Few vehicles balance safety, luxury, and eco-friendliness as well as the Volvo XC60. Since its launch, this mid-size SUV has been one of Volvo’s most successful models worldwide, and in Australia, it has built a reputation for comfort and class. The 2025 Volvo XC60 continues this legacy, blending Swedish minimalism with advanced hybrid powertrains, driver-assistance technology, and an emphasis on sustainable mobility.
For Australian buyers navigating a crowded luxury SUV segment—where BMW X3, Audi Q5, Lexus NX, and Mercedes-Benz GLC dominate—the XC60 is Volvo’s answer for those who value safety and understated style over flashy badges.
Exterior Design: Modern Scandinavian Simplicity
The 2025 Volvo XC60 is not a radical departure from its predecessor but a refinement. Volvo has embraced “timeless Scandinavian design” rather than constant reinvention, which appeals to drivers seeking elegance that won’t date quickly.
The front fascia features the familiar Thor’s Hammer LED headlights, now slimmer and sharper, flanking a chrome-accented grille. The side profile remains clean, with subtle sculpting rather than aggressive lines. Buyers in Australia will appreciate the strong stance, slightly higher ground clearance, and protective body cladding for light off-road ventures.
Wheel designs have been refreshed, with options up to 21 inches, and new colour choices include a soft Sage Green and a bolder Onyx Black. At the rear, Volvo’s signature vertical tail lights remain, giving the XC60 instant recognisability at night.
Interior: Where Minimalism Meets Luxury
Step inside the 2025 XC60, and you’re greeted by an interior that feels like a Scandinavian lounge. Unlike rivals that emphasise flash, Volvo doubles down on natural materials, comfort, and simplicity.
Key highlights include:
- Premium upholstery options: Nappa leather, wool-blend fabrics, and eco-friendly materials made from recycled plastics.
- Floating centre console with crystal gear selector (crafted by Swedish glassmaker Orrefors).
- Panoramic sunroof standard on higher trims, flooding the cabin with light.
- Ergonomically designed seats, offering exceptional lumbar support for long Australian road trips.
Volvo’s focus on sustainability is clear. The company’s “Leather-Free Luxury” initiative gives buyers alternatives like premium textiles that feel high-end while reducing environmental impact.
Cabin space is generous for a mid-size SUV. The rear seats comfortably accommodate two adults or three kids, and boot space stands at 483 litres, expanding to 1,410 litres with seats folded—practical for family life.
Technology & Infotainment: Google at the Core
Volvo’s infotainment system was once criticised for laggy response times, but the 2025 XC60 is a different story. It runs on Google’s Android Automotive OS, which integrates seamlessly with apps like Google Maps, Google Assistant, and Spotify.
Highlights include:
- 9-inch vertical touchscreen with intuitive swipe controls.
- 12.3-inch digital driver display with crisp graphics.
- Head-up display projecting navigation and speed directly onto the windshield.
- Over-the-air updates (OTA) ensuring the car’s software stays current.
Apple CarPlay and Android Auto remain available, but Volvo’s native Google system is so well-designed that many owners won’t need them. For audiophiles, a Bowers & Wilkins premium sound system delivers concert-level acoustics.
Powertrain Options: Petrol, Mild Hybrid, and Plug-In Hybrid
Australian buyers in 2025 will have multiple choices when configuring the XC60, depending on budget and eco priorities.
- Mild Hybrid Petrol (B5, B6)
Traditional petrol engines paired with a 48-volt mild hybrid system, offering smooth performance and improved efficiency.
Fuel economy: ~7.5L/100km (B5), ~8.0L/100km (B6). - Plug-In Hybrid (T8 Recharge)
The flagship option combines a turbocharged petrol engine with an electric motor, delivering 455 hp combined.
Electric-only range: up to 75 km (WLTP), ideal for daily commutes in cities like Sydney or Melbourne.
Fuel economy: as low as 2.2L/100km when regularly charged.
This dual approach allows the XC60 to appeal to both traditional buyers and those seeking a step into electrification without committing fully to a pure EV.
Driving Experience: Comfort Over Aggression
The XC60 is tuned for comfort rather than sporty handling, which makes sense given Volvo’s customer base. On Australian highways, it glides effortlessly with minimal cabin noise, thanks to excellent insulation and optional air suspension.
Urban driving is equally impressive, with light steering and a tight turning circle making it manoeuvrable in crowded city streets. The hybrid system provides instant torque, making acceleration brisk when needed.
Compared to German rivals like the BMW X3, the XC60 feels less athletic but more serene. It’s a deliberate choice by Volvo, appealing to those who prioritise a smooth, stress-free drive.
Safety: Volvo’s Core Identity
Safety is where Volvo refuses to compromise, and the 2025 XC60 continues this tradition.
Standard features include:
- City Safety collision avoidance with pedestrian, cyclist, and large animal detection.
- Blind Spot Information System (BLIS) with steering assist.
- Pilot Assist semi-autonomous driving for highway use.
- 360-degree camera and cross-traffic alert.
- Run-off Road Mitigation and Oncoming Lane Mitigation.
ANCAP ratings are expected to remain at 5 stars, cementing the XC60 as one of the safest mid-size SUVs in Australia. Families will especially value the rear seat reminder system, which alerts drivers to check for passengers or pets.
Practicality: A Family-Friendly Luxury SUV
One of the XC60’s biggest strengths is its ability to serve as both a luxury SUV and a practical family hauler.
Key practicality points:
- Spacious boot with flat load floor.
- Hands-free power tailgate.
- Rear-seat USB-C ports for kids’ devices.
- Split-fold rear seats for versatility.
- Tow rating: up to 2,400kg (sufficient for small caravans or boats).
For Australian families who love weekend getaways, the XC60’s combination of comfort, safety, and space makes it a compelling option.
Fuel Efficiency and Ownership Costs
Volvo’s hybrid technology directly addresses rising fuel prices in Australia. The plug-in hybrid particularly shines for urban dwellers, as many daily trips can be completed without using a drop of petrol.
Servicing costs are competitive in the luxury SUV space, with capped-price servicing packages available through Volvo Australia. Warranty coverage is 5 years/unlimited km, with 8 years for the hybrid battery—on par with competitors.
Competitor Comparison
The XC60 sits in a crowded field. Here’s how it stacks up against some key rivals in Australia:
- BMW X3 – Sportier drive, broader dealer network, but higher servicing costs.
- Audi Q5 – Strong interior finish, but infotainment feels less advanced than Volvo’s Google-based system.
- Mercedes-Benz GLC – Prestigious badge appeal, but pricing is higher for equivalent features.
- Lexus NX – Excellent reliability, hybrid focus, but interior isn’t as spacious as the XC60.
Volvo’s point of difference remains its safety leadership and sustainability push, giving it a unique edge.
Pricing in Australia
Pricing for the 2025 Volvo XC60 in Australia (estimated):
- B5 Mild Hybrid: From ~$78,000 drive-away.
- B6 Mild Hybrid: From ~$85,000 drive-away.
- T8 Recharge Plug-In Hybrid: From ~$102,000 drive-away.
Optional extras like the air suspension, Bowers & Wilkins audio, and advanced driver assistance packages can push the price higher, but even at entry level, the XC60 offers excellent value considering its safety and luxury credentials.
Sustainability: More Than Just Hybrid Tech
Volvo has publicly committed to becoming a fully electric brand by 2030, and the XC60 demonstrates how the company is transitioning responsibly.
Beyond hybrid powertrains, Volvo integrates recycled plastics, sustainably sourced wood trims, and reduced carbon production processes. For eco-minded Australian buyers, this adds long-term confidence that their purchase aligns with sustainable values.
Ownership Experience: Living With the XC60
Owning a Volvo is as much about lifestyle as it is about the car. Volvo’s after-sales service in Australia has improved dramatically, with mobile servicing options and strong customer support.
The XC60’s cabin comfort, quiet ride, and practical features make it ideal for everything from the daily commute to long road trips along the Great Ocean Road. Drivers praise its ease of use, especially with tech that feels intuitive rather than overwhelming.
Verdict: Why the 2025 XC60 Stands Out
The 2025 Volvo XC60 isn’t the flashiest luxury SUV in Australia, nor the sportiest. But for buyers who value:
- World-class safety
- Understated Scandinavian design
- Eco-friendly hybrid options
- Practicality for family use
…it is one of the most balanced offerings in the segment.
For Australians who want a luxury SUV that reflects responsibility, comfort, and timeless design, the XC60 remains one of the smartest choices in 2025.
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