tesla’s policy of providing a repair/inflator kit rather than a physical spare tyre. Even though this is likely to be a primarily urban cruiser, it’s not good enough. 

Then, there’s the Tesla app, an electronic Swiss Army Knife that facilitates everything from remote vehicle access and cabin ‘preconditioning’ to planning your route (complete with charging stops) and monitoring Sentry Mode (checking the vehicle’s surroundings and receiving alerts of potential threats).

The list of functions goes on and on, but suffice it to say the app is hugely handy. For example, ‘Dog Mode’ keeps the air con on with the car locked for the benefit of your four-legged friend and lets passers by know the doggo is safe via a bold message on the central screen. An internal camera, accessible via the app, lets you check-in remotely, too. Nice. 

Given its overall size and despite its conventional sedan configuration, the Tesla Model 3 offers efficient packaging and a heap of thoughtful features to enhance everyday practicality.

Front passengers enjoy the most space and I have plenty of head- and legroom up front. It’s a really easy car to get in and out of and the individual storage is very good for the class. 

Front passengers enjoy a glove box, middle console with a removeable bin, two cupholders, utility tray and skinny drink bottle holders in the storage bins in the doors.

In the rear, passengers get map pockets on the backs of the front seats, two cupholders in the fold-down armrest and small storage bins in each door.

The synthetic leather-trimmed seats look neat and tidy but are very hard in the cushion, which makes them a tad uncomfortable on longer trips. The rear seats are much the same.

Charging options throughout the car are good with the front enjoying a 12-volt port, two USB-C sockets and a wireless charging pad to choose from. The rear also gets two USB-C ports and there's another 12-volt outlet in the boot.

The rest of the technology is easy to use once you spend some time with it. The 9.0-inch touchscreen multimedia system features built-in Google Maps, Assistant and Play Store apps, as well as, YouTube.

The 12.0-inch digital instrument panel isn’t customisable but I like the way it pulls through the satellite navigation screen and directions.  

Because of the dual-motor powertrain, your boot capacity drops to 419L from 452L for the single-motor variant. It is large enough for my grocery shop and random errands and you can fold the floor up to create a deep storage well for additional space. Fold the 60/40 split-folding rear seat and available space expands to 1295 litres.

I don’t like the hardened cargo liner, it feels and looks a little cheap, but I do like the powered tailgate. There’s also handy frunk storage of 31L, which is perfectly sized for any charging cables you will have.

There are two powertrain options in the XC40 family, a mild-hybrid or pure electric. The latter gets two variants and we’re in the top-spec Recharge Twin Motor, which is priced from $85,990, before on-road costs. This positions it in the middle of its nearest rivals but in its family line-up it’s a big $23K jump from its Ultimate B4 AWD combustion equivalent.

The standard features list for the XC40 is robust and there are some great premium features, like the electrically-adjustable and heated front seats with extendable under-thigh support and electric lumbar control.

A panoramic sunroof makes the cabin feel light and airy, the rear outboard seats have heat functions and the driver enjoys a heated steering wheel. You also get a premium 13-speaker Harman Kardon sound system in the Twin Motor.

Other premium features include pre-entry and after-park climate control (perfect for those super-hot days) and a hands-free powered tailgate.

Technology highlights include a complimentary four-year subscription for the built-in Google Assistant, Google Maps and Google Play Store which are accessed via the portrait-style 9.0-inch multimedia touchscreen.

There's also access to apps like YouTube, which delighted my seven-year old and would be handy on any charging stints for some diversion. It's surprising there isn't wireless functionality for Apple CarPlay and Android Auto but they can be hooked up via cable.

The Tesla Model 3 Premium Long Range RWD is powered by a single permanent magnet synchronous electric motor producing a handy 235kW and in excess of 400Nm.

It sends drive to the rear wheels only via a single-speed, direct-drive automatic transmission. 

Kerb weight is 1747kg and Tesla claims 0-100km/h acceleration in a rapid 5.2 seconds.

The XC40 Recharge Twin Motor features two electric motors which are powered by a large 82kWh lithium-ion battery and produce a combined power output of 300kW and 670Nm of torque.

Which is downright fun because it can do a 0-100km/h sprint in just 4.8-seconds!

Tesla claims a WLTP range of up to 750km for the Model 3 Premium Long Range RWD, the official EV term for which is… a lot. 

As mentioned earlier, at the time of the car’s local launch in October last year Tesla claimed it as the longest-range EV in Australia and at the time of writing nothing had arrived to change that.

Unlike the standard Model 3, which is powered by a CATL-sourced LFP battery, the Long Range RWD is fitted with a lighter, more energy dense NMC pack from LG with a total capacity of 82kWh (78kWh usable).

In terms of energy consumption, Tesla claims 12.5kWh/100km on the combined (urban/extra-urban) cycle and on test we experimented with liberal use of the accelerator pedal, higher than average freeway running and keeping the car constantly chilled during extremely hot weather, which resulted in an average of 15.7kWh/100km. 

Aside from that, more typical stop-start urban driving with occasional use of the ‘Chill’ (eco-focused) mode brings the number down to 13.1kWh/100km.

That’s an impressive performance, with even the upper test figure more than acceptable for a 1.75-tonne electric sedan.

Capable of accepting a 250kW fast charge, Tesla says the Model 3 Long Range RWD can take on 311km of range in 15 minutes, at that speed.

On a 150kW pylon we saw capacity go from 15-85 per cent (theoretically, 600km of range) in roughly 50min, although the charger fluctuated below peak output throughout.

The official energy consumption figure is 19kWh/100km and I averaged 19.2kWh over a fair mix of urban and open-road driving. The energy consumption isn't bad but some rivals do sit closer to that 16.5kWh mark.

The official driving range is up to 485km for this model but I only ever saw a top range of 410km. That's not terribly surprising given I wasn't shy with the power use but there was a little bit of range anxiety on longer trips.

The XC40 Recharge Twin Motor has a Type 2 CCS charging port which means you can benefit from faster charging speeds. On an 11kW AC charger you can go from 0-100 per cent in eight hours but on a standard three-pin house plug socket expect that wait time to go up significantly.

On a DC fast charger expect to go from 10-80 per cent in as little as 33-minutes.

So, surprise, surprise, the Tesla Model 3 Premium Long Range RWD is quiet. But it’s quiet, even in the context of other EVs in this part of the market.

That’s thanks in part to acoustic glass in the front, rear and side windows as well as the dual-pane glass roof and the Bridgestone Turanza T005 EV tyres (235/45x18) featuring ‘B-Silent’ technology. Corny, but it works.

A kerb weight under 1.8 tonnes is relatively lightweight for an EV of this size and the Model 3 RWD is quick with 0-100km/h acceleration in a fraction over five seconds. There’s always plenty of pulling power under your right foot. 

Suspension is double wishbone front, multi-link rear and ride comfort is respectable rather than exceptional. Smaller bumps and irregularities find their way into the cabin but never to an alarming degree.

Steering sits in the middle-of-the-road between tactile and wooden, which is par for the EV course, although it's accurate and pleasingly progressive. Body roll, even in enthusiastic cornering, is modest. 

The physical brakes are ventilated discs front and rear although they don’t come into play all that often because the Model 3’s regenerative braking system is so good. Single-pedal operation soon becomes the norm. 

Our test car’s optional ‘Full Self-Driving (Supervised)’ will set you back $10,100 as a one-off payment, or $149 per month and Tesla says when using it, “Under your supervision, your car will be able to drive itself almost anywhere with minimal driver intervention”.

We engaged it for a 30km trip through suburbia, across the Sydney Harbour Bridge and into the city’s inner south. 

A rainbow-coloured magic carpet in front of the car graphic on the nav map tells you the system is engaged and although things went smoothly at first we soon sliced a bit off the inner oncoming lane as we turned right at a T-intersection, which was alarming. 

The system also has a consistent tendency to stick to the far right-hand side of the lane, stay five to 10km/h under the signposted speed limit and it continued to operate without my hands on the wheel, although I kept them there for 99.9 per cent of the drive (which is tiring when you’re not doing the steering).

Having been squeezed to the point where we couldn’t merge safely into a particular arterial road the nav took us on what’s known in the trade as a wild goose chase that had to be nipped in the bud. If I hadn’t known my way around it could have been a huge waste of time and (vehicle) energy. As much a nav issue as an FSD one, but overall, let’s just say, I’m not convinced.

Under the heading of miscellaneous observations, I’m not a fan of the on-screen gear position slider in place of a physical control. It’s needlessly fussy, although its ability to automatically switch between D to R (and back) during slow-speed manoeuvres is helpful. 

The software behind the car’s multitude of functions is exceptionally good, as is the ability to swipe in the vicinity of the temp and audio volume screen sliders, rather than having to hit them bang on and the blind-spot camera view which pops up on the screen when indicating on either side is handy.

Like the Polestar 2 there’s no ignition button on the XC40. You shift into drive to ‘turn on’ and after you park, you simply get out to turn it off. It takes a little while to get used to but it’s a cool feature. 

The twin motors deliver a hefty kick and you never worry about not having ‘enough power’. In the city it’s zippy but on the open-road you also feel comfortable getting up to speed or overtaking because the power distribution is so well-balanced because it’s an AWD.

I customised my steering wheel ‘feel’ to firm and it makes the handling crisp and direct. You feel like you’re in total control whenever you have to tackle be it tight streets or small car parks.

The blind-spot visibility is compromised by how wide the B and C-pillars are and I find that I'm relying a lot more on the blind-spot monitoring system to compensate.

The XC40 loses a few points for me in terms of ride comfort. As mentioned, the seats aren't terribly comfortable but the suspension is hard enough that you notice every bump, as well.

Road noise is also quite pronounced and it doesn’t sound refined when you drive at higher speeds, which is a shame. The flip-side, though, is that you don’t notice those things as much on short, urban trips.

The standard regen braking isn’t customisable and you don’t notice it until you switch over to a 'one-pedal' function. I found this function uncomfortable to use as it’s very aggressive and creates a jerky driving experience. 

Because of its 4440mm length and tiny 11m turning circle, you won’t struggle in a car park! The 360-degree view camera system and front and rear parking sensors make it easy to navigate a tight spot.

This is a joy to park. It’s so easy.

The XC40 has a long safety features list but a standout is the Volvo designed 'Side Impact Protection System' (SIPS) that reinforces the car's steel framework at the sides and disperses energy in a side collision.

Other standard features include full LED external lights, daytime running lights, adaptive cruise control, rear cross-traffic alert, blind-spot monitoring, driver attention alert, forward collision warning, lane departure alert, lane keeping aid, intelligent seatbelt reminders, traffic sign recognition, 360-degree camera system, front and rear parking sensors.

The XC40 has a maximum five-star ANCAP safety rating from testing done in 2018. It has seven airbags, including a driver's knee bag and features high individual scoring for adult and child occupant protection at 97 per cent and 84 per cent, respectively. 

The XC40 has AEB with car, pedestrian and cyclist detection and is operational from 4.0-210km/h. It's usual to see that top speed sit closer to 180km/h, so that's very good.

A cool feature for any parents out there is the second key which you can program to limit stereo volume levels and set a maximum speed allowance. It's even coloured bright orange so there are no chances of a sneaky switcheroo!

There are ISOFIX child-seat mounts on the rear outboard seats and three top-tether anchor points for any families out there but two seats will fit best.

From January 1, 2026 all new Teslas sold in Australia have been covered by a five-year, unlimited kilometre warranty (including roadside assistance for the duration), up from four years/80,000km, previously.

A big step forward, no doubt, but that just gets Tesla to a base, mainstream market level with a dozen brands now at seven years, several at eight and three at 10 years (conditional).

The drive battery is covered for eight years/192,000km, which is in line with the category norm. And a Body Rust Limited Warranty covers rust perforation for 12 years, unlimited kilometres, which is reassuring.

Tesla servicing is condition-based, so there’s no fixed schedule, with a summary on the car’s touchscreen providing a record of when vehicle maintenance was last carried out and prompts for when they should be performed next.

In the absence of a combustion powertrain the emphasis is on things like wheel rotation, balancing and alignment, brake fluid testing, air-con servicing, camera precision, radiator cleaning and high-voltage battery maintenance.

Theoretically, if a workshop visit is flagged in the car’s system, it could include actions like a ‘Vehicle Health Check’ ($270), ‘General Diagnosis’ (270 per hour), brake fluid flush ($240.80) and replacement of both cabin air filters ($106.60).

Things like air-con desiccant bag replacement ($89.18), tyre rotation ($81.00), a wheels check - if tyre wear is abnormal ($81) and a wheel alignment ($225) are also set inspection and service items. All prices exclusive of GST.

In the States, the brand provides a range of estimated annual service pricing of between US$257 - US$499 ($367-$712), based on data collected by car buying specialist CarEdge. The suggested service range is around 20,000km and the first five annual estimates are at US$300 ($430) or less.

Tesla has 25 stores in Australia, not surprisingly covering mainly urban and larger regional centres, including four each in Melbourne and Sydney, three in Canberra, two each in Adelaide, Brisbane and Perth as well as one in Hobart.

The ongoing costs are pretty solid with the XC40 coming with a usual five-year/ unlimited warranty term but the drive battery is covered for eight years/160,000km.

You can pre-purchase a five-year/150,000km servicing program for a flat $3000 or an average of $600 per service, which is a bit expensive for the class. Servicing intervals are great at every two-years or 30,000km, whichever occurs first.

You get complimentary roadside assistance for five-years through Assist Australia and if you meet certain criteria, you can extend that by a further three years, which is handy.