Volkswagen Tiguan vs Volvo XC60

What's the difference?

It's a hard to deliver a definitive verdict yet, because we’re still some way out from the Tiguan’s local arrival.

Expect a pricier mid-size SUV, but one which leans into its best traits as a semi-premium option, with a stellar cabin and a significant tech upgrade. What sets it apart in such a crowded segment is its ability to appeal to the keen driver, although it’s a shame Australia will miss out on some of the more ambitious and modern powertrain options available overseas, at least initially.

For now though, consider us impressed.

Tune back in in the second quarter of 2025 for all the details on the Tiguan’s local launch and pricing.

Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.

The Volvo XC60 Ultimate B5 Bright is a fine example of a family car that actually caters to families. There are plenty of practical features inside to help everyday living and it has a good amount of occupant and boot space for the class. I like how it handles on the road and its running costs are reasonable for a luxury SUV. It's not as flashy as its rivals but it's still stylish.

My husband and son spent a lot of time in the XC60 and they have enjoyed a high-level of comfort on our journeys together. We all love the built-in booster seats in the back row because of the independence they offer.

There’s a lot of familiarity with this new Tiguan. It doesn’t stray far from the sturdy, boxy, but pragmatic shape of the current car, at least at a distance.

Up closer, though, it’s clear there are some significant changes this time around. The previous car’s hard and angular character lines have been replaced by curvy finishes over the top of the wheel arches, paired with heavier contours down the doors and across the nose.

The face has dumped the previous chrome highlights, moving the grille lower and replacing the horizontal strips which used to sit behind the VW badge with a solid plastic bar (incorporating an LED light) running across the top.

The grille has been moved lower, and chrome has largely been replaced with gloss black and matt silver finishes. While the outgoing car was attractive in a relatively conservative way this new Tiguan makes more of a statement.

Round the back, expect a similar contemporary translucent plastic light-bar treatment to marry the rear two light fittings, with the VW badge taking pride of place alongside the TIGUAN typeface, as is the current trend.

Design elements carried over in the rear three-quarter include the shape of the rear side windows, the tough extruded bumper and the little roof-mounted spoiler. Trendy aerodynamically-styled wheel choices round out its modern appeal.

Perhaps the strangest thing about this design is how it somehow manages to make the Tiguan look smaller where most next-gen designs make new cars look much larger than their predecessors. There’s something subtle about it.

Inside is a radical departure from the now significantly dated outgoing vehicle. The somewhat drab greyscale dash, which was also strangely upright, has been replaced by something much more intriguing.

A huge piano black panel defines the character line of the dash, housing the air vents, dashboard, and new ambient lighting, sitting behind the enormous pride-of-place 15-inch media screen.

VW clearly heard the audience and for this car has put a major focus on tech. The new software to match looks much better, the screen is sharp and fast, and as usual the brand’s digital dash is easily one of the best on the market.

Swapping out old switchgear has also allowed for a more contemporary, pared-back centre console with the nicely-designed steering wheel carrying across. EV-like controls from the ID series take their place on the steering column.

This is not a car you can judge from several metres away. This is a car that's been well and truly launched into the 2020s.

The XC60 looks mature and graceful with its wide stance and well-proportioned body. The pronounced bonnet and stylish grille confirm its luxury SUV credentials.

The LED headlight design has been inspired by ‘Thor's Hammer’ (gotta love that Scandi heritage!) and the chrome accents around the windows accentuate the optioned darker tint.

Despite having a stately kerb-side presence, it’s not a boring looking car. The 20-inch dual-coloured alloy wheels and sleek body panelling help the XC60 appear almost sporty. Overall, its exterior design looks like it will age well.

The interior style of the XC60 can be summed up in two words - understated elegance.

The cabin isn't as flashy or wowing as some of its rivals and that might be because it lacks the visual impact of customisable ambient lighting, or because the chunkier dashboard looks more solid and dependable than sleek and fancy.

Regardless, the high-quality leather-accented upholstery and trim options elevate the space to earn the 'luxury' tag.

There is a plethora of soft-touchpoints throughout the car and visual highlights like chrome accents, an illuminated crystal shifter by Orrefors and a solid-feeling steering wheel.

The previous Tiguan was always notable for how spacious its cabin was, and for the most part that pragmatic approach continues.

The re-designed seats proved comfortable over the significant amount of time we spend behind the wheel traversing central Germany, and while it feels a little smaller inside due to the much busier design of the dash, there’s plenty of room for even tall adults given the cabin's height and width.

As usual with Tiguan, it’s easy to find a comfortable and sporty seating position, and the touchpoints are all excellent with much less hard plastic in the doors and centre console.

Each door offers an enormous pocket and bottle holder, and the new car gets a two-tiered shelf design in the centre console, housing a wireless charger below.

A single multi-function dial can control either audio volume or drive mode with a quick press, and without additional switchgear. There is a versatile set of bottle holders and a centre console armrest box behind.

The huge screen is oriented towards the driver. In the pictures it looks like too much, but it’s somehow low enough and the software largely has clever shortcuts to minimise distraction.

The most unfortunate feature of the screen, though, is the requirement to control the climate via touch sliders or a screen-based menu.

If only the brand had committed to giving us two more dials to control the climate zones or fan speed as appear in its Skoda relations. Still, it’s a significant step-up from the outgoing car.

The back seat offers heaps of room for myself, at 182cm tall, behind my own driving position. The generous seat claddings continue (as usual for a VW), with adjustable air vents, a rear climate zone and USB-C ports offered on the back of the console for rear passengers.

Lovely soft trims continue in the doors, and there are a set of three pockets on the back of each front seat, good for phones, tablets, or whatever you can think of.

Boot space measures in at an enormous 652 litres, proving VW found a significant amount of space somewhere in this new design.

Need more? The second row is on rails, so if you’re not using it, or you’re using it for kids who don’t need the legroom, you can boost the load space even further.

Families will appreciate the XC60's cabin. Both rows of seating are roomy for the class and the front seats are supportive and comfortable with multiple adjustments available.

However, there is an electric toggle dial that controls the lumbar-, side-, and under-thigh supports as well as the massage function, but flipping between modes can be a bit confusing at first.

I enjoy having the practical two-position memory function on both front seats, as I’ve been travelling a lot with my husband and the heat/ventilation features on the front seats have been great during a recent run of strange weather.

The back seats are well-cushioned and the bench is wide with three adults being able to sit without too many grumbles. 

I have plenty of room for my 168cm height and my seven-year old is able to get in and out without any trouble thanks to the higher ground clearance.

Our absolute favourite feature is built-in child booster cushions in the outboard seats. They have two height positions to accommodate different heights/weights and it’s been wonderful for my son to have the autonomy of buckling himself in. But also just awesome for my husband and I because it’s one less thing to think about! 

Storage throughout the car is good for the class with the front enjoying a mid-sized middle console, large glove box, two cupholders and two large drink bottle holders. The extra-large storage bins in the front doors are also very handy. 

In the rear, you have two retractable cupholders in the fold-down armrest, two map pockets and two drink bottle holders in each door.

The other amenities are great with the individual climate control and four sets of directional air vents – ideally located on the back of the centre console and on the B-pillars. 

Charging options are solid with both rows enjoying two USB-C ports and the front also getting a 12-volt outlet and wireless charging pad. The boot has a 12-volt socket, too.

Onto the other technology, the 9.0-inch touchscreen multimedia system is responsive and relatively easy to get around once you spend some time with it. Along with the Google subscription, you also get wired Apple CarPlay and Android Auto. 

The 12.3-inch digital instrument cluster shows the navigation map and the head-up display incorporates directions, which is great.

The cluster itself isn’t customisable, though, and I like fiddling with things like that to personalise the driving experience.

Another practical feature is a secondary key fob which can be programmed to control the maximum speed the car can travel and the audio volume.

I'm sure this would be handy for parents of any P-platers out there who often borrow the family car.

The key fobs are easily distinguishable. too. The spare for our test vehicle is a bright orange colour, so there are no 'whoops, I grabbed the wrong key' arguments, either.

The boot space is a great size at 483L offering plenty of room for holiday luggage. The back seat has a 60/40 split and a ski-port to open up storage options.

The loading space is level and there is a temporary spare tyre underneath the floor. You can adjust the height of the car using the air suspension and I love a powered tailgate.

There are four variants for the XC60, split evenly between the B5 petrol engine and the T8 plug-in hybrid. Our test vehicle is the top-spec Ultimate grade coupled with the B5 petrol engine.

Without any packages, this combination will cost $80,990, before on road costs, which is a $1000 price hike for the 2024 model year.

The standard features list for the XC60 is robust and there are some great premium features, like the electric and heated front seats that feature electrically adjustable under-thigh support, lumbar support and side-bolster support.

The front seats also have a two-position memory function, which I find helpful whenever I share the driving with my husband as there is no hassle for me to get back to a comfy driving position after he drives! 

Other premium features include a heated steering wheel, pre-entry climate control (perfect for those super-hot days), premium leather-accented and high-quality trims to choose from.

The technology highlights include a complimentary four-year subscription for the built-in Google Assistant, Google Maps and Google Play Store which are accessed via the portrait-style 9.0-inch touchscreen multimedia system.

There is a 12.3-inch digital instrument cluster, wired Apple CarPlay and Android Auto and a very handy four-zone climate control system.

Other practical features include a handsfree powered tailgate, keyless entry, keyless start, coloured head-up display and a ticket holder on the windscreen, for those odd occasions where you have a physical ticket!

Now, here come the optional packs our model has been fitted with. There’s the 'Climate Pack' for $150 that adds headlight cleaners and a 'Lifestyle Pack' for an additional $13,800.

The latter sounds expensive but you get some lovely features in the pack, like a panoramic sunroof, improved Bowers & Wilkins sound system, Nappa leather upholstery, front seat ventilation, front seat massage function, air suspension and tinted rear windows.

Add on $2050 for the 'Thunder Grey' paintwork and it slides in at $96,990, before on-roads. and that places it towards the top-end of the market compared to its rivals, but the BMW X3 xDrive30i M Sport still just beats it with a $97,900 price tag.

In some ways, I don’t envy our European friends, who can choose from a whopping eight different drivetrain permutations in the new Tiguan range.

However, again there’s good and bad news for the Australian market.

The bad news is we won’t see the new and more efficient 1.5-litre mild-hybrid engine option which is the base version (and one of the cars we drove) in Germany.

We also won’t see the surprisingly finely-tuned diesel versions, and we also won’t see the great new plug-in hybrid version, at least not at launch.

With this out of the way, what we can expect is a familiar line-up. The 1.4-litre turbocharged four-cylinder engine (110TSI) will carry over from the outgoing vehicle, producing 110kW/250Nm, a new mid-spec engine, producing 150kW/320Nm, and a new top-spec engine (dropped out of the Golf GTI, no less) producing 195kW/400Nm.

As usual, expect all three options to be mated to a seven-speed dual-clutch automatic transmission.

It's a shame the local division isn’t ambitious enough to launch with the next-gen plug-in hybrid version, which pairs the new 1.5-litre four-cylinder engine with a big 25kWh battery for an estimated 100km electric driving range.

It also brings with it robust charging specs, like an 11kW AC inverter (for a slow charge time of two hours on a compatible charger) and even the ability to charge on DC at 50kW (for a fast-charge time in half an hour).

Our experience in a German-market example proves one of the other benefits of this powertrain, which is a fuel-efficient hybrid mode even when the battery is drained.

Perhaps it’s a story of petitioning your dealer for one if you want it. No doubt the brand will be listening to on-the-ground feedback post-launch.

Volvo is aiming to offer only fully-electric powertrains from 2026 and the new XC60 B5 petrol variants feature a mild-hybrid element designed to improve fuel economy, especially in stop-start traffic.

Our test vehicle has a 2.0-litre, four-cylinder, turbo-petrol powertrain with a maximum power output of 183kW and 350Nm of torque. It’s an all-wheel drive and has a smooth eight-speed auto transmission.

Given the engines will be familiar don't expect any radical changes when it comes to fuel consumption.

We don’t have official WLTP-certified figures yet because the 1.4-litre 110TSI and 2.0-litre 150TSI engines aren’t even in production in the new body yet, but it's fair to assume they won't stray far from the 7.7L/100km of the current 110TSI, up to 8.5L/100km for the current 162TSI R-Line.

For those wondering, the difference between the carryover 110 and the new one in Europe, it’s about 0.9L/100km according to overseas figures (with the new 1.5-litre MHEV engine consuming 6.8L/100km).

Even better news is the power boosted 195kW engine has the same fuel consumption as the outgoing 162TSI.

Meanwhile, the 1.5-litre eHybrid (PHEV) version we’ll miss out on has claimed fuel consumption of just 0.5L/100km.

As usual, these turbocharged Volkswagen engines will require a minimum of 95RON premium unleaded fuel.

The official combined cycle fuel figure is 7.6L/100km and my real-world usage averaged 8.1L/100km.

That’s pretty economical given that I cover a good mix of open road and urban driving and am not precious with the power.

Based on the combined cycle number and the large 71L fuel tank, expect a driving range of around 934km. To give you an idea of time between fills, I drove it for 14 days before having to fill up.

You can’t sneak in any blends or lower grade fuel though as Volvo recommends a minimum 95 RON premium unleaded be used.

The Tiguan has always been a stand-out drive in the segment (which VW says underpins the high-spec R-Line version's popularity in Australia) and the improvements for this new-generation car lean even further into its on-road prowess.

Significant revisions as part of the new Tiguan’s upgraded MQB Evo platform include improved chassis rigidity and all-new suspension, which has an immediate and obvious effect as soon as you hop behind the wheel.

We were able to sample a 1.5-litre MHEV (an engine we won’t get, but in a trim level indicative of 'our' base car) as well as a 2.0-litre 150TDI diesel all-wheel drive (as a stand-in for the not-yet-in production 195TSI model) and both stand well above the segment in terms of handling and straight-up fun (at least for a mid-size SUV).

Don’t expect the kind of doughy ride and compliant steering of rivals, instead prepare yourself for what feels like a scaled-up Golf.

The third-generation Tiguan is defined by accurate, engaging steering, punchy and reactive engines, a sandpapered-smooth response from the dual-clutch transmissions, even at low speed, and (particularly for the front-wheel drive) an SUV which feels light on its feet.

This all makes for a mid-size SUV which, if anything, encourages you to push harder on a bit of curvy tarmac. Sure it doesn’t have the nearly EV-like smoothness of its hybrid rivals, but this is supplanted by serious fun to be had, which is extremely rare for this segment.

In our experience, the new ride is springy and reactive, although it was hard to gauge how the new Tiguan might feel in Australia due the high quality of German roads which don’t have the imperfections which riddle the surface of Australian tarmac.

It does feel a bit more locked down, but the previous Tiguan had an outstanding ride considering its more sporty intent, so I wouldn’t be surprised to see this continue.

Both turbo engine options roar to life when pushed with a pleasing tone, and as usual the dual-clutch autos are lightning fast at shifting and provide a lot more feedback and engagement compared to the usual dull CVT popular on rival mid-sizers.

The one thing which takes away from the experience is the need to interact with the climate controls via touch interface, a bit annoying and potentially distracting on the go.

On the flip side, the active safety equipment (particularly lane keep assist) is thankfully not anywhere near as overbearing as it is in some of this car’s rivals, solidifying the Tiguan’s position as a robust option for a keen driver.

The XC60 is a relaxing car to drive, it does what you expect it to do most of the time. It has enough power to handle open-road touring with ease and while the suspension is on the firmer side, the ride feels well-cushioned.

The only time it skips a beat for me is when you're easing off the accelerator, slowing down, but then need to pick up speed again.

Say, when you find a gap in traffic and begin to merge. There can be a short delay before acceleration happens and it feels somewhat clumsy. But these moments are few and far between.

The cabin is quiet, with minimal wind and road noise. Our family had no issues chatting. It only gets loud inside when heavy rain hits that big panoramic sunroof.

Adaptive steering makes the XC60 feels nimble and horribly tight city streets less daunting. It’s easy to manoeuvre in a small car park, as well.

The clear 360-degree camera system and sensitive front and rear parking sensors also help to make light work of a parking. 

As of right now, Volkswagen offers a five year, unlimited kilometre warranty with a year of roadside assist, and it would be a shock not to see the usual three- or five-year pre-paid service packages when it launches in Australia.

On the current car, these amount to about $580 annually (for a 2.0-litre 162TSI R-Line) which is on the premium end for the mainstream SUV segment.

Expect the same service interval as the current car, too, set at 12 months or 15,000km. Check back at local launch time for full details.

It’s not often common to associate a luxury brand with reasonable on-going costs but the Volvo XC60 is offered with very competitive pricing and terms.

The five-year/unlimited km warranty is normal for the class but you can pre-purchase a three-year/45,000km or a five-year/75,000km servicing plan.

The three-year plan is priced at $1750 (averaging $583 per service) and the five-year plan is priced at $3000 (or an average of $600 per service). Both plans are cheaper than a pay-as-you-go option and are inexpensive compared to some rivals.

Servicing intervals are good at every 12 months or 15,000km, whichever occurs first.