What's the difference?
The Volvo XC60 has long been an understated achiever of the premium mid-size SUV crowd.
It doesn’t shout for attention like some of its rivals, but it’s built a reputation for quiet confidence and family-friendly practicality. For 2026, the XC60 Ultra B5 Dark keeps the same engine but has received a facelift in other areas. Is it enough to keep family buyers who want a mix of practicality and luxury happy?
You like performance, love a bit of luxury and fancy a traditional sedan. The budget is healthy and there’s a surprising amount of choice. But Mercedes-AMG believes it’s created the car that perfectly answers your new-car brief.
The Mercedes-AMG E53 Hybrid 4Matic+ is a fresh expression of an established high-performance sedan formula mixing internal-combustion power with electric punch and all-wheel drive.
We were invited to its local launch, so stay with us to see if this newcomer is ready to fill that primo European performance car shaped space in your garage.
The facelifted Volvo XC60 Ultra B5 Dark is the car at school pick-up that doesn’t need to brag. It just gets on with things and it looks good doing it. It offers a strong mix of family-focused features, comfortable and composed road manners and thoughtful practicality throughout the cabin.
The updated media system is crisp and responsive, though it could use a few tweaks to be truly intuitive. Overall, the XC60 mild-hybrid remains a solid choice for families who value understated luxury, comfort and safety over flash. It doesn’t reinvent the wheel, but it does what it does well.
The Mercedes-AMG E53 Hybrid 4Matic+ is a superb blend of high-tech hybrid muscle and cossetting top-end luxury. Value is competitive, it looks (and feels) the business, despite the conventional sedan configuration it’s surprisingly practical (except for the modest boot), fuel-efficiency is a key benefit and safety is stellar. The ownership proposition is okay for the category but that’s not top of mind when an enticing series of corners ranges into view. It’s an impressive package.
Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.
The XC60 has a graceful, poised curbside presence. Its wide stance and smooth body panels give it a confident silhouette, while the redesigned grille with dark accents, integrated intake vents (both faux and real), and those sharp 'Hammer of Thor' headlights tie it all together. It’s not trying to be sexy, but it is undeniably handsome. It's the kind of SUV that turns heads quietly rather than shouting for attention.
Inside, the vibe is pure Scandi chic. There’s a refreshing lack of plasticky surfaces, with everything feeling solid and premium to the touch. The supple Nappa leather seats and expansive panoramic sunroof instantly make the cabin feel airy and refined.
Taking centre stage on the dash is a new 11.2-inch portrait-style media display. The layout is a little too reminiscent of an oversized iPad for my taste, but the crisp graphics and quick touch response are big pluses. Adding a touch of craftsmanship, the crystal Orrefors gear shifter and genuine driftwood inlays across the dash and centre console bring warmth and texture you don’t find in most rivals.
Is this facelift breaking new ground? Not really. But then, it doesn’t need to. Volvo has long been firmly planted in the premium end of the field and this update simply shows it's still cultivating all the right qualities.
At first glance the E53 passes as a flash-looking Mercedes-Benz E-Class running 20-inch rims, especially in the launch car’s rich ‘Patagonia Red’ finish.
But then, there’s something about the AMG sedan’s stance that sets it apart. Which makes sense because the front fenders are wider by 11mm on both sides (compared to the E-Class) to make room for a wider front track (increased by just over 30mm over the previous-generation E53).
Wheelbase has also increased by just over 20mm to almost 3.0m and the car’s more aggressive nose treatment enhances the distinctive look.
There’s the AMG-specific radiator trim with ‘Panamericana’-style vertical slats, the sleek dual-section headlights and a large lower inlet that directs air to an additional front intercooler as well as an external opening for a wheel-arch cooler.
In profile there’s barely a hard edge to be seen, although character lines in the bonnet and along the car’s flanks contribute to a taut surface treatment.
At the rear, horizontally-connected LED tail-lights feature a stylised Mercedes three-pointed star signature, then a rear apron housing a diffuser and twin double tailpipe ‘trims’ and a bootlid spoiler on the left and right round off a beautifully proportioned design.
Climbing inside means a trip to screen city with an upright digital display in front of the driver flanked by a large central screen to the left and an additional panel for the front passenger beyond that. It’s a lot.
But once you’re on top of all the glass surfaces, details like open pore grey ashwood trim on the lower console come into focus, as do the brushed metal accents, beautifully sculpted ‘Performance’ front sports seats (optionally fitted to our launch drive example), racy stainless steel pedal covers and the five spoke AMG performance steering wheel with configurable rotary buttons.
It’s a supremely luxurious and comfortable interior.
The XC60 is spacious without being sprawling. The front row is the sweet spot for comfort, with generous leg and headroom plus ergonomic seats that offer excellent under-thigh and side-bolster support. They also bring the luxury of heating, ventilation and even massage functions.
The rear row uses firmer padding, and while the backrest looks fairly flat, it’s deceptively supportive. Adults should be comfortable back there on longer journeys. Access is only slightly compromised by the wheel arch eating into the rear aperture, but otherwise it’s an easy SUV to get in and out of. My eight-year old pointed out that the rear doors are on the heavy side, though, and often need a good slam to latch properly.
Storage is well thought out throughout the cabin. Up front you get a decent glove box, cupholders, drink bottle holders, door bins, a dedicated phone tray that doubles as the wireless charging pad and a shallow centre console with two USB-C ports. One niggle. The cupholders don’t grip cups as snugly as they should.
The rear row has a 60/40 split with a 'ski-port' door and a fold-down armrest. And in the back, there are door bins with bottle holders, a fold-down armrest with cupholders and net map pockets. Rear passengers are also spoiled with dual-zone climate control, four directional air vents and two more USB-C ports.
One of the XC60’s best family-friendly features is the integrated booster seats, which have two height settings and fold neatly back into the base when not in use. They’re a lifesaver if you have kids who feel like they've 'aged out' of car seats but aren’t quite tall enough to go without. Of course, there are also ISOFIX mounts and three top-tether points if you still need to install child seats.
Out back, the boot offers a flat loading space, a powered tailgate with kick function and a healthy 613L of storage with all seats up (up to 1543L when the rear row is folded). You also get a 12-volt socket, a proper temporary spare tyre, and if you’ve got the optional air suspension (as per our test model) you can raise or lower the boot height for easier loading.
Tech usability is a bit of a mixed bag. The new 11.2-inch media display is sharp and responsive, and it comes pre-loaded with Google apps like Maps, Spotify and Assistant. But the Apple CarPlay and Android Auto isn't wireless, which feels like a miss at this price point.
The Bluetooth is patchy, with calls and music sometimes not syncing properly. A wired connection works better, especially for my iPhone 15 Pro Max, but I'm not a fan of leaving my phone on charge all the time. If you’re already familiar with Volvo or Polestar’s system, you’ll feel at home, but first-timers may need a little time to adjust.
At over 4.9m long, close to 2.1m wide and a little under 1.5m tall, with a 2961mm wheelbase, the new E53 is a substantial car and feels it on the inside.
Plenty of breathing space for the driver and front passenger thanks in part to the away slope of the screen-dominated dash.
Generous storage, too, with large door bins including enough space for big bottles, a deep lidded box between the seats (which doubles as a centre armrest), a generous glove box and two cupholders under a sliding top at the front of the centre console.
Hit the second row, and sitting behind the driver’s seat, set for my 183cm position, I have plenty of head and legroom, with enough shoulder space for three adults on short journeys. A trio of up to mid-teenage kids will be fine for a road trip.
Storage is pretty handy as well with hefty door bins and two pop-out cupholders in the fold-down centre armrest. No map pockets on the back of the (optional) Performance front seats, though.
Four-zone climate control means there’s individual temperature control for each side of the back seat, with adjustable vents at the back of the front centre console and trailing edge of the B-pillars. Very civilised.
Power and connectivity runs to three USB-C outlets and a wireless device charging pad in the front.
Thanks to the traction battery under its floor, boot volume is restricted to 370 litres (compared to 540L in the conventional E-Class sedan), although there are bag hooks, tie-down anchors and the 60/40 split-folding rear seat is able to liberate more space.
No spare tyre of any description, just a repair/inflator kit, which might make sense for automotive designers and engineers trying to maximise space and reduce weight, but doesn’t make sense for an owner stranded on the side of the road with an unrepairable puncture.
There are two mild-hybrid variants in the XC60 line-up, and the one we’re driving here is the flagship Ultra B5 Dark. Priced at $81,990, before on-roads, it costs about $7000 more than the entry-level Plus B5 Bright, but that premium buys you a longer list of included features that makes the Ultra Dark feel like the sweet spot of the range. Especially considering Volvo also offers two plug-in hybrid XC60s, but those command up to $20K more!
In terms of market rivals, the XC60 sits right in the middle. The Audi Q5 TFSI starts at $81,000, while the Lexus NX 350h Sports Luxury AWD asks $87,900, both before on-road costs.
Standard equipment is generous. The Ultra Dark gets a panoramic sunroof and Nappa leather upholstery, with the electric front seats offering heating and ventilation functions plus a heated steering wheel for winter comfort. There's a 360-degree view camera system with surrounding parking sensors and a park-assist feature.
Tech upgrades include a new 11.2-inch media display with in-built navigation, Google apps, and wired Apple CarPlay/Android Auto, backed up by four USB-C ports, a 12-volt socket and a wireless charging pad. There's also a Volvo phone app, which allows users to pre-condition the climate prior to entry, have a digital key and program the spare key for any kids who might want to borrow the car!
Families will appreciate the thoughtful touches like a powered tailgate with kick function, built-in child booster seats in the rear row, a temporary spare tyre (a welcome feature), four-zone climate control and lots of storage throughout the cabin. Keyless entry sensors on every door add another layer of convenience.
Our test car was also fitted with just over $5000 worth of options, including the Bowers & Wilkins premium sound system, active air suspension, tinted rear windows, and even front seat massage functions. When you consider that many rivals charge extra for equipment that comes standard here, the XC60 Ultra B5 Dark makes a strong case for itself on value.
Priced at $199,900, before on-road costs, the Mercedes-AMG E53 Hybrid 4Matic+ lines up against an interesting mix of internal combustion, hybrid and pure-EV contenders, the most closely aligned on spec and price being the BMW M4 M Competition xDrive ($201,300), Lexus LS500h F Sport ($199,250) and Porsche Taycan 4 Cross Turismo ($197,400).
And as you’d expect for a performance sedan on the cusp of $200K the standard equipment list is long. Aside from the performance and safety tech we’ll get to shortly, the E53 features four-zone automatic climate control, 17-speaker Burmester surround sound audio (including digital radio), Nappa leather trim (including the steering wheel) and the ‘MBUX Superscreen’ display consisting of three screens - 14.4-inch central media, 12.3-inch instrument/info for the driver and 12.3-inch for the front passenger.
You can also tick off the box on Android Auto, Apple CarPlay and Bluetooth connectivity, plus the power front seats (with memory) are heated.
There’s also a head-up display, panoramic sliding sunroof, ambient lighting, keyless entry and start, built-in nav, a 360-degree virtual top-down camera view, LED exterior lighting and 20-inch alloy rims.
There’s more, but you get the idea. This car is loaded with included features that help it match or better its diverse competitive set.
There are four optional AMG packages available - The ‘Night Package’ ($3000) which includes aero-influenced body elements, special rims and more. The ‘Carbon Fibre Package’ ($6000), featuring a range of carbon bits including the exterior mirror caps, bootlid spoiler and interior pieces like the centre console and steering wheel. A ‘Performance Seat Package’ ($5000), which unsurprisingly focuses on racier front seats with integrated headrests. And the ‘Energizing Package Plus’ ($5300) adds ‘multicontour’ front seats that are heated (as are the centre console lid and door armrests) and individual fragrance for the interior, as well as ionisation of the cabin air.
The Ultra B5 Dark tested here is all-wheel drive and has a 2.0-litre, four-cylinder, turbo-petrol mild-hybrid engine. It produces up to 183kW of power and 350Nm of torque.
The 'mild hybrid' tag comes from a 48-volt system paired with an integrated starter-generator. It’s not a full hybrid, so you won’t be gliding around silently on electric power alone, but it helps smooth out stop-start driving, boost efficiency and add a little extra shove when you put your foot down.
The result is an engine that feels lively in the city and confident out on the open road, with enough in reserve to make overtaking stress-free.
The E53 is powered by a 3.0-litre, turbo-petrol, in-line six-cylinder engine working in concert with an electric motor housed within the car’s nine-speed (torque-converter) automatic transmission.
Drive goes to all four wheels via an electro-mechanically controlled clutch distributing power between the front and rear axles.
Engine performance is up by around 10kW compared to the previous E53 thanks to software upgrades, a new twin-scroll turbo with higher boost pressure (1.5 bar vs 1.1 bar) as well as additional front and wheel-arch intercoolers.
The engine alone produces 330kW/560Nm while the permanently excited synchronous motor chips in with a solid 120kW/480Nm for overall outputs of 450kW/750Nm.
Volvo claims combined cycle (urban/extra-urban) fuel use of 7.6L/100km for the XC60 Ultra B5 Dark, which isn’t bad for a turbo-petrol but reminds you that this is only a mild hybrid. With a 71-litre fuel tank, you’re looking at a theoretical driving range of up to 934km which is great for a family SUV likely to see its fair share of school runs and road trips.
In my real-world testing, which included plenty of urban driving with one longer trip in the mix, I averaged 8.6L/100km. That’s a little higher than the claim, but still a respectable result overall.
The E53’s official combined cycle (urban/extra-urban) fuel figure is 1.7L/100km, a spectacularly frugal number for such a high-performance machine. But it’s worth noting it’s predicated on the drive battery being constantly and completely recharged.
Speaking of which, the 28.6kWh, 400-volt traction battery is housed at the rear of the car under the boot floor. It delivers a claimed EV-only range of up to 100km, although that will diminish dramatically if you decide to push up towards the car’s pure-electric top speed of 140km/h.
Important to note the battery’s 21kWh ‘day-to-day’ capacity, designed to keep charge in reserve for any required ‘high-performance boosts’.
An 11kW AC charger is onboard with regenerative braking also harvesting energy, the car automatically selecting the level of recuperation power in line with traffic conditions.
In pure EV mode you can also manually adjust regen through four levels via the steering wheel-mounted transmission shift paddles.
Auto stop/start for the engine is standard and 98 RON premium unleaded is recommended, although 95 RON is okay at a pinch.
The E53’s official fuel consumption figure and 50-litre tank capacity translate to a range approaching 3000km! But to bring that down to earth somewhat, on the launch drive program, covering urban and mostly highway running, we saw a (dash indicated) average of 6.4L/100km, which equates to a more realistic, but still lengthy, 780km between fills.
There’s plenty of power on tap, with enough left in reserve when you really need to push it. Around town, the XC60 keeps up with traffic effortlessly, and out on the highway it never feels strained. The transmission is fairly punctual with its shifts, though you do need to drive it a little more assertively to avoid any lag when accelerating from a stop.
Visibility is excellent thanks to the big, wide windows and higher driving position. It’s also refreshing to have a wide rear window behind the C-pillar as it's something not all rivals manage.
On the road, the XC60 feels composed and comfortable. The cabin stays quiet even at highway speeds and the suspension soaks up the worst bumps without ever feeling floaty or disconnected. Handling is equally predictable, with steering and dynamics that feel natural and reassuring. Take a sharp corner at speed and you will notice a slight loss of composure but it rights itself quickly.
Day to day it’s also very car park friendly. Parking sensors and the 360-degree camera view make manoeuvring simple, though the video feed looks a little blurry at the edges. A more seamless stitch between camera angles would improve the presentation, but functionally it gets the job done.
If you’re lining up for a Mercedes-AMG you want an optimal blend of luxury and performance and the E53 Hybrid 4Matic+ nails that delicate balance.
With 450kW (that’s 612hp!) and 750Nm under your right foot, engaging ‘Race Start’, pushing the accelerator to the floor and letting the car do its thing will result in 0-100km/h acceleration in 3.8 seconds. The fat band of mid-range torque is so satisfying to lean into.
Induction, engine and exhaust sounds combine to produce a suitably gruff soundtrack with the hybrid powertrain operating seamlessly. Hit your preferred track day or tempt legal fate and you can explore the car’s claimed (governed) maximum velocity of 280km/h.
The nine-speed auto is slick and manual changes using the wheel mounted paddles are rapid. In normal conditions the AWD system is biased to the rear and an electric rear locking diff helps keep things under control if you decide to get the bit between your teeth on a twisting drive.
A chunky brace links the front suspension strut mounts and the car feels predictable and stable in enthusiastic cornering. Rubber is Michelin Pilot Sport 4S (245/35 fr / 275/30 rr) which grips with satisfying determination but does make its rumbling presence felt on anything approaching a coarse chip surface (despite the car’s standard acoustic glass).
Speed-sensitive power-steering delivers accuracy and good road feel without any jitters, the standard active rear-axle steering playing its part. The ‘turning point’ is 100km/h with the rear wheels subtly turning in the opposite direction to the fronts up to that speed and in the same direction beyond it.
‘AMG Ride Control’ combines steel spring suspension (strut front, multi-link rear) with adaptive adjustable damping for the choice of ‘Comfort’, ‘Sport’ and ‘Sport+’ settings. Comfort is the pick for B-road running on typically uneven surfaces. The optional ‘Performance’ sports front seats are comfortable and grippy in equal measure.
Braking is by ventilated composite rotors all around, with beefy four-piston fixed calipers up front. An electro-mechanical brake booster is designed to combine electrical recuperation with the hydraulic brake for more frequent and efficient energy harvesting over a longer period of time. The pedal feels firm and progressive with smooth initial bite.
All around vision is good for a conventional sedan with a quality reversing camera, 360-degree overhead view and front and rear parking sensors helping massively with parking duties. That said, a 12.5m turning circle isn’t tiny.
While the 2026 Volvo XC60 hasn’t undergone ANCAP testing yet, it continues Volvo’s long-standing reputation for safety with a comprehensive suite of features. Standard equipment includes autonomous emergency braking, blind-spot monitoring, lane keeping aid, lane departure warning, rear cross-traffic alert, front and rear collision warning, traffic sign recognition, driver attention warning and seven airbags - basically covering all of the essentials.
For families, there are integrated booster seats in the rear row, ISOFIX child seat mounts, and three top-tether anchor points. A stand-out feature is the programmable spare key, which is colour-coded in bright orange and allows you to set speed and speaker-volume limits. Which is ideal for nervous parents who share the car with teens or other young drivers.
Other practical safety touches include a protective first-aid kit and warning triangle, adaptive cruise control with stop/go function, parking assist, surrounding parking sensors and a 360-degree camera system.
The Mercedes-AMG E53 Hybrid 4Matic+ hasn’t been assessed by ANCAP or Euro NCAP, but that doesn’t mean it comes up short in terms of crash-avoidance and passive safety tech.
It features a comprehensive suite of ‘Advanced Driver Assistance Systems’ (ADAS) features including ‘Active Brake Assist’ (Merc-speak for AEB), adaptive cruise control, blind-spot monitoring, lane-change and lane-keeping assist, front and rear cross-traffic alert, traffic sign recognition, driver attention monitoring, adaptive high-beam, ‘Park Assist’ (including front and rear parking sensors) and tyre pressure monitoring.
And if an impact is unavoidable the airbag count runs to 11 - dual front, front and rear side, full-length side curtains, driver and front passenger knee and a front centre bag.
As the name implies, ‘Auto Emergency Call’ will contact emergency services after a collision and there’s even the obligatory Mercedes first aid kit and high-vis vests.
There are three top tethers for child seats or baby capsules across the rear seat with ISOFIX anchors on the two outer rear positions.
The XC60 is covered by a standard five-year/unlimited-km warranty, which is okay for its class, especially at the premium end. You can pre-purchase either a three- or five-year 'Volvo Genuine Service Plan'. The five-year plan will set you back $3870, which is steeper than many rivals, though Volvo sweetens the deal with five years' complimentary roadside assistance. Services are spaced at every 12 months or 15,000 km, whichever comes first.
One thing for regional owners to keep in mind, while Volvo has a decent retail footprint, there are only 34 Volvo service centres in Australia. Depending on where you live, that can mean a long drive. In my case, the nearest Volvo service centre is almost two hours away. That adds travel time and inconvenience for regular maintenance or unscheduled work.
The Mercedes-AMG E53 Hybrid 4Matic+ is covered by a five-year/unlimited km warranty with the high-voltage battery covered for eight years/160,000km. Those terms match the key players in the premium and luxury parts of the market.
Mercedes-Benz ‘Road Care’ assistance is included for the duration of the main vehicle warranty.
Maintenance is recommended every 12 months/25,000km, with service plans offered across three- ($4110), four- ($5410) and five-year ($7570) periods. That’s an average of around $1350 for the first two and $1500 for the last one. That added powertrain complexity obviously has an impact in the workshop.