FYI: Volvo has revamped its top-selling U.S. model with enhanced tech features and a more refined design, setting a starting price around $60,000.
Volvo Revamps Best-Selling XC90 SUV with Updated Tech and Sleeker Design
Volvo is rolling out an updated version of its best-selling XC90 SUV, with plans to hit the U.S. market later this year. The refreshed model comes equipped with state-of-the-art technological upgrades and a more streamlined exterior design, marking it as a "2025.5" model year release. Designed to bridge the gap until Volvo’s next-generation models arrive, the new XC90 starts at roughly $60,000, including destination fees.
Global Success vs. U.S. Slowdown
Globally, Volvo is enjoying a banner year. In the first seven months of 2024, the company saw a 13% rise in sales year-over-year, largely driven by a 30% increase in its electrified vehicle lineup. However, Volvo’s momentum has slowed in the U.S. The delayed release of the EX30 until 2025 and the not-yet-perfected EX90 have left the brand relying heavily on its XC90 SUV to maintain its foothold in the American market.
What’s New in the 2025.5 XC90?
Exterior Enhancements
The latest XC90 sports a more chiseled and cohesive design, featuring a seamlessly integrated grille and sleek new T-shaped Matrix LED headlamps. The updated design aligns more closely with the all-electric EX90. In addition, new 20-inch, 21-inch, and 22-inch wheel options provide a touch of customization for prospective buyers.
Interior and Tech Upgrades
Inside, the XC90 gets a tech overhaul with a new 11.2-inch freestanding central display that boasts a 21% increase in pixel density for crisper visuals. The built-in Google system now offers a revamped interface, making commonly used apps easily accessible through a “contextual bar.” These updates are akin to what you’ll find in the new EX90, but even owners of older models (from 2020 onward) are set to benefit from the updated user interface via over-the-air updates.
Additional interior refinements include improved sound insulation, extra storage spaces, an additional cup holder, and a repositioned wireless charging pad, all based on customer feedback.
Unchanged Powertrains, Enhanced Driving Experience
While the powertrain options remain unchanged, buyers can still choose between the B5 and B6 trims powered by mild hybrid four-cylinder engines. The T8 plug-in hybrid variant continues with its turbocharged four-cylinder engine paired with a rear-axle-mounted electric motor, delivering 455 horsepower and 523 pound-feet of torque. It offers an EPA-estimated electric range of 32 miles, thanks to an 18.8 kWh battery pack.
The driving experience has been improved with Frequency Selective Damping (FSD), offering a more comfortable ride at slower speeds while enhancing control and stability at higher speeds.
Price and Availability
The 2025.5 XC90 is set to be available in both six- and seven-seat configurations starting at $58,450, plus a $1,295 destination fee. Deliveries are expected to begin in the first quarter of 2025. While the upcoming all-electric EX90 may be attracting attention, it has its share of teething issues, particularly in the software department. Therefore, the XC90 remains the go-to option for those interested in a large, family-friendly, electrified Volvo.
Conclusion
Volvo’s latest iteration of the XC90 reinforces its status as a reliable and stylish SUV option in the U.S. market. With tech upgrades, refined design elements, and a few clever improvements based on customer feedback, the 2025.5 model aims to offer a superior driving experience while bridging the gap to Volvo’s next-generation electric vehicles.
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William Kouch, Editor of Automotive.fyi