Volvo's compact SUV pair is getting a substantial update. The updated XC40 and the electric EX40 keep, as far as Volvo has said, their current powertrains, but much of what you look at or touch changes: the headlights, the nose, the tail, the centre screen and the software behind it, and the sensors the safety systems rely on. Volvo Cars Australia has put the announcement on its own website, which tells you the cars are on its radar for this market.
Key Takeaways
- Volvo Cars Australia has published the facelifted XC40 and EX40 on its site: new Matrix LED headlights, new front and rear styling, a larger 11.2-inch screen with Google Gemini and a new radar, camera and sensor suite
- No Australian price has been announced, and Volvo's own Australian page gives no arrival date. Local outlets report Volvo Cars Australia expects the cars in 2027
- Volvo quotes up to 575km of preliminary WLTP range for the updated EX40, but has not said which version that is or whether it comes here. The longest EX40 range Volvo Cars Australia quotes today is 520km
- The EX40 Twin Motor we list at $74,990 sits $10 under the $75,000 line in the Government's proposed change to the electric car FBT exemption from 1 April 2027, announced in the 2026-27 Budget and not yet law. The facelift's price will decide which side it lands if the change goes ahead
- The EC40 is covered by Volvo's announcement but is reported as not returning to Australia. A cheaper B3 XC40 is reported by several outlets as coming here, attributed to Volvo Cars Australia, but Volvo's own Australian site has not listed it
- No ANCAP rating for the updated cars, and no Australian specification, equipment list or towing figures yet
What it has not done is price them or date them. The page carries no Australian timing, and the date in circulation comes from Australian outlets, which report that Volvo Cars Australia expects the updated XC40 and EX40 sometime in 2027. So this is a story about what is confirmed, what is merely reported, and what a buyer looking at an XC40 or EX40 today should do about it.
What Volvo Has Confirmed
Everything in this section comes from Volvo's announcement on its Australian site. Volvo adds a line worth keeping in mind: feature availability varies by market, and some features are optional. None of what follows is an Australian specification yet.
Outside
- New Thor's Hammer Matrix LED headlights with a reworked light signature
- An upgraded grille and a redesigned front bumper, bonnet and front wings
- On the XC40 and EX40, new LED tail-lights, an upgraded tailgate and a redesigned rear bumper
- New 18, 19 and 20-inch diamond-cut wheels for the XC40
Inside
- A new, larger 11.2-inch centre screen running Volvo's latest interface, which Volvo says needs fewer taps to reach key functions
- Google Gemini as the voice assistant on cars with Google built-in, for navigation, stops and messages in everyday language
- An updated wireless phone charger and reworked storage
- New upholstery and trim choices, including Arianne Cardamom leather with Brown Ash wood decor for the XC40, and Black Ash or aluminium decor
Safety hardware
This is the part of the update that matters more than it looks. Volvo describes a new sensor and software platform: new front and corner radars, a new front camera, new rear corner radars, 12 new ultrasonic sensors and new parking cameras. On top of it Volvo lists automatic emergency braking and automatic emergency steering, plus three new or upgraded functions:
- Door Opening Alert, which warns occupants before they open a door into passing traffic or a cyclist
- Pilot Assist with an added lane change assist, which Volvo's announcement describes as optional
- The 360-degree camera upgraded to a 3D view, also described as optional
Two of those words deserve a closer look for Australia. Volvo Cars Australia's current XC40 page lists Pilot Assist as included on the Plus grade, and puts the 360-degree camera on the Ultra. Its current EX40 page lists the 360-degree camera as included on the Ultra, the only EX40 grade it shows. So "optional" in a global announcement does not necessarily mean optional here. Equally, nothing yet says the Australian cars will keep their current equipment split. That is a question for the day Volvo Cars Australia publishes its specification.
The cars also get over-the-air software updates, which Volvo says bring new features to cars already on the road.
Ways to buy
Quotes on 4 cars; the comparison covers 6.
Compare 6Manufacturer offer
Ends 30 Nov 2026
Manufacturer's terms: while stocks last.
Offer from Jaecoo Australia, checked 11 Nov 2026
T&Cs apply, as the manufacturer prints them. Eligibility, stock and build limits vary, so confirm the offer with the dealer.
Finance
From ≈$231/wk(≈$1,002/mo)
Estimate on the Volvo XC40 at $54,990 RRP, before on-road costs; assumes $5,000 deposit, 5 yrs at 7.5% p.a. Not a quote or an offer of credit.
Compare real car-loan ratesDriva is an independent finance provider, not part of CarSorted. We aren't paid for this link.
Novated lease
Paid from pre-tax salary with the running costs inside the lease. What it comes to depends on your salary and the term.
Novated lease quoteWork out a lease on the Volvo XC40Driva is an independent finance provider, not part of CarSorted. We aren't paid for this link. Opens apply.driva.com.au in a new tab.
The Range Number, and Why It Is Not Ours Yet
Volvo's announcement says the EX40 offers up to 575km of electric range, and the EC40 up to 584km, both preliminary WLTP figures. The EX40 on sale in Australia today is quoted by Volvo Cars Australia at up to 520km for the Single Motor Extended Range and up to 485km for the Twin Motor.
It is tempting to read that as a 55km gain. We would not. Volvo has not said which EX40 powertrain the 575km figure belongs to, whether it reflects a hardware change or a different market's version of the car, or whether that version is coming to Australia at all. Volvo's own small print calls its range figures preliminary. Until an Australian range figure is published for an Australian variant, the honest number for a buyer here is still 520km.
For reference, here is what Volvo Cars Australia quotes for the cars on sale now:
| Current model | Power | 0 to 100km/h | Range or fuel use |
|---|---|---|---|
| Petrol, 48-volt mild hybrid | |||
| XC40 B4 (front-wheel drive) | 145kW | 8.4 seconds | 7.3L/100km (WLTP) |
| XC40 B4 (all-wheel drive) | 145kW | 8.5 seconds | 7.3L/100km (WLTP) |
| Battery electric | |||
| EX40 Single Motor Extended Range | 185kW | 7.3 seconds | Up to 520km (WLTP) |
| EX40 Twin Motor | 300kW | 4.8 seconds | Up to 485km (WLTP) |
Compare these picks side by side
6 of them on 200+ specs, price, safety and running cost in one view.
Each price is that car's stored figure with its basis and check date. Driva is an independent finance provider, not part of CarSorted. We aren't paid for this link.
Volvo Cars Australia's EX40 page also quotes around 28 minutes for a 10 to 80 per cent charge at a 200kW DC charger. Its XC40 page labels its fuel and power figures preliminary with certification pending, and gives 166g/km of CO2 and a 54-litre tank. Volvo has announced no powertrain changes with the facelift.
What Is Only Reported So Far
Three things are circulating in Australian coverage that Volvo Cars Australia has not put on its own site. We are passing them on as reports, not facts:
- Timing. Volvo Cars Australia is reported to have told local outlets that the updated XC40 and EX40 will arrive sometime in 2027, with the exact timing depending on how much current stock is left. Volvo's global announcement says production starts later in the northern autumn, with orders open in selected markets.
- The EC40. The coupe-style EC40 is part of Volvo's announcement and appears in the photographs, but it is not on sale in Australia and is reported as not returning.
- A cheaper XC40. A new entry-level B3 mild-hybrid XC40 is reported for the Australian range, sitting under the B4. Several outlets attribute it to Volvo Cars Australia, and one quotes Volvo Cars Australia as saying it will sell the B3 when sales start. Outlets put its outputs at 120kW and 265Nm, against 145kW and 300Nm for the B4, based on the B3 sold overseas. Volvo Cars Australia has published no Australian outputs or price for it, and its website does not list it yet.
That last one is worth watching. A cheaper entry point would matter more to price-sensitive buyers than anything on the equipment list. But a reported variant with no price is not a reason to change plans yet. We have listed the XC40 B3 in our directory as coming soon, alongside the updated XC40 and updated EX40, with no price or specification until Volvo Cars Australia publishes them.
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The EX40 and the FBT Line
This is the part of the story nobody can answer yet, and it could matter more than the new screen. We list the EX40 Ultra Single Motor Extended Range at $69,990 and the EX40 Ultra Twin Motor Performance at $74,990, both before on-road costs, checked against Volvo's pricing in June.
As general information: for the 2026-27 financial year, a battery-electric car can qualify for the fringe benefits tax exemption on a novated lease when its value is under the $91,661 fuel-efficient luxury car tax threshold. Both EX40 grades are comfortably under that. That is current law, per the ATO. Separately, the 2026-27 Budget proposes that from 1 April 2027 the full exemption would cover only electric cars at or under $75,000, with a proposed 25 per cent discount above it. The ATO says the measure is not yet law. The Twin Motor's listed price is $10 under that proposed figure.
The updated EX40 is reported for 2027, so it may land after the proposed start date. If Volvo prices the facelifted Twin Motor even slightly higher, or if the figure tested for your car includes options such as paint, it could sit above the proposed $75,000 line. The Single Motor has about $5,000 of headroom. The Budget announcement says existing leases would not be affected, but until legislation passes the details can change. Check your own position with your lease provider or accountant, because this is not tax advice and the details of what counts towards the value matter.
The petrol XC40 is a different case. It is not battery-electric, so it is not eligible for the electric car FBT exemption, and at 7.3L/100km it falls under the ordinary luxury car tax threshold of $80,809 for 2026-27, which the current XC40 range sits well below. Our FBT-exempt cars list explains the rules in more detail.
Cars in this story
6 cars
Price shown is each car's stored figure with its basis and check date.
See all Volvo modelsWhat It Is Up Against
The updated cars are not on sale, so they are not in the comparison below. What is in it are the XC40 and EX40 you can order today, plus the small premium SUVs a buyer at this money is likely to cross-shop. Pick any two.
Pick two
Today's small premium SUVs, side by side
The XC40 and EX40 on sale now, and rivals already in showrooms. Tap any two.
| Spec | Volvo EX40 Single Motor | Volvo EX40 Twin Motor |
|---|---|---|
| Price from | $69,990RRP, before on-roads | $74,990RRP, before on-roads |
| Fuel use | N/Abattery electric, no fuel figure | N/Abattery electric, no fuel figure |
| Driving range | 520 km | 485 km |
| Seats | 5 | 5 |
| Braked towing | 1,500 kg | 1,800 kg |
| ANCAP | Not rated by ANCAP | Not rated by ANCAP |
| Warranty | 5 yrunlimited km | 5 yrunlimited km |
| Service interval | 30,000 km | 30,000 km |
Prices and specifications are the ones listed on CarSorted and are not all on the same basis. Driving range is the WLTP figure for electric cars. The updated XC40 and EX40 will be added once Volvo Cars Australia publishes Australian pricing and specifications. Figures come from our car database, which is built from Australian manufacturer documents. A blank field reads “No data” rather than a zero or a dash.
The obvious electric rival is the BMW iX1 xDrive30, which we list at $77,900 before on-roads, checked against BMW Australia's configurator in September. It has 230kW against the EX40 Twin Motor's 300kW, and it costs $2,910 more than the Twin Motor at the prices we list. On current numbers the EX40 is the cheaper car with more power, and it is the one under the $75,000 line. That is the position the facelift has to protect.
From inside Volvo's own range, the EX30 Plus Single Motor at $49,990 before on-roads is the cheaper way into an electric Volvo, but it is a smaller car with a smaller boot: we list 318 litres, against the 410 litres Volvo Cars Australia quotes for the EX40. And for buyers not ready for a plug, the Lexus UX 300h Sports Luxury at $62,320 is the hybrid alternative, at 4.2L/100km against the XC40's 7.3L/100km, again from the figures we list. Against a petrol BMW X1 xDrive20i or an Audi Q3 TFSI quattro 150kW, the XC40 is very close on outputs and fuel use, so equipment and price will decide it once the new car is priced.
If you tow, we list 2,100kg braked for the XC40 against 1,500kg for the EX40 Single Motor and 1,800kg for the Twin Motor. Volvo has not published towing figures for the updated cars. Our TowingSorted planner is the quickest way to check whether a caravan or trailer fits either car you are considering.
What Volvo Has Not Told Us Yet
- Australian prices for any updated XC40 or EX40.
- An Australian arrival date on Volvo's own site. The 2027 timing is reported.
- The Australian line-up: which grades, which powertrains, and the B3's outputs and price.
- Equipment: whether Pilot Assist and the 3D 360-degree camera are standard or optional here.
- Range for any Australian EX40 variant, and whether the 575km figure applies here.
- An ANCAP rating. The updated cars are unrated, and we hold no ANCAP rating for the XC40 or EX40 currently on sale.
- Weights, boot volume and towing figures for the updated cars.
What This Means for Buyers
If you want an XC40 or EX40 now, there is no reason to panic-buy or to freeze. The updated cars are reported for 2027 with no date, and the changes are to the lights, the cabin technology and the sensors rather than to what drives the wheels. As far as Volvo has said, a current car bought at a good price has the same powertrain as the updated one. As the facelift gets closer, run-out offers become more likely, and we track them on our deals page.
If the safety hardware is what you care about, it is a genuine reason to wait. A new radar and camera platform with automatic emergency steering and a door opening alert is hardware, so it is not something a software update can add to the current car. Just do not assume the Australian equipment list until it is printed.
And if you are leasing an EX40, the price matters as much as the car. A current EX40 sits under both the threshold that applies now and the $75,000 figure in the Budget proposal, which is not yet law. The updated car's position is unknown until Volvo prices it.
The updated XC40 and updated EX40 are in the CarSorted directory as coming soon. We will add full specifications once Volvo Cars Australia publishes them, and update this story when pricing is announced.
Disclaimer: Details of the updated cars are from Volvo's announcement published on Volvo Cars Australia's website, checked on 1 October 2026 and again on 4 October 2026; Volvo says availability of features varies by market and that range figures are preliminary WLTP figures. Specifications for the current XC40 and EX40 are from Volvo Cars Australia's model pages on 1 October 2026. Australian timing, its dependence on stock, the EC40 not returning, the B3 variant and its outputs are as reported by Australian motoring outlets and have not been confirmed on Volvo Cars Australia's site. EX40, BMW, Lexus and EX30 prices are the ones listed on CarSorted at the time of writing, before on-road costs. The luxury car tax thresholds quoted are the 2026-27 figures and change each 1 July, and the FBT change proposed from 1 April 2027 was announced in the 2026-27 Budget and, per the ATO, is not yet law (as at October 2026); this is general information, not tax advice. Confirm price, specification and availability with a Volvo retailer before ordering.
