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Extended lifespan for Volvo’s petrol SUVs

Volvo to retain updated XC60 and XC90 with petrol and PHEV power for the foreseeable

6 Oct 2025

DESPITE once stating that its entire model range would be electric by 2026, Volvo has now confirmed that the stay of execution given to its petrol and plug-in hybrid XC60 medium and XC90 large SUVs appears to have no end date as manufacturers across the globe extend the lifespans of their non-electric models. 
 
Speaking with GoAuto at the recent Australian reveal of the ES90 large electric sedan and EX30 Cross Country small electric SUV, Volvo Car Australia managing director Stephen Connor said there was “no end date at the moment for us” regarding XC60 and XC90 models in their current forms. 
 
Given the ongoing popularity of the XC60 and XC90 nameplates in Australia, their future seems assured here, at least in the short to medium term. Unconfirmed but with potential for Australia is the new XC70 SUV with next-generation plug-in hybrid technology. 
 
“Even before the refresh, (the XC90) would sell anywhere between 1100 and 1200 a year,” said Mr Connor – meaning a substantial percentage of Volvo’s total Australian sales. 
 
While XC90 sales dipped in 2024 (to 856 units from 1299 the previous year), the MY26 XC90 line-up includes new entry-level Plus versions of both the B5 Bright turbo-petrol AWD ($97,990 before on-road costs) and the T8 Dark plug-in hybrid ($120,990 + ORC), as well as high-content Ultra variants of the B5 Dark ($105,990 + ORC) and T8 Dark ($130,990 + ORC). 
 
Meanwhile, the refreshed MY26 XC60 features a new front end, redesigned alloy wheels (in 19- and 21-inch sizes), the same new 11.2-inch multimedia as the facelifted XC90 and identical drivetrains and trim levels – spanning Plus B5 Bright ($74,990 + ORC), Ultra B5 Dark ($81,990 + ORC), Plus T8 Dark ($92,990 + ORC) and Ultra T8 Dark ($101,990 + ORC) – plus the availability of super-plush adaptive air suspension on top-spec models.  
 
XC60 sales also decreased moderately from 2542 units in 2023 to 1905 units in 2024 – though Volvo Car Australia expects the mid-sizer to remain its biggest seller until the forthcoming all-electric EX60 enjoys a full calendar year of sales in 2027.   
 
“We can decide if we want to end those cars (XC60 and XC90) sooner in Australia than other markets,” said Mr Connor. 
 
“That’s a local decision if we want to do that.” 
It seems an unlikely scenario given their current volume. 
 
The best Australian sales year for Volvo's current-generation XC90 was 1486 units in 2016, followed by 1323 sales as recently as 2021. The second-generation XC60’s best sales year was also 2021 (3688 sales). 
 
Volvo Car Australia has discontinued several petrol models that remain on sale in other markets, such as the S90 large luxury sedan and its smaller S60 sedan/V60 wagon siblings. 
 
“To give you an example, we’ve just run out of S60 and V60 Cross Country,” said Mr Connor.  
“We decided to do that in Australia because the volumes were dipping, and we wanted to focus on our new models coming through. 
 
“In Europe, they’re still existing (S60/V60), and will exist for a period of time. So again, it’s up to us when we decide whether we end that, or if Gothenburg does.” 
 
As for the likelihood of a new-generation S60/V60 reviving the nameplate in Australia, Mr Connor said it was unlikely given the shrinking sector they compete in, as well as the uncertainty regarding whether Volvo decides to invest in another generation. 
 
“You never know, and we don’t know whether they will, (but the parent company) might come up with a new version of (the S60/V60). We don’t know it yet,” he said. 
 
What is an absolute certainty for China, and a likely starter for global consumption, is a new-generation XC70 – an all-new ‘long range’ plug-in hybrid SUV revealed in late-August that has already begun production in China and which Volvo “plans to bring to Europe at a later stage”. 
 
Built on new ‘Scalable Modular Architecture’ (SMA) designed for long-range hybrids (which is closely related to Geely’s CMA platform), Volvo says the XC70 is good for over 165km of WLTP electric range and has a zero to 80 percent charge time of just 23 minutes. 
 
In terms of sizing, the XC70 measures 4815mm long (4708mm for XC60), 1890mm wide (1902mm for XC60), 1650mm tall (identical to XC60), and rides on a 2895mm wheelbase (30mm longer than the current XC60). 
 
Australian sales of this new-generation XC70 – the first since the nameplate was discontinued (alongside the old V70 wagon) in 2016 – have not been confirmed, however it could potentially act as a future replacement for the ageing XC60 if it is produced in right-hand drive, especially if the EX60 becomes Australia’s favourite Volvo model in 2027 or 2028 as Mr Connor predicts. 
 
Brand-wise, Volvo Australia wants to stabilise its annual sales at 10,000-plus. 
 
“When I joined the company, we were selling 4000 cars a year, and that was seven years ago,” said Mr Connor. 
 
“So we’ve grown the business from that to a peak of about 11,500 cars. This year, we will sell probably about 8000 and a bit – next year, we will probably move to closer to 10,000 (but) I think the sweet spot for us is probably 12,000 a year. 
 
“Your biggest advertising is cars on the road. And with only 4000 cars a year, there’s not a great deal of cars on the road. At 10,000 to 12,000 (annual sales), that’s probably where you start to notice, and it starts to do a good job for you. 
 
“That’s why 10 to 12,000 is kind of the sweet spot, really – (bolstered by) our opportunities with the new models coming through,” he said.

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