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?
Throughout its history Volvo has been known for a lot of things. Being a safety leader, dorky but endearing station wagons, ‘bloody Volvo drivers’, and more recently, a trailblazer in minimalist premium design.
The C40 is the first step in a next chapter for Volvo, with the brand wanting to be known next for its leadership in the electric space. For the first time for Volvo, it’s a fully electric offering
But in a world of Teslas, Polestars, and Mercedes Benz EQs, where does the C40 sit, and is it worth considering in an increasingly congested premium small SUV space?
We went to its Australian launch to find out.
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 C40 becomes a compelling option in the electrified small SUV space, offering a premium look and feel, great range and tech inclusions at the price, as well as awesome on-road dynamics.
Its main downsides are the rear seat, which is compromised by its platform and design-led roofline, and the overwhelming power and added traction of the dual-motor makes the single motor less attractive on the value front.
Still, regardless of variant chosen, the C40 looks to offer a stand-out balance of price, range, and performance, against its traditional rivals and newcomers alike.
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.
Volvo has become a brand with a distinctive and consistent design language which embodies the kind of beautiful minimalism normally associated with Scandinavian brands.
I have always liked how Volvo says more with less design elements, with only gentle touches of chrome or gloss black, and a lack of over-the-top sporty pieces avoiding the temptation to over-sell the sporty potential of the brand’s range.
The C40 takes the small SUV formula, well established by its XC40 relation, and gets a bit weird and experimental. It’s slightly lower and has a more coupe-styled rear, with a strongly raked rear window giving it a sportier and more aggressive look than the rest of Volvo’s SUV range.
The styling is sold by an angular spoiler piece running atop the boot, and the rear light clusters have gone all minimalist, constructed of individual pieces rather than a single transparent housing, and they give a nod to the C30 hatchback which this car is the spiritual successor to, by name and nature.
The interior offers up no surprises, sticking to the formula Volvo has established across all of its current models. An effortlessly premium space with, again, a minimalistic dash dominated by the portrait touchscreen, the C40’s premium nature is confirmed by its finely patterned inlays, simple chrome pieces, and abundance of soft-touch surfaces.
The big upright vent fittings with clever rhomboid patterns on their adjustment dials are always a highlight piece of modern Volvos, and the pattern work is continued on the central volume adjust dial and even on the little rotating pieces of the light and wiper stalks. Clever.
Even the software is paired back on the multimedia suite and digital dashboard, with easy to use shortcuts and simple menus which suit the car.
Volvo might turn off some buyers with the more unconventional shape of the C40. But for those looking for a more traditional SUV it also offers the XC40 in the same two variants, and the Polestar 2 caters to those not looking for an SUV at all.
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.
The C40 is essentially a XC40 with a cropped down roofline, and there are some obvious downsides which this new shape brings.
The front seat throws no surprises, though, offering plenty of room for two adults with a welcome level of adjustability for the seat and wheel. The seats could be more comfortable, though, with a notable lack of padding in the base compared to some luxury (or even non-luxury) rivals.
I’m a fan of the fabric trim which comes on both grades, bucking the trend of needing to have leather or leather-like trim for a car to feel ‘premium’.
The ample window space up front, including the massive glass roof helps the C40’s cabin feel spacious, but the view out the rear with its aggressive design is all but a very limited letterbox aspect, particularly if the rear seat headrests are in the upright position.
While some controls are exclusively via touch interface, there is a physical volume dial, and shortcut buttons for the defogger functions.
Temperature is controlled by touch, however, and the detail settings have some smaller toggle adjustments. Tricky to jab at when you’re on the move.
The digital dash is refreshingly simple, but minimally adjustable, with the choice of either a nifty navigation screen, a blank screen, or trip details being the only options.
Cabin storage is good but not stellar. There are bottle holders and big pockets in the doors, a set of two cupholders in the centre (beats the Polestar 2’s single cupholder), a small tray with a wireless charger under the multimedia screen, and a smallish console armrest box.
The rear seat is where the real problem exists. Unlike the XC40, the C40’s cropped roofline means my head was hard up against the roof (I’m 182cm tall).
I did have decent knee room behind my own seating position, however the seat comfort in the back still isn’t as good as some rivals.
The middle position is also compromised, thanks to the raised centre floor piece the C40’s platform needs to facilitate all-wheel drive in its combustion relations.
A bottle holder appears in each door pocket, and in a rare inclusion, there are heated outboard rear seats, adjustable air vents, and USB-C charging ports.
The boot has a quoted capacity of 413 litres with the rear seats up. The floor is comparatively high suggesting a smallish space when loaded with luggage cases, for instance. Stay tuned for a follow-up review so we can see how well it holds our three-piece demo set.
The floor itself has an adjustable, pop-up divider and multiple luggage hooks, making it quite versatile, and there is a cavity beneath which can hold your charging cables as well as the inflator kit in place of a spare wheel.
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.
When it comes to electric vehicles, it’s impossible to consider price alone, as you also have to consider driving range, and the C40 manages to impress on both fronts.
Its refreshingly simplified range consists of just two highly-specified variants, a single motor which starts from $74,990, offering a 434km driving range, or a dual motor starting from $82,490 which offers a 420km driving range.
There’s much more devil in the detail, but to set the scene there are now quite a few direct rivals in this price-bracket, including everything from the Tesla Model Y (from $72,300), Mercedes-Benz EQA (from $78,513), Polestar 2 (from $63,900) and even the Kia Niro which is similarly sized and specified (from $65,300).
Interestingly, the C40 is closely related to the Polestar 2, but has a much higher base starting price. Volvo says this is because it carries a higher standard specification, and offers the C40 without option packs.
Standard gear on the base single motor C40 includes 19-inch alloy wheels, a 9.0-inch portrait multimedia touchscreen (running a Google-based always-online software suite), LED headlights, dual-zone climate control, a fixed panoramic sunroof, electrically adjustable front seats, heated seats for the front two and outboard rear seats, a powered tailgate, as well as keyless entry with touch-free ignition.
Interestingly, Volvo also told us some 90 per cent of customer interest so far has been for the more expensive dual-motor variant, which is particularly impressive for doubling the power output while adding 20-inch alloy wheels, a 360-degree parking suite, premium Harmon Kardon audio, and an alternate interior trim.
Both variants score safety equipment and items which are otherwise part of expensive option packs in the Polestar 2 range. We’ll take a look at the full safety gear later in this review.
Overall, the C40 impresses on the premium car value front compared to rivals, bolstered by solid range and impressive performance.
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.
Great news here, the C40 can be chosen with two powerful layouts, either a front-wheel drive 170kW/330Nm set-up, or a dual-motor all-wheel drive arrangement, able to make use of nearly double the power at 300kW/660Nm. The dual-motor is capable of sprinting from 0-100km/h in just 4.7 seconds.
The front-drive is backed by a 69kWh battery allowing it a 434km range, while the dual motor ups the battery size to 78kWh to allow a 420km driving range.
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.
Surprisingly, energy consumption is quite high for both C40 variants. The single motor is the more efficient of the two, consuming 16.8kWh/100km on the more lenient ADR testing schedule, while the dual motor officially consumes 22.2kWh/100km to the same standard. I saw around 23kWh/100km overall in my short test of the dual-motor variant.
Energy consumption could be better for both, as I have achieved more consistently impressive results particularly from Hyundai and Kia electric cars.
Where the C40 is more impressive though is its charging specs, which are exactly where they need to be for a car this size. On a rapid DC charger, the C40 can charge at a rate of 150kW meaning a 10 - 80 percent charge in 40 minutes for the dual motor, or 32 minutes for the single motor.
On the slower AC standard, the C40 charges at a rate of 11kW. Expect a 10 - 80 percent charge time of around five or six hours on this standard.
The C40 uses a European-standard Type 2 CCS charging port, although it misses out on the handy two-way charging feature offered by some rivals.
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’ve driven any kind of XC40 or even a Polestar 2 before, the C40 will offer no surprises. It’s pretty much exactly the same from behind the wheel with a few subtle tweaks.
This is a very good thing. The C40 is quiet, easy to drive, and its electric motor and regen system offer a smooth single-pedal experience.
It is also alarmingly, overwhelmingly, rapid. While its massive set of batteries under the floor make it feel heavy off the line in stop-start traffic, sticking your boot into the accelerator will remove any doubt, particularly in the dual-motor variant, that this Volvo means business.
The dual-motor also has an incredible torque-vectoring system, making it extremely difficult to elicit so much as a squeak from its tyres. It also feels as though torque is distributed quite evenly between its two driven axles, making it feel neither prone to over- or understeer.
This has the effect of making the C40 feel somewhat indestructible in the corners, with absurd levels of grip.
The same feeling is present in top-spec versions of the Polestar 2, only the feeling of ever-present weight is more noticeable in the higher-riding C40, which can make it unsettling to take corners at the kinds of speeds it is capable of.
The steering tune is interesting. Volvo offers two software-controlled modes, either heavy or standard, and the standard mode is heavy enough.
Despite its electrical assistance, the wheel does continue to offer some organic feedback, making the C40 a pleasure to steer on countryside roads.
The ride is also surprisingly good, despite massive wheel options. I was impressed how easily the C40 handled most bumps and undulations, communicating little to the cabin.
The ride can approach its limits with such big wheels and the weight of its batteries, generally these are communicated via unsettling thuds from underneath the car. Regular undulations at higher speeds also had the C40 bouncing around a little.
On the whole, though, the cabin is kept relatively insulated and serene, adding an element of total confidence, similar to that offered by Teslas, whilst offering better ride quality with a softer edge. At higher speed, at least on the 20-inch wheels, road noise does pick up, however.
In terms of electric driving, there is a single adjustable setting for regen. The car either offers a full single pedal mode with maximum regenerative braking to bring the car to a halt with the motor alone, or a ‘standard’ mode which tones the regen down and offers it blended in via the brake pedal.
Single pedal mode is more efficient. I suggest you stick to it if you want to make the most of this car’s efficiency.
I was surprised to have so few complaints about the C40’s drive experience. This is a balanced and capable EV which is yet another example of how even vehicles which use combustion platforms are improved out of sight by full electrification.
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.
Sticking to its brand promise, Volvo offers the full range of active safety equipment on the C40 regardless of variant.
This includes freeway-speed auto emergency braking, rear auto braking, lane keep assist with lane departure warning, blind spot monitoring with rear cross-traffic alert, and one of the best adaptive cruise control systems on the market.
The only item the single motor misses out on is a 360-degree parking camera, which is exclusive to the dual motor variant.
It is notable how the adaptive cruise control, blind spot monitoring rear cross-traffic alert, and rear auto braking are on the options list for the Polestar 2.
These active systems combined with eight airbags (the standard dual front, side, and curtain, as well as a driver’s knee and centre airbag) make for a five-star ANCAP safety rating to the latest 2022 standards.
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 C40 is covered by Volvo’s five year and unlimited kilometre warranty, with a separate eight-year, 160,000km warranty for the battery. There is also eight years of roadside assistance attached.
It is pleasing to see the service intervals for the C40 are long, as they should be for an electric car with so few moving parts, set at two years or 30,000km.
The first 24 month service is free of charge, and Volvo tells us service pricing after this period will average out to around $100 a year ($200 per visit).