What's the difference?
Commercial vans are not an exciting segment of the car industry - but they are big business.
Not only do businesses, especially fleets, need a quality van, if you can crack the market there are meaningful sales for some of the biggest name brands in the country.
Unsurprisingly, Toyota dominates the mid-size van market with its HiAce, which notched up more than 12,000 sales in 2024 to make it one of the market leader's most popular models. For Ford the Transit Custom is even more important as the brand’s third best-selling vehicle behind the Ranger and Everest.
Which is why the decline of Volkswagen’s Transporter has been a big deal for the brand, and it’s why the arrival of the all-new, seventh-generation model is such a big deal. The German maker only sold 875 Transporters last year, as the transition between the out-going model and this new one hit hard.
But that’s the past, Volkswagen is focused on the future, with high hopes this new Transporter can rise back up the sales charts. It also completes VW’s commercial van line-up, sitting alongside the smaller Caddy and ID.Buzz Cargo as well as the larger Crafter.
This new Transporter is slightly less Volkswagen than the previous six generations, though, as it is now platform sharing with Ford as part of the two automotive giants’ commercial partnership (which sees the Amarok also based on the Ranger).
By working together it has allowed the two companies to develop not only a new diesel-powered van but also an all-electric offering and a plug-in hybrid. The latter won’t be available until sometime in 2026, but we’ve just driven the new diesel and electric Transporter.
China has made a substantial impact on the Australian ute market by single-handedly creating a new category of utes, which are larger than traditional Ranger/HiLux size but smaller than full-size US pick-ups.
Chinese brands competing exclusively in this segment include the BYD Shark 6, GWM Cannon Alpha and platform-sharing LDV Terron 9/MG U9, but they’ve recently had to make room for another competitor with the return of Foton and its all-new Tunland model.
Having withdrawn from the Australian market in 2019, the brand has regrouped under long-established local distributor Inchcape with a new four-model Tunland range offering 4x2 and 4x4 drivetrains, a generous warranty and expanding national dealer network.
Established in 1996 and headquartered in Beijing, Foton claims to be China’s largest commercial vehicle manufacturer and sales leader for the past two decades. So, there’s plenty of truck building experience here, enhanced by technology partnerships with blue-chip global automotive brands including Cummins, Daimler, ZF, Bosch and Borg Warner.
We were recently handed the keys to the entry-level model grade to see if it has the performance, practicality and price to be a significant competitor in the work-focused ute market.
So has Volkswagen done enough with this new Transporter to win back buyers in what has become a highly-competitive van market?
Based on our initial test drive of the Transporter, it’s safe to say Volkswagen has a good chance of regaining some lost ground. But it won’t be easy because there isn’t any particular area where the Transporter really sets itself apart from the competition.
It’s a pleasant van to drive, with a roomy, modern cabin and a competitive cargo area, at least with the diesel engine. The electric Transporter provides an alternative choice for a small audience, but the huge price premium and limited range will mean it won’t suit the vast majority of buyers.
The real opportunity for VW will come when the PHEV arrives in 2026. That has the potential to help create some difference between itself and the likes of Toyota and Hyundai.
It’s noticeable that the brands dominating the commercial van market are the big name ones, rather than the cheaper Chinese competition, which suggests buyers are looking for a trusted name rather than the lowest price.
So from that perspective, Volkswagen has a decent chance of regaining lost ground given its heritage in the van segment.
Note: CarsGuide attended this event as a guest of the manufacturer with meals provided.
In pure workhorse terms the V7-C 4x2 is the most impressive Chinese ute we’ve tested, with its ability to legally haul more than one tonne of payload while towing up to 3.5 tonnes of braked trailer unmatched by Chinese rivals (and most others). When you add purposeful styling, ample cabin space, generous appointments and a long warranty, all for less than $40K, the new Tunland model represents compelling value for money.
Commercial vans are typically not instruments of design, but rather a study in functionality. But credit to the Volkswagen designers because it clearly looks like a Volkswagen from the outside, despite its Ford lineage. While there are obviously some similarities between the Transporter and Transit Custom inside, the front-end design definitely has a visual connection to the previous generation models.
But, of course, functionality is important and by using the Transit Custom underpinnings, Volkswagen has been able to grow the Transporter. It is 150mm longer and the standard wheelbase has been stretched by 100mm, compared to the six-generation, which allows for even more cargo space.
The cabin is well laid out, with a new 12-inch digital instrument display and a 13-inch multimedia touchscreen taking prominence on the dashboard. The multimedia system includes built-in navigation plus wireless Apple CarPlay and Android Auto, as well as digital radio.
If Oscar Wilde was correct in claiming that imitation is the sincerest form of flattery then Ford and Ram should be blushing, judging by some of the Tunland’s styling cues which appear to draw strong design inspiration from Ford’s F-150 (V7) and Ram’s 1500 (V9).
Even so, our base model V7-C 4x2 does not look or feel like the afterthought that workhorse models can represent in commercial fleets. Its alloy wheels and splashes of bright body chrome combined with body-coloured doorhandles/mirror shells and a decorative tailgate looks more upmarket than you’d expect, particularly at this low price.
Riding on a long 3355mm wheelbase with external dimensions of 5617mm length, 2000mm width and 1910 height, its traditional body-on-frame design features twin wishbone front suspension, a leaf-spring live rear axle, electric power-assisted steering and four-wheel disc brakes.
And although it’s a 4x2 it shares many of its 4x4 siblings’ off-road credentials including a useful 240mm of ground clearance, 28 degrees approach/21 degrees ramp break-over/26 degrees departure angles, 700mm wading depth and 13.5-metre turning circle.
Its external dimensions create a spacious interior that nudges the benchmark for workhorse luxury. With Daimler truck DNA evident in its digital screen displays, the plush synthetic leather trim features a combination of quilted white stitching and contrasting red stitching, plus splashes of satin chrome and dark woodgrain highlights on the dash, centre console and door trims.
This is the really important element for any good commercial van, both the practicality of the cabin (as drivers spend long hours behind the wheel) and the cargo capacity in the back (for the obvious reasons).
Up front there’s a wireless charging pad and seven USB ports spread around the cabin. There are plenty of small item storage spots, and some not so small items, with a large shelf on top of the dashboard and multiple in-door shelves.
Of course, it’s out the back that’s really important and, as mentioned earlier, there is more space thanks to the larger overall dimensions.
Both SWB and LWB vans come with a plastic floor cover as standard, plus there are load rated tied tie down points, a 12V charging port in the D-pillar and LED lights in the roof.
Thanks to the extra length, the SWB has a 2.6m load length and 5.8 cubic metres of cargo space, while the LWB has 3.0m in length and 6.8 cubic metres. There’s also a steel fixed partition with window, window grille and load through hatch to stretch the usable space even more.
The total payload for the Transporter varies depending on the powertrain. The TDI 2WD can take up to 1062kg (SWB) and 1016kg (LWB), while TDI AWD can manage 963kg (SWB) and 917kg (LWB). The electric Transporter has a significantly lower payload, rated at 806kg (SWB) and 760kg (LWB).
Towing capacity also changes depending on the powertrain, the TDI 2WD can manage 2000kg, TDI AWD up to 2800kg and the electric 2300kg.
With its 2190kg kerb weight and 3305kg GVM, the V7-C 4x2 has a sizeable 1115kg payload rating which is the largest of the Tunland fleet.
It’s also rated to tow up to 3500kg of braked trailer and with its big 6805kg GCM (or how much it can legally carry and tow at the same time) it can tow its maximum trailer weight when carrying its maximum one-tonne-plus of payload. Those are impressive numbers unmatched by its Chinese rivals.
The load tub is protected by a spray-in liner and measures 1577mm long, 1650mm wide and 530mm deep, with 1240mm between the wheel housings ample for carrying Aussie or Euro pallets.
There’s also tailgate assist and load-anchorage points front and rear, but the front ones are mounted near the tops of the sidewalls which is not ideal for securing low loads. Anchorage points near floor level (like those at the rear) are best for securing loads of all heights.
There’s ample room in all key dimensions for the driver and front passenger, where storage includes a bottle-holder and bin in each door plus an overhead glasses holder and large glovebox.
A cleverly designed centre console offers two levels of storage, with dual USB-A ports and a 12v socket in the lower level. There’s also two bottle-holders in the centre and a large box at the back, with an internal A/C vent to keep contents cool and a padded lid that doubles as an elbow rest.
The rear doors open wide to allow easy access to a spacious rear bench seat, given I’m 186cm and have ample knee clearance and headroom when sitting behind the driver’s seat set in my position. There’s also a flat floor that saves central passengers from having to straddle a transmission hump but shoulder room for three big Aussies can be squeezy, which is okay for short trips but a limit of two would be ideal for longer journeys.
Rear passengers have access to adjustable air vents on the rear of the centre console, along with storage that includes a bottle-holder and bin in each door plus pockets on each front seat backrest. The centre seat’s backrest also folds forward to provide an armrest containing two cup-holders.
The 60/40-split base cushions can swing up and be stored vertically if more internal carrying space is required. And although there’s no dedicated under-seat storage compartments, there’s generous space for stowing soft items like sports bags, jackets etc.
In addition to the multiple powertrains, there’s also a variety of body styles to choose from - van in both standard and long wheelbase, Crewvan in both lengths and the long wheelbase Dual Cab.
The Transporter TDI (diesel) SWB van begins the range at $58,590 (all prices exclude on-road costs), while the same size with electric power is priced from $83,590; so the cost of going electric is a big one.
The diesel van LWB is priced from $60,590, and the electric van LWB $85,590, so the extra room is a much cheaper upgrade.
Standard equipment on the Transporter van includes 16-inch steel wheels, LED headlights and tail-lights, keyless ignition, climate control, cloth-trimmed seats, heated front seats and a four-speaker sound system.
Customisation is a key part of the commercial vehicle market, so Volkswagen has done its best to ensure aftermarket suppliers can use the Transporter as a platform to shape it into whatever customers need - delivery van, camper, etc.
For business operators Volkswagen Australia has done a deal with a company called Sortimo. The so-called Sortimo ‘1-Click’ is a new system, exclusive to Volkswagen, that allows owners to add interval shelving options to any VW commercial van direct from the dealer. This can be added at the time of purchase so it can be included in the financing for the car.
The Tunland range includes the V7-C 4x2 and V7-C 4x4 workhorses aimed primarily at fleet and trade buyers plus two 4x4s variants with a more upmarket/lifestyle focus comprising the V9-L and premium V9-S.
Our V7-C 4x2 test vehicle is the tradie’s entrance to Tunland ownership, which comes standard with the same 2.0-litre four-cylinder turbo-diesel with 48-volt hybrid assist and eight-speed automatic shared by all models, for a tempting list price of only $39,990 before on-road costs. Our example is finished in gleaming Galaxy Silver which is a premium paint option that adds $690.
The V7-C comes well equipped for a workhorse with standard equipment that includes chunky 18-inch gloss black alloy wheels with 265/70R18 tyres and a full-size steel spare.
There’s also LED headlights, tail-lights and daytime running lights, side-steps, spray-in tub-liner, electronic parking brake, front/rear parking sensors, panoramic 360-degree camera with integrated dash-cam, smart key entry/start, USB ports and 12v socket, 12.3-inch driver’s digital instrument cluster, 14.6-inch infotainment screen with Apple Car Play and Android Auto connectivity, four-speaker sound system, ‘Hi Foton’ voice recognition and more.
As mentioned earlier, Volkswagen has been able to diversify the Transporter for now and into the future, which means the choice of diesel, electric and plug-in hybrid.
Despite the electrified additions, the most popular choice for buyers is overwhelmingly going to be the turbo diesel. The 2.0-litre four-cylinder unit makes 125kW of power and 390Nm of torque and is paired to an eight-speed automatic. It’s available either with front-wheel drive or Volkswagen’s '4Motion' all-wheel drive set-up.
The eTransporter is rear-wheel drive only, and has a single-speed gearbox attached to its 210kW/415Nm electric motor.
The PHEV isn’t here yet, but when it does arrive, Volkswagen has confirmed it will be producing 171kW/205Nm.
Foton’s Aucan 2.0-litre four-cylinder turbo-diesel meets Euro 6 emission standards using AdBlue and produces 120kW of power at 3600rpm and a meaty 450Nm of torque between 1500-2400rpm.
Its hybrid assistance follows convention with the turbo-diesel engine equipped with a belt-driven starter-generator paired with a compact 48-volt lithium-ion battery nestled behind the rear seat.
This combination provides not only smooth engine stop-start technology but also modest boosts in power and torque (in addition to the diesel’s 120kW/450Nm) to enhance engine response and load-hauling ability.
The ZF-designed eight-speed torque converter automatic offers the choice of manual sequential shifting using the steering wheel-mounted paddles, along with several drive modes. The V7-C is estimated to accelerate from 0-100km/h in less than 11 seconds with a top speed of around 160km/h.
Only thing missing is a locking differential, which for a 4x2 can be handy when accessing rugged worksites or pulling a boat trailer up a slimy boat-ramp.
Fuel economy for the diesel is rated at 7.9L/100km for the two-wheel drive variant and rises to 8.4L/100km for the 4Motion AWD.
Our test drive was limited, so we couldn’t get a fair real-world fuel figure, but if you can hit those claims, with its 70-litre fuel tank it has a theoretical driving range of 886km for the 2WD and 833km for the 4Motion - which should be enough to get even the more active delivery drivers through a few days.
As for the eTransporter, VW claims a driving range of 330km, with 125kW DC charging able to replenish the battery from 10-80 per cent in just 38 minutes. Volkswagen is confident that this should be enough to appeal to back-to-base-style operators looking to cut fuel costs and emissions.
Foton claims official combined consumption of 8.0L/100km and the Tunland’s trip computer was showing 9.5 at the completion of our 294km test, which comprised our usual mix of suburban, city and highway driving of which about one third was hauling more than one tonne of payload.
Our own figure, calculated from fuel bowser and tripmeter readings, was even better at 9.2L/100km. That’s excellent sub-10L/100km economy for a vehicle weighing more than two tonnes being driven mostly on metro roads and consumption that's well within the usual 2-3L/100km discrepancy between manufacturer and real-world figures.
So, based on our test figure, you could expect a realistic driving range of more than 800km from its 76-litre diesel tank.
Volkswagen is a company that prides itself on its driving dynamics, even when it comes to vans. Even with the Ford influence, the new Transporter unmistakably feels like a Volkswagen in the way it drives.
It's worth noting we drove the Transporter unladen, so it may respond differently when filled with cargo, but the fundamental behaviour should remain the same.
There’s no mistaking you’re behind the wheel of a big van, but the Transporter reacts well to your inputs, so it feels responsive and surprisingly agile for such a sizable vehicle.
The same is true for the turbo-diesel engine, which feels strong enough to pull the big van along with a minimum of fuss (although, again, that was without a full cargo load in the back). What the engine does well is perform quietly. The cabin is well-insulated from the outside world, so it makes for a more relaxed environment, which will be a welcome factor for anyone looking to spend their working day inside the Transporter.
We sampled the electric Transporter and it also performed well. Dynamically it felt very similar, despite being rear-wheel drive, but obviously the bigger difference is under the bonnet. The electric motor does a fine job, but it feels solid rather than being particularly punchy. The TDI feels like it does the work easier, even under acceleration which should be the electric motor’s strength.
There’s big assist handles on the A and B-pillars which combined with the side-steps makes for easy boarding into a spacious and comfortable driving position. However, some adjustments for base cushion rake and lumbar support would be welcome.
With selectable steering feel and drivetrain settings, it’s an enjoyable vehicle to drive. The turbo diesel has excellent all-round response, with the seamless interaction of its 48V mild-hybrid assist providing extra urge from standing starts.
Although you can manually shift, the eight-speed auto gets the best out of this engine in urban use, keeping it mostly within the 1500-2400rpm band where torque is at its strongest. We also sampled the Sport and Eco drive modes but found the default Standard setting was an ideal compromise. It’s also a relaxed highway cruiser requiring only 1800rpm to maintain 110km/h.
To test its GVM rating we forklifted 830kg into the load tub, which combined with our crew of two equalled a total payload exceeding one tonne (1010kg). The rear leaf springs compressed 75mm under this weight, leaving about 40mm of static bump-stop clearance which did not display any harsh bottoming-out on our test route.
It hauled this payload with commendable ease, particularly on our 13 per cent gradient, 2.0km-long set climb at 60km/h where it quickly downshifted to fourth gear and 2400rpm (the upper end of its peak torque band) to haul this load to the summit.
Engine-braking on the way down, in a manually selected second gear, was also robust for a relatively small engine displacement restraining more than three tonnes of combined vehicle and payload on overrun. It proved to be a competent heavy load-hauler.
Our only criticisms are that the eight-speed automatic tends to hold sixth gear for too long at times, with the engine sounding and feeling like it’s really labouring before downshifting to fifth.
There were also a few settings in the touchscreen’s ‘Rear Cross Traffic Assist’ menu that could not be selected and the ‘Traffic Sign Recognition’ symbol was not displayed in the driver’s instrument display. Inchcape could not confirm if these findings were unique to our test vehicle or a broader product issue.
This is an area previously overlooked, not just by carmakers but even the safety authorities. Given vans like the Transporter are on the road more than your average family car, it’s important to keep everyone safe.
There is no ANCAP score for the new Transporter yet, and the safety authority hasn’t crash tested the latest Ford Transit Custom, either. So there is clearly still some work to do before commercial vans get the same level of attention as passenger cars.
In terms of equipment, the Transporter comes with a range of active safety items including 'Front Assist' (with cross traffic alert and adaptive cruise control) and a rear view camera. There are also front and curtain airbags to protect the occupants.
The latest Tunland is yet to receive an ANCAP star rating which may hinder sales, particularly to fleets.
Even so, it comes loaded with safety features like eight airbags including full-length side-curtain, driver’s knee and front-centre deployment, plus auto emergency braking (AEB) with pedestrian and cyclist detection, adaptive cruise control, lane keeping, speed sign recognition, blind spot monitoring, rear cross-traffic alert, trailer stability assist, tyre pressure monitoring, front/rear parking sensors, 360-degree camera with integrated dash-cam and more.
For junior tradies the rear bench seat has three top-tethers plus ISOFIX anchorages on the two outer seating positions.
Volkswagen says the Transporter and eTransporter require servicing annually or every 30,000km - whichever comes first.
The diesel is significantly more expensive to service, with even the cheapest visit costing $670 and the most expensive $892. Over the first five years the Transporter will cost $3880 to maintain.
By contrast, the eTransporter costs $410 for every visit, except the 90,000km major check-up which is $496. So over five years it will cost $2136 to service.
While VW has an expansive national network of dealers for servicing, and a history with commercial vehicles, that’s not a big advantage over its key rivals in this market - Toyota, Ford and Hyundai - which all boast the same.
It's confidently backed by a seven-years/unlimited kilometre warranty and seven years of roadside assistance.
Scheduled servicing is every 15,000km/12 months whichever occurs first.
There’s capped pricing for the first seven scheduled services up to seven years/110,000km totalling $4492, or an average of around $640 per service.
Foton Australia currently has a national network of around 20 dealers (with plans to expand) represented in most states and territories. All can provide scheduled vehicle servicing.