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The venerable VW Caddy was launched in 1979 and after five generations and more than four decades of service, it remains one of the world’s most popular range of small vans.
In Australia’s light-commercial vehicle market, the Caddy’s work-focused Cargo model competes in the small van (under 2.5-tonne GVM) segment against the Renault Kangoo and Peugeot Partner.
The VW range offers Cargo (SWB), Cargo Maxi (LWB) and Crewvan (LWB) models with a unique choice of petrol/diesel engines and manual/auto transmissions.
We recently revisited this German workhorse to find out why it remains such a strong seller in Australia from a business perspective.
Volkswagen’s new-generation Multivan is the brand’s family-oriented bus, and having just been to its Australian launch the people mover feels more high-end and somehow more practical than ever. But something has changed and it’s only now that it feels as though the final piece of the Multivan puzzle has been found and this van is complete.
Volkswagen’s entire vehicle range is mind-bogglingly big. From hatchbacks, wagons and SUVs to vans and buses, they all have two things in common - a high-quality feel and practicality. The Multivan has always adhered to this theme, as well.
Now, the new-generation Multivan has arrived and it’s clear Volkswagen has stuck to the same recipe of premium and practical, but there’s been a big change in the way it drives thanks to the decision to stop building the van on a truck-like platform and start building it on one used for cars.
You can read more about this below or watch my reaction to piloting the Multivan in my video.
Keep reading for more on the new-gen Multivan.
It’s not hard to see why the Caddy Cargo maintains its enduring favouritism in the small van class. It has outstanding workhorse capabilities, unmatched five-star safety and drivetrain choice, combined with a spirited car-like driving experience, be it unladen or with a heavy payload. It’s not perfect, but it's also hard to fault in a workhorse role.
The Australian launch of the new generation Multivan was confined to the Life grade with the 2.0-litre diesel engine. Later in 2025 the Style grade will arrive bringing a hybrid powertrain and even more features. We’ll be able to test both more thoroughly once we have them in the CarsGuide garage.
From this first drive, however, it's clear that while slightly pricier than its Kia Carnival rival the new generation Multivan is more practical than ever, and now that it rides on a car platform, far better to drive.
Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.
Our test vehicle rides on a 2755mm wheelbase with 4500mm overall length, yet its 11.4-metre turning circle is slightly larger than a Toyota HiAce mid-sized van, which highlights the restrictions in steering lock shared by front-wheel-drive vehicles like the Caddy and its French rivals.
Underneath you’ll find robust MacPherson strut front suspension, a coil-spring beam rear axle with Panhard rod, four-wheel disc brakes and electric power-assisted steering.
It comes well armoured for work duties with unpainted dark grey plastic used in areas where bumps, scrapes and wear usually occur like the front/rear bumpers (including the rear pillars from top to bottom), door-handles and door mirror-shells. The bright silver alloy-look plastic wheel-covers can also be easily replaced if damaged by kerbs to keep this van looking sharp on the job.
Its purposeful external appearance is matched by a neat and practical cabin design with wipe-clean rubber flooring and fabric-trimmed bucket seats for driver and passenger. Hard surfaces abound in contrasting shades of grey with splashes of satin chrome.
The minimalist dash design is achieved by corralling most functions into the comparatively small (by today's standards) central touchscreen including often-used climate control, engine auto start-stop etc., which can be fiddly and distracting when driving. Thankfully, at least physical dials for audio volume and tuning remain.
As with all Volkswagens the redesign of the new-gen Multivan is more about refining than redefining. Just like the Golf hatch which has kept its look through eight generations the Multivan is recognisable and familiar but new and modern looking, too.
Smoother lines, a more heavily raked windscreen and a flatter bonnet make for a cuter snub nose. The new Multivan is less boxy than before even though it is still a box on wheels, just a sleeker, more adorable one.
As mentioned, the Multivan comes in two lengths: the short wheelbase, which is 4973mm from the front bumper to the rear bumper, and the long wheelbase which is 5173mm long. Height for both is 1900mm.
Inside, the cabin is modern with large screens for media and driver instruments with a minimalist design to the dash, while the lack of a centre console frees up space. The sense of roominess is enhanced by daylight flooding in through oversized windows which can be taken a step further when combined with the optional panoramic (split panel) glass roof.
There are nine body colours to pick from including 'Candy White', 'Pure Grey', 'Reflex Silver Metallic', 'Copper Bronze Metallic', 'Deep Black Pearlescent', 'Energetic Orange Metallic', 'Medium Blue Metallic', 'Mono Silver Metallic' and 'Starlight Blue Metallic'.
The Caddy’s 1508kg tare weight and 2250kg GVM results in a 742kg payload rating, of which up to 100kg can be legally carried on the roof where external anchorage points are provided for roof racks or rails.
It’s also rated to tow up to 1500kg of braked trailer, although its relatively low 75kg tow-ball download (TBD) limit could present a challenge, given that TBD is typically about 10 per cent of trailer weight. So, a 150kg TBD rating would be better.
Volkswagen also does not publish a GCM (Gross Combination Mass) rating, so we don’t know how much it can legally carry and tow at the same time.
The cargo bay, which offers up to 3.1 cubic metres of load volume, is accessed through a kerbside sliding door or asymmetric rear barn-doors.
Its 1797mm length and 1614mm width with 1230mm between the rear wheel-housings provides good versatility, given it can carry an 1165mm-square Aussie pallet or 1000 x 1200mm Euro 3 pallet, two 800mm x 1200mm Euro pallets, or two 720 x 830mm bread-roll containers.
However, with the sliding side-door’s 695mm opening, all of these would need to be loaded through the rear barn-doors which offer 180-degree opening for easy forklift or loading dock access. The load floor is protected by a thick moulded-rubber liner and there are six load-anchorage points.
The cargo bay walls and doors are lined to mid-height and there are two bright LED roof lights and a handy 12-volt socket.
Driver and passenger have ample cabin storage with large-bottle holders and bins in each front door, a handy pull-out compartment to the right of the steering column, numerous bins embedded in the dash-pad, full-width overhead shelf, a large glovebox and a centre console with dual small-bottle/cup holders and numerous storage nooks.
Practicality is the Multivan's greatest strength. Seven seats come standard and the rear five can be configured into numerous variations. If you like you could have those rear seats facing each other or you can just have a second row with a large boot area or you could have two in the middle row and two in the third row or whatever other variation you can think up. Yes, you can remove all five rear seats and now that they're 25 per cent lighter it’s easier to do so.
People space is excellent and at 189cm tall I found it possible to not only sit comfortably in the second row behind my driving position, but also behind that in the third row with plenty of leg and headroom.
An optional multi-functional table is also available and this can slide on rails from the third row all the way up to between the driver and front passenger.
Second row cabin storage is outstanding. You’ll find drawers under the seats big enough for a pair of shoes, hidey holes and cupholders everywhere, seat-back tray tables and gigantic door pockets.
Up front is a double glove box, a dash-top storage bin, more cupholders as well as a multitude of pockets and small storage holes for bits and pieces.
For devices there’s a wireless phone charger and four USB ports.
You’ll also find three-zone climate control with air vents throughout the cabin and dark-tinted glass for the side windows.
Finally, the power sliding rear side doors are huge and allow easy entry and exit to and from both rear rows.
Being able to leave the driver or front passenger’s seat and walk through to the second row is also handy and fun. Not while driving, of course, although it’s tempting.
Our test vehicle in standard Candy White is the Cargo SWB, which at entry-level is available with a 1.5-litre turbo petrol engine with six-speed manual or seven-speed auto. Or you can step-up to a 2.0-litre turbo-diesel with either a six-speed manual or (like our example) a seven-speed auto for a price of $45,990 plus on-road costs.
That’s higher than its two small van competitors, given the Renault Kangoo SWB petrol auto lists at $42,990 and Peugeot’s Partner Pro Short petrol auto is $39,990, but the Cargo is unique in offering five-star safety and its drivetrain choices.
The work-focused standard equipment list includes 16-inch steel wheels with plastic covers, 205/60R16 tyres and a full-size spare. There’s also an electronic handbrake, separate cargo bay locking system, a reversing camera, rear parking sensors, heated door mirrors, daytime running lights, two USB-C ports and two 12-volt sockets.
A moulded composite bulkhead with window separates the cabin from the cargo bay. The driver also gets a leather-trimmed flat-bottom steering wheel with multi-function controls, plus adjustable lumbar support for both driver and passenger seats.
The four-speaker multimedia system is controlled by an 8.25-inch colour touchscreen with Apple CarPlay, Android Auto and MirrorLink connectivity and FM radio, but no DAB or (sorry, talkback fans) AM band.
Volkswagen also offers numerous paint colour options and four option packs, plus there’s a genuine accessories range containing useful workhorse items like all-weather floor mats, roof racks, cargo barriers, dashcams and more.
Volkswagen has launched the new Multivan in one grade to begin with called Life and it comes exclusively with a diesel engine. A Style grade will come later in 2025 to sit above it with a higher price but more features and different powertrain - likely a petrol-electric hybrid.
For now, though, the Life is here and there are two versions - a long one and a short one. Volkswagen calls them short wheelbase and long wheelbase but the truth is their wheelbases (the distance between the front and rear wheels) are identical. It’s the back area of the car which differs in length and it’s only 20cm - the length of the boot, basically.
But let’s go with Volkswagen’s choice of words. The Life in short wheelbase form lists for $75,990 and the long wheelbase is $3000 more at $78,990, both before on-road costs.
Standard features on the Life include LED headlights, 17-inch alloy wheels, power sliding rear doors and power tailgate, a 10-inch media screen and 10.25-inch digital driver’s display, three-zone climate control, push-button start and eight-speaker audio plus wireless Apple CarPlay and Android Auto. Seven seats are standard, too.
Our test vehicle’s premium 2.0-litre four-cylinder turbo-diesel engine, dubbed TDI320, meets Euro6 emission standards using AdBlue, and produces 90kW at 4250rpm and 320Nm between 1500-2500rpm.
The seven-speed dual-clutch automatic offers three drive modes comprising (default) Drive, Sport or sequential manual-shifting using steering wheel-mounted paddles. There’s also an electronically-controlled automatic locking diff.
At the moment there’s just the one grade of Multivan, the Life, and it's powered by a 2.0-litre four-cylinder diesel making 110kW and 360Nm. Transmission is a seven-speed dual-clutch automatic which sends drive to the front wheels.
Coming later in 2025 will be a petrol-electric variant but it will only be available in a more premium Style grade.
The official combined average fuel consumption is a hybrid-like 4.9L/100km and the dash display was showing 5.6L after our 355km test, of which about one third of that distance was hauling a near-maximum payload.
That wasn’t far south of our own fuel-sipping figure of 6.5L/100km, based on actual tripmeter and fuel bowser readings. Therefore, you could expect an excellent real-world driving range of up to 770km from its 50-litre tank.
Volkswagen says that after a combination of open and urban roads the Multivan Life should use 6.4L/100km. While on the launch the trip computer was recording an average of about 8.5L/100km, but we’ll assess fuel efficiency again when this VW comes into the CarsGuide road test garage.
In theory, if you do use 6.4L/100km, the Multivan's 80-litre tank should give you 1250km of range.
The score for efficiency looks quite low here and that's because without having driven the Style grade and the hybrid powertrain all we have to go by currently is the diesel.
Its compact external dimensions are deceptive, as the cabin has ample headroom and it’s not hard for even tallish drivers (I’m 186cm) to find a comfortable position, even though the close-fitting bulkhead restricts backrest recline adjustment and the base cushion rake is fixed.
Small vans are the closest you’ll get to a car-like driving experience in light commercials and, given the Cargo’s unique turbo-diesel powertrain, it has unmatched torque output that provides energetic performance.
The shift calibrations of its seven-speed dual-clutch automatic ensure vigorous response in city and suburban driving, given that for most of the time they keep the engine operating between 1500-2500rpm, where its 320Nm of torque is served at full strength.
Combined with nicely weighted steering and four-coil suspension that provides an ideal balance of responsive handling and supple bump absorption, it’s an enjoyable and engaging vehicle to drive. The Sport drive mode and sequential manual-shifting options raise the fun level.
The gearing also ensures low-stressed highway driving with only 1600rpm required to maintain 110km/h, at which speeds the solid bulkhead minimises cargo bay noise that mostly emanates from the rear tyres. However, tyre noise can still be intrusive on certain grades of coarse bitumen.
To test its payload rating, we forklifted 650kg into the cargo bay through the rear barn-doors, which with driver equalled a total payload just shy of its 742kg payload limit. The rear suspension compressed almost 60mm under this weight, with long jounce rubbers positioned inside the rear coil springs providing additional load support and, in effect, a second stage of springing.
The Caddy took this heavy load haul in its stride on city and suburban roads, gliding over bumps without a hint of bottoming-out. The payload’s effect on engine, steering and braking performance was minimal and its handling composure was maintained regardless of speed or road conditions.
It also made light work of our 13 per cent gradient, 2.0km-long set climb at 60km/h, and although engine braking on the way down required some assistance from the quartet of disc brakes to keep speeds in check, they handled this task with ease.
Our only criticism of the driving experience is that, given the substantial blind-spot over the driver’s left shoulder caused by the cargo bay’s solid walls, a Cargo buyer must pay extra to get blind-spot monitoring and rear cross-traffic alert as part of an options pack. We reckon these active features are crucial to safe van operation (any solid-walled van that is) and should be standard.
The missing piece of the Multivan puzzle for me has been the way it drives. Past versions have been less 'car-like' than rivals like the Kia Carnival. It felt like a commercial van to drive, because essentially it was. But that's been fixed.
One of the biggest changes to this new-generation Multivan is the platform on which it's built. Volkswagen has decided to swap the truck-like platform from the past for the 'MQB' platform which underpins vehicles such as the Golf and Tiguan.
Having spent a few hours driving this new generation Multivan around some great country roads during the launch I can testify that not only is the ride comfortable and composed but this van handles way better than you might imagine.
While the Multivan is in no way a sports car, good handling adds to the fun factor. It's easy to drive with light, accurate and direct steering, good acceleration and smooth gear changes from the transmission, great pedal feel under your feet and superb visibility from the high seating position and oversized windows all around.
That said, I enjoyed driving the previous generation Multivan. I loved its fun and easy piloting factor and the change in platform for this new-gen model makes the experience even more pleasurable.
Unmatched by its small van rivals is a five-star ANCAP rating (tested 2021, expires 2027) which applies to all Cargo variants built from July 2022.
It’s equipped with seven airbags, AEB with pedestrian and cyclist monitoring, a reversing camera, rear parking sensors, daytime running lights, non-adaptive cruise control, driver fatigue alert system and more, but you must pay extra for extra safety.
Volkswagen's Multivan scored the maximum five-star ANCAP rating under 2022 criteria (tested by Euro NCAP). Safety tech includes AEB, lane keeping assistance, rear cross-traffic alert, blind-spot warning, front and rear parking sensors and emergency assistance.
Importantly, side curtain airbags extend to cover all three rows; there's also a centre airbag between the driver and front passenger.
A pleasant surprise was finding how non-intrusive a lot of the safety tech onboard the Multivan is. While there's steering assistance there are no annoying alarms and bells as you'll find in other vehicles. In trying to focus your attention on the road they only distract you further.
The Caddy comes with a five-year/unlimited-kilometre warranty and 12 months roadside assist.
Scheduled servicing is every 15,000km or 12 months, whichever occurs first.
An optional five-year pre-paid service package is available for the price of a three-year package ($2000), so that’s two free services and savings of up to $1439 compared to pay-as-you-go capped-price servicing. In other words, an average annual servicing cost of $400.
The Multivan is covered by Volkswagen’s five year/unlimited kilometre warranty.
Servicing is recommended every 15,000km or annually and will cost you between about $600-800 a year.