Picture this: you’re cruising down the Pacific Highway, the kids are quietly entertained in the back, and you’re doing it all in near-silence on pure electric power. That’s the reality Swedish automotive excellence has delivered with their refreshed 2025 Volvo XC90 T8 AWD – a vehicle that’s been quietly revolutionising what Australian families expect from their luxury SUV experience.
After nearly a decade of refinement, Volvo’s flagship three-row SUV has received its most comprehensive update yet, and frankly, it was worth the wait. The T8 variant represents everything that makes this Swedish giant special: thoughtful engineering, uncompromising safety, and a plug-in hybrid powertrain that makes daily driving both exciting and environmentally conscious.
What Makes the T8 Special?
Under the bonnet of this impressive machine lies a sophisticated dual-power setup that would make any automotive enthusiast nod with approval. The front wheels are driven by a turbocharged 2.0-litre four-cylinder petrol engine producing 233kW, while an electric motor at the rear axle contributes another 107kW. When working together, this dynamic duo delivers a combined output of 340kW (455 horsepower) and an impressive 709Nm of torque.
But here’s where things get interesting – and where Volvo has really thought about real-world Australian driving conditions. That 18.8kWh lithium-ion battery pack tucked beneath the floor provides up to 77 kilometres of pure electric driving range according to WLTP testing. For most suburban commutes around Melbourne, Sydney, or Brisbane, that means you could potentially drive to work and back without burning a single drop of petrol.

The acceleration figures are nothing short of impressive either. Sprint from standstill to 100km/h takes just 5.0 seconds – performance that puts many sports cars to shame, yet delivered in a package that can comfortably seat seven adults and their weekend gear.
Design That Turns Heads
Volvo’s design team deserves serious credit for this mid-cycle refresh. While the XC90’s fundamental silhouette remains unchanged (and why mess with perfection?), the Swedish designers have managed to inject fresh energy into every surface. The most noticeable changes happen up front, where the signature “Thor’s Hammer” LED headlights have been slimmed down for a more modern appearance.
The new grille design follows Volvo’s latest design language that we’ve seen across their electric EX range, creating visual continuity across the brand’s lineup. It’s a subtle evolution rather than a dramatic revolution, but sometimes that’s exactly what’s needed. The XC90 already looked contemporary when it debuted in 2015, and these updates ensure it stays that way for years to come.
Around the sides, new wheel designs ranging from 20 to 22 inches provide plenty of personalisation options, while the rear gets updated taillights that maintain the distinctive Volvo signature while appearing more modern. A fresh Mulberry Red paint option joins the colour palette, giving buyers another way to express their personality.
Interior Excellence Redefined
Step inside, and you’ll immediately notice the attention to detail that separates Volvo from many of its German competitors. The 2025.5 refresh brings the most significant interior updates, centred around a new 11.2-inch high-resolution infotainment display that replaces the previous 9-inch unit.
This isn’t just about bigger being better – the new screen runs Volvo’s latest interface with Android Automotive built-in, providing seamless Google integration while maintaining wireless Apple CarPlay connectivity. The crystal-like gear selector has been redesigned, the centre console offers improved storage solutions (including an additional cupholder – the little things matter!), and there’s even a relocated wireless smartphone charging pad.
The seating configuration flexibility remains a highlight. Standard seven-seat arrangements utilise a middle-row bench, perfect for larger families. However, for those wanting easier third-row access and a more premium feel, second-row captain’s chairs reduce capacity to six but dramatically improve comfort and convenience.
Material quality throughout the cabin continues to impress. Open-pore ash wood trim, genuine leather appointments, and tasteful brightwork create an atmosphere that feels more like a luxury lounge than a vehicle interior. The navy-on-navy herringbone fabric option (made from recycled polyethylene, no less) showcases how sustainability and luxury can coexist beautifully.
Technology That Actually Helps
One area where Volvo has always excelled is making technology useful rather than simply flashy. The XC90 T8’s tech suite focuses on making daily life easier and safer rather than overwhelming drivers with unnecessary complexity.
The CleanZone air quality system actively filters out harmful particles and bacteria, creating a genuinely healthier cabin environment – particularly valuable given recent global health consciousness. Four-zone climate control ensures everyone stays comfortable, while the panoramic sunroof bathes the entire interior in natural light.
Volvo’s safety reputation speaks for itself, and the XC90 delivers with systems like adaptive cruise control, lane keeping assistance, and automatic emergency braking coming standard. The available 360-degree camera system makes parking this substantial SUV surprisingly stress-free, while the head-up display keeps important information in your direct line of sight.
For entertainment, the available Bowers & Wilkins premium audio system transforms the cabin into a concert hall, with crystal-clear sound reproduction that makes long journeys genuinely enjoyable.
Driving Experience: More Than Just Numbers
Behind the wheel, the XC90 T8 reveals its true character. This isn’t a vehicle designed to tackle mountain passes aggressively – it’s engineered to make every journey comfortable, confident, and refined. The updated suspension tuning for 2025 focuses on better absorbing road imperfections while maintaining the stable, planted feel that makes highway cruising so relaxing.
Five distinct driving modes adapt the vehicle’s character to different situations. Pure mode maximises electric driving for silent urban commuting. Hybrid mode intelligently balances petrol and electric power for optimal efficiency. Power mode unleashes the full 455-horsepower potential when you need maximum acceleration. Off-road mode adjusts systems for light trail work, while Constant AWD mode ensures all-wheel traction in challenging conditions.
The one-pedal driving feature in electric mode takes some adaptation but becomes genuinely useful once mastered. Lifting off the accelerator provides significant regenerative braking, often eliminating the need for the brake pedal in stop-and-go traffic.
Australian Market Positioning
In the Australian luxury SUV landscape, the XC90 T8 occupies an interesting position. Starting from $130,990 before on-road costs, it sits below German alternatives like the BMW X5 xDrive45e or Mercedes-Benz GLE 450 hybrid, while offering comparable (and in some areas, superior) luxury and technology.
This pricing strategy reflects Volvo’s broader approach: delivering premium experiences without the premium badge tax. For Australian families wanting genuine luxury SUV capability without completely breaking the budget, the XC90 represents exceptional value.
The local market timing couldn’t be better either. With increasing fuel costs and growing environmental awareness, the T8’s ability to handle most daily driving on electric power alone makes real financial sense. Factor in the luxury appointments, safety technology, and that legendary Volvo build quality, and the value proposition becomes compelling.
Competition and Considerations
Naturally, the XC90 T8 doesn’t exist in a vacuum. The BMW X5 xDrive45e offers slightly more dynamic handling and badge prestige. The Mercedes-Benz GLE-class provides more powerful engine options and cutting-edge interior technology. The Genesis GV80 delivers similar luxury at competitive pricing with an impressive warranty package.
However, each of these alternatives has trade-offs. BMW’s interior space is more limited, particularly in the third row. Mercedes-Benz commands higher prices for equivalent equipment levels. Genesis lacks the hybrid efficiency that makes the Volvo so practical for daily use.
Where the XC90 truly excels is in providing a balanced package that doesn’t force buyers to choose between competing priorities. You get performance without sacrificing efficiency, luxury without complexity, and capability without compromise.
The Hybrid Advantage
Living with the T8’s plug-in hybrid system proves more convenient than many expect. The 5-hour charging time from empty to full using a standard AC charger means overnight charging at home easily covers daily requirements. For apartments without charging facilities, the hybrid system ensures you’re never stranded – the petrol engine seamlessly takes over when needed.
Real-world electric range varies with driving conditions, but most owners report achieving 60-70 kilometres in typical suburban use. That covers the majority of daily driving for most Australian families, turning the XC90 into an effectively electric vehicle for routine use while maintaining long-distance capability for weekend getaways.
Practicality Meets Performance
The cargo capacity figures tell the practical story effectively. With all seats in use, 295 litres remains available for everyday gear. Fold the third row, and that expands to 978 litres – enough for serious shopping trips or sports equipment. Drop the second row as well, and you’re looking at an impressive 2,427 litres of loading space.
The 2,400kg towing capacity handles most recreational requirements, from boat trailers to camping setups. Combined with the all-wheel-drive capability and various terrain modes, the XC90 T8 handles Australian conditions from city streets to country escapes with equal composure.
Looking Forward
The 2025 Volvo XC90 T8 AWD represents automotive evolution at its finest. Rather than revolutionary changes, Volvo has thoughtfully refined what was already an excellent foundation. The result is a luxury SUV that feels thoroughly modern while maintaining the practical sensibilities that made the original so appealing.
For Australian families considering their next vehicle purchase, the XC90 T8 offers a compelling blend of luxury, efficiency, and capability that’s genuinely difficult to match. It’s not the cheapest option, nor the most powerful, but it might just be the smartest choice for those wanting to reduce their environmental impact without sacrificing the premium SUV experience.
In a market increasingly focused on electrification, the XC90 T8 provides an elegant bridge between traditional and electric motoring – offering the best of both worlds while looking effortlessly sophisticated doing it. Sometimes, that’s exactly what Australian luxury SUV buyers need.
Frequently Asked Questions
What is the electric-only range of the 2025 Volvo XC90 T8 AWD? The T8 offers up to 77 kilometres of pure electric driving range according to WLTP testing, with real-world suburban driving typically achieving 60-70km range.
How much does the 2025 Volvo XC90 T8 cost in Australia? The flagship Ultra T8 Plug-in Hybrid variant starts from $130,990 before on-road costs, representing excellent value in the luxury hybrid SUV segment.
How long does it take to charge the XC90 T8’s battery? Using a standard AC single-phase 16A charger, the 18.8kWh battery charges from 0 to 100 percent in approximately 5 hours, perfect for overnight home charging.