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.
The ninth-generation Toyota HiLux is not really a new HiLux in the true sense of the word, but there’s enough going on with it to have generated plenty of excitement in the ute-loving public.
This ‘new’ HiLux, in essence, is an update but it’s an update with substance: the HiLux now sports a new retro design, new interior layout, new suspension tune (softer rated springs and dampers for improved on-road comfort) – and it even has an electric park brake now.
So, with no major mechanical upgrades, is this HiLux enough of an improvement over past iterations to warrant your attention?
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 Toyota HiLux SR5 now feels nicer and more modern inside and out and it no longer lags behind some other utes – even some of the cheaper ones – in terms of comfort, refinement and all-round driveability.
Toyota has in the past been guilty of sometimes doing the bare minimum when it comes to producing a ‘new’ vehicle – especially LandCruisers or HiLuxes – but this time even though this HiLux is definitely not a new model, the exterior revamp and interior refresh have added more than enough to the HiLux package to keep fans and new buyers happy.
This is the best HiLux so far.
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.
This HiLux is 5320mm long (with a 3085mm wheelbase), 1885mm wide and 1865mm high. No change there.
It does, however, have a new distinctive front end incorporating a revised design, which includes LED headlights, retro-style ‘Toyota’ brand across the front, and honeycomb-style mesh grille.
Initially I wasn’t keen on the HiLux’s revised front end, but it looks a lot better in the metal than it does in photos and it has grown on me.
This ute’s profile remains the same as before, but the rear end has also been given a sly slap and tickle, giving it a squared-off look.
The interior has also undergone a glow-up – there’s a real 250 Series LandCruiser look and feel to this cabin – and it now has a 12.3-inch touchscreen multimedia system rather than the old 8.0-inch unit.
It still has plenty of hard plastic surfaces but, overall, the HiLux interior doesn’t look or feel anywhere near as old as it used to.
While it remains definitely a HiLux, the new look brings this Toyota ute closer to its rivals, such as the Ford Ranger, in terms of contemporary styling.
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 HiLux cabin is very familiar – you know where everything is and how to use it and that’s reassuring – but besides some minor changes and the introduction of an electric park brake the most noticeable change is that aforementioned new 12.3-inch unit.
Apple CarPlay is easy to get working via the multimedia system, and the screen is now big enough and clear enough to operate with ease.
Beyond that, there are plenty of durable hard plastic surfaces, numerous storage spaces, a reasonable number of charging points up front – two USB ports as well as a wireless charging pad and two 12V sockets and a 240V socket inside the centre console.
The driver’s seat is power-adjustable and comfortable without ever being at risk of being described as “plush”.
The rear seat is on the wrong side of squeezy across the shoulders and is best suited to accommodating three children, three jockeys or two adults.
People seated back there have access to two USB-C ports, bottle holders in each door and a dual cupholder in the fold-down centre armrest.
In terms of packability for touring, the SR5’s tub is 1550mm long (1100mm between the wheel arches), 1520mm wide and the load space itself is 490mm deep. Load height is 830mm.
There is nothing extra-special going on in the SR5’s tub – no marine-grade carpet, LED strip lighting, or hidden storage compartments – but it does have four tie-down points.
In terms of practicality, the HiLux, while it does have a barebones approach, still holds its own against the likes of the Ford Ranger.
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 SR5 sits in the middle of the HiLux line-up. This version – with a six-speed manual gearbox – has pricing starting at $63,990 before on-road costs. Our test vehicle has Toyota’s premium interior pack ($2500) and premium paint ($675).
Standard features include a 12.3-inch touchscreen multimedia system (with wireless Apple CarPlay and Android Auto plus wireless charging), eight-speaker stereo, dual-zone climate control, and 18-inch alloy wheels.
Other features include high-grade LED headlights, a “comfort-oriented” leaf-spring rear suspension tune, larger front brake discs, power-folding, heated exterior mirrors, an integrated tow-bar, as well as LED tail-lights and LED rear fog lights.
Exterior paint choices include 'Glacier White', 'Frosted White', 'Ash Slate', 'Eclipse Black', Feverish Red' and 'Sunglow'. Some – like 'Stunning Silver' on our test vehicle – cost $675.
The HiLux offers reasonable value for money when cross-shopped against the likes of Ford Ranger, especially the XLT (approx. $64,000) or Sport (approx. $72,000) variants.
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.
This SR5 has a 2.8-litre four-cylinder turbo-diesel engine, producing 150kW at 3400rpm and 420Nm at 1400-3400rpm and a six-speed manual gearbox; the six-speed auto SR5 gets 500Nm at 1600-2800rpm and auto HiLuxes also have the 48-volt mild-hybrid technology onboard.
This is a proven engine-and-gearbox combination, with plenty of lowdown torque, and it’s more than a match for the likes of Ranger and D-Max/BT-50 in terms of overall performance.
This SR5 has part-time four-wheel drive and a rear diff-lock.
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.
Official fuel consumption for the manual is listed as 7.1L/100km on a combined cycle. The auto is 7.4L/100km.
Fuel consumption on this test was 9.1L/100km, which is pretty good because I have done a lot of low-range 4WDing.
The SR5 has a 80-litre fuel tank so, going by that fuel figure, you could reasonably expect a driving range of about 879km out of a full 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.
As mentioned, there have been no major mechanical upgrades to the HiLux, but it does now have electric power steering (rather than the hydraulic assistance it’s had in the past). Result? There’s a smoother, more precise feeling to the steering, with a nice weight and balance to it, on sealed and unsealed surfaces.
The HiLux, with a listed kerb weight of 2215kg and a turning circle of 12.6m, is not an insubstantial vehicle but, at the same time, it’s not unwieldy either and manages to feel quite nimble on and off the road.
On sealed surfaces it yields a surprisingly high level of ride and comfort. It’s actually quite compliant, controlled and somewhat refined. That’s largely because this SR5 has multi-purpose suspension on board rather than the heavy-duty suspension, which is on lower-spec, work-focussed HiLux variants for load-carrying duties.
This set-up is intended to offer a softer ride on road – and it does – but off-road it's a different story. Even on minor imperfections (small potholes, minor corrugations and the like) on dirt tracks it tends to thump and bump in and out and it doesn't offer such a comfortable all-round ride as you might be hoping.
I didn’t have much weight onboard – vehicle-recovery gear, a first-aid kit, four Maxtrax and an air compressor – and it will, of course, settle down with more of a load but I was expecting the multi-purpose suspension to be better than it was at soaking up a track’s lumps and bumps – it’s not terrible, but it is noticeable.
However, in terms of pure off-road effectiveness, the HiLux is impressive.
It's never been an underperforming 4WD, it’s simply never been as refined or as comfortably capable as others, such as the Ranger, but it is much more comfortably capable now than it used to be.
There is plenty of power and torque in this HiLux and while this six-speed manual version has 80Nm less than the auto version, it uses what it has really well. The 2.8-litre is a tractable engine and works well as part of an effective powertrain that is well suited to low-range 4WDing. There is a heap of torque at low revs, which is great for low-speed, technical off-roading.
Low-speed throttle response is also impressive, offering nice control when you need it.
I have driven auto HiLuxes in the past and the auto is very clever and it may be your better bet, but I like the manual.
Ground clearance is listed as 224mm and while the HiLux doesn’t have any trouble clearing most jagged rock steps or tree roots you’ll likely encounter on a weekend trip, I didn’t have the opportunity to seriously scrutinise the 700mm wading depth because our testing area was pretty dry. Next time.
Off-road angles – 29-degree approach and 26-degree departure (no rampover is listed) – all check out, even though they are a little shallower than the Rugged or the Rogue variants, they are fine for light-to-moderate 4WDing.
The off-road traction control system in this HiLux is well calibrated and if you do need more dirt-grabbing ability, then this ute does have a rear diff lock.
The only real off-roading weaknesses in the HiLux package are the tyres (Dunlop Grandtrek A/T 31, 265/60R18 110H). They’re not well suited for anything more than light to moderate 4WDing. If you’re planning anything rougher than a well-maintained dirt road in dry weather then consider replacing the showroom tyres with a set of decent all-terrain tires, light-truck construction preferably and away you go.
In terms of towing capacity the SR5 is rated to tow 750kg unbraked, and 3500kg braked.
Payload is a listed 900kg, Gross Vehicle Mass is 3090kg and Gross Combined Mass is 6300kg (a 450kg increase).
While nothing mechanical has changed onboard this vehicle, the combination of 4WD set-up, driver-assist tech, rear diff lock, as well as structural modifications (such as thicker steel in the ladder-frame chassis, a stiffer roll-bar, and reinforced side rails) and suspension tweaks (including retuned dampers and re-rated coil springs at the front, and new dampers and softer spring rates on the live-axle rear) all works well together in this current HiLux package.
The HiLux has now drawn closer to the Ranger in terms of comfortable capability, if not matched it.
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 Toyota HiLux SR5 has the maximum five-star ANCAP safety rating, as a result of testing in 2025.
As standard, it has eight airbags (now with a front-centre airbag) and an upgraded suite of driver-assist tech including improved auto emergency braking (AEB), lane-keep assist, adaptive cruise control, and blind-spot monitoring.
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.
The HiLux has a five-year/unlimited kilometre warranty.
Service intervals are scheduled for every six months or 10,000km and cost $395 per service.
Toyota Australia has about 300 dealerships across the country.
This type of warranty is pretty standard among the HiLux's rivals so the Toyota ute does remain competitive, in terms of these ownership costs.