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.
Yet another Chinese-branded EV has arrived on our shores and if the name Jaecoo doesn’t ring a bell, that’s understandable. It’s a relatively new offshoot of Chery, making its presence felt with a growing line-up aimed squarely at everyday buyers. Think mainstream, built around accessible pricing and a decent spread of features.
Offered in a single grade, the Jaecoo J5 EV is a small SUV entering an already crowded segment. It goes up against familiar names like the BYD Atto 2, Chery E5 and MG S5 EV, all offering broadly similar promises on paper. The real question, then, is whether the J5 EV manages to carve out an identity of its own, and whether its appeal stretches beyond the price tag.
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.
The Jaecoo J5 EV makes a strong first impression and a quieter long-term one. The J5 looks the part, feels comfortable and covers all the basics well, making it an easy choice for buyers who want an affordable, practical EV without too many compromises.
It’s a solid effort overall, though even at this lower price point a few more rear-seat features would be welcome - especially given this is the only grade currently available. However, it hits the right notes when it comes to ownership and value which will be its strongest pull.
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.
The Jaecoo J5 EV is a handsome-looking small SUV. Its suite of LED lighting, 18-inch alloy wheels and upright, robust silhouette give it plenty of presence, particularly for something positioned at the affordable end of the EV market. That said, originality isn’t really its strong suit. The design, especially from the rear, feels heavily inspired by a Range Rover. Imitation may be the highest form of flattery but Jaecoo could have pushed the design in a slightly more distinctive direction.
It looks good on the road, though, and inside, the J5 has a genuinely airy feel. Light-coloured synthetic upholstery and the expansive panoramic glass roof help the cabin feel open and welcoming, particularly from the front seats. The design is modern and tech-focused, with the large 13.2-inch display taking centre stage on the dashboard.
The overall layout is clean and undeniably premium in its presentation, though it doesn’t bring a great deal of personality with it. That’s becoming a familiar theme, especially in this part of the EV market, where minimalism and screens often take priority over character.
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.
The Jaecoo J5 EV's cabin is spacious with both rows offering ample head- and legroom. A flat floor also helps the middle rear seat feel more usable than usual, which is always appreciated. Up front, the seats are very comfortable, with their added adjustment, heating and ventilation making a noticeable difference on longer drives. The rear seats are well padded with decent back support, so passengers in the second row shouldn’t feel short-changed.
Access to both rows is good with wide door apertures and an easy step in/step out height. My main quibble here is the keyless entry set-up. Unless you enable proximity unlocking through the multimedia system the doors aren’t truly keyless. Even then, the system can be inconsistent. That means occasionally having to reach for the key fob, which is frustrating when your hands are full.
Storage is one of the J5’s stronger suits. Up front, it’s easy to keep things neat thanks to a large glove box and a deep, if slightly narrow, middle console. There’s also a clever open shelf beneath a centre console that houses cupholders and phone storage, including a wireless charging pad. A small hidden pocket behind the media display adds to the storage count, although I’ll admit I regularly forget it exists.
Rear passengers get a couple of map pockets, drink bottle holders and cupholders. Beyond that, amenities are limited. There’s a single directional air vent and a USB-A port, but not much else to keep older kids or adults entertained.
Technology is fairly straightforward, although almost everything is accessed through the touchscreen. The multimedia system is crisp and responsive, with wireless Apple CarPlay and Android Auto working well, however it misses out on built-in satellite navigation and any meaningful apps. That said, there is a karaoke app tucked away in the system, which will undoubtedly delight someone, somewhere.
Charging options up front include a USB-A and USB-C port, along with a 12-volt socket. There’s also a USB-A port near the rear-view mirror, which is handy if you’re planning to install an aftermarket dash cam.
Jaecoo pitches the J5 as pet-friendly, with upholstery designed to be easy to clean and resistant to wear. In practice, I’d say that claim comes with caveats. Jaecoo clearly hasn’t met my son or my German Shepherd, and it took a fair bit of elbow grease to properly clean the cabin. Staying on top of messes will be key if you want the interior to keep looking fresh.
The boot offers up to 480L of capacity, which is strong for the class, and the flat load floor makes it easy to slide items in and out. There are no power ports or sockets, which feels like an odd omission for an EV. You also get a repair kit instead of a spare tyre, despite there being enough space to accommodate one. A 35L frunk adds some extra storage flexibility, and the powered tailgate is a welcome inclusion.
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.
We’re testing the only Jaecoo J5 EV variant available at the moment, ahead of petrol and hybrid versions due to arrive later this year. Right now, it’s being offered with a limited-time drive-away price of $36,990. Once that offer expires, it reverts to a $35,990 MSRP, which sees it tie with the BYD Atto 2 Premium as the most affordable EV in its segment.
Step up from there and you reach the J5’s sister model, the Chery E5 Ultimate, priced from $40,990 MSRP. The MG S5 EV Essence 62 sits close by, starting from $40,490 MSRP.
On paper, the J5 hits a few more notes than its key rivals and that’s worth acknowledging. There’s a solid list of premium-style features, including electrically adjustable front seats with heating and ventilation, a panoramic glass roof, powered tailgate and synthetic leather-style upholstery.
Technology is similarly generous. You get a large 13.2-inch touchscreen multimedia display paired with an 8.88-inch digital instrument cluster, along with wireless Apple CarPlay and Android Auto. A 360-degree camera system is standard, as are two USB-A ports, a single 12-volt socket up front and a wireless charging pad.
That said, there’s only one USB-C port in the entire cabin, and no charging ports or power sockets in the boot, which feels like an odd omission in an electric SUV. Accessing the vehicle-to-load function also requires an adapter via the external charging port, rather than a more user-friendly internal outlet.
Despite its sharp pricing, the J5 is offered in just one high-spec grade and that raises expectations. In that context, the rear seat feels a little underdone. It misses out on several amenities you’d reasonably expect in a flagship-style model. While that’s not unusual for an EV at this end of the market, it still feels like a missed opportunity to stand out.
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.
The Jaecoo J5 EV is powered by a single electric motor sending 155kW/288Nm to the front wheels. That’s enough to see it sprint from 0-100km/h in a claimed 7.7 seconds. Those figures stack up well relative to the J5's positioning in the segment.
This isn’t a performance-led EV and it doesn’t pretend to be. Instead, the J5 delivers its power in a way that feels competent and predictable rather than 'exciting'.
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.
The Jaecoo J5 EV uses a Type 2 CCS charging port and can accept up to 10.3kW on AC power via a three-phase connection, along with DC fast charging speeds of up to 130kW. On a suitable fast charger, Jaecoo claims a 30 to 80 per cent charge can be completed in as little as 28 minutes. That’s a solid result for this segment, with only the MG S5 EV offering higher DC charging capacity and quicker top-up times.
The J5 has a 58.9kWh lithium-iron phosphate battery and a 402km (WLTP) driving range. Both its sister model, the Chery E5, and the MG have slightly longer ranges. It's not surprising but it means it's an EV better suited to the city where you can keep it regularly topped up.
Official energy consumption is listed at 14.3kWh/100km. After a mix of longer drives and urban running, my average settled around 15.4kWh/100km, which is a respectable result overall and broadly in line with expectations.
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.
The Jaecoo J5 EV has plenty of power on hand, with good pick-up when you need it for hills or overtaking. It feels responsive enough for everyday driving, without ever feeling aggressive or overly eager.
Steering is light, and the suspension leans towards the softer side. Around town that works well, offering a comfortable ride. On faster roads or through corners, however, it can feel a little unsettled, and the J5 isn’t particularly convincing on the open road.
Visibility out the front and sides is strong and the driving position gives you a fairly commanding view of the road, which makes day-to-day city driving straightforward.
There are three levels of regenerative braking, but even on the lowest setting it can feel abrupt. Some passengers reported feeling queasy and maintaining a smooth, consistent speed can be tricky as the car has a tendency to lurch.
Parking is generally easy thanks to the J5’s compact footprint and a clear 360-degree camera system. That said, the aggressive regen braking can make low-speed manoeuvres, particularly reversing, more challenging than necessary, as it’s hard to get the car to creep smoothly.
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 J5 hasn’t been assessed by ANCAP yet and is unrated but it has a good suite of safety equipment included. There are seven airbags, intelligent seat belt reminders, ISOFIX anchors, three top-tether anchor points, front/rear parking sensors and a 360-degree view camera system.
There’s also blind-spot monitoring, lane departure alert, lane keeping aid, forward and rear collision warning, side exit assist, a driver monitoring system, autonomous emergency braking and adaptive cruise control. The J5 EV misses out on emergency call capability.
Most of the driver assist systems aren’t intrusive, although the driver attention monitoring can ping more than it’s needed and the adaptive cruise control is best without the assisted steering on.
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.
Ownership is one of the J5’s stronger points. The number eight is associated with good fortune in Chinese culture and Jaecoo has clearly leaned into it here!
It's offered with an eight-year/unlimited km warranty, eight years battery cover and roadside assistance, plus eight years of capped-price servicing where workshop visits average a low $190 per visit (which is very good).
Servicing is required every 12 months or 20,000 kilometres and for now the service network is fairly small, with around 50 centres nationwide. They’re mostly found in major cities, which is something to keep in mind depending on where you live.