Subaru XV VS Volkswagen Tiguan
Subaru XV
Likes
- Excellent cabin fit and finish
- Great to drive
- Advanced safety tech
Dislikes
- Not much more fuel efficient than the petrol version
- Pricey
- Small display screen
Volkswagen Tiguan
Likes
- Fun to drive
- Big design and tech upgrade
- Practical, spacious interior
Dislikes
- No new hybrid powertrains (yet)
- Base price will go up
- Touch-based climate
Summary
Subaru XV
The idea of a hybrid version of Subaru’s small XV SUV seems to make complete sense – this is a car that probably spends most of its time in traffic but is owned by people who might like to head down a dirt track occasionally. And if it can somehow manage to give off a green glow as well, that could only be a bonus.
But can it actually do all those things? That's the question I’m here to answer, with a bit of real-world testing.
The answer is not a simple yes or no, I'm afraid, because the experience was mostly positive, yet in some ways, I was left wanting more. Allow me to explain.
| Safety rating | |
|---|---|
| Engine Type | 2.0L |
| Fuel Type | Hybrid with Regular Unleaded |
| Fuel Efficiency | 6.5L/100km |
| Seating | 5 seats |
Volkswagen Tiguan
Without a doubt, this is Volkswagen’s most important new vehicle.
Roughly eight million Tiguan mid-size SUVs have been sold since the nameplate came into existence in 2007, and the one we’re looking at for this review is the first new-from-the-ground-up version in eight years.
While it might look familiar from the outside, don’t be fooled. This third generation car is significantly different inside and underneath with upgrades the brand will need for it to stay relevant against an increasing array of hybrid traditional rivals and newcomers from China.
Does the 2025 Tiguan have what it takes to be your next family hauler? Stick with us as we find out.
Read more about
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- New cut-price electric car spied testing in heavy camouflage: 2025 Volkswagen ID.2 edges spotted in elaborate ID.3 disguise as it edges closer to taking on the BYD Dolphin, MG4 and Hyundai Inster: Report
| Safety rating | — |
|---|---|
| Engine Type | 1.4L |
| Fuel Type | — |
| Fuel Efficiency | —L/100km |
| Seating | 5 seats |
Verdict
Subaru XV7.3/10
Well this is awkward. On one hand the XV Hybrid is excellent and on the other it’s… not.
It’s great to drive on and off the road, the fit and finish of the cabin are superb and the safety tech is outstanding. On the other, the value for money isn’t good when you consider that it’s almost the most expensive XV, but still doesn’t have sat nav, dual-zone climate control, nor the larger display.
And then there’s the fuel economy. Even if we had matched the 6.5L/100km Subaru says we should get, the saving is a mere 500ml for every 100km compared to a straight-petrol XV. The plug-in hybrid version of the XV, as sold in the United States, can get about 2.6L/100km. Now that type of hybrid XV would make far more sense.
Volkswagen Tiguan7.9/10
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.
Design
Subaru XV
That Lagoon Blue paint. As mentioned above it’s only available on the hybrid and in the metal the colour is so stunning and different that right now from my desk I can see people rubber necking at it parked out the front of my house. The hue, combined with the ‘e-boxer’ badges, makes for an intriguing package, which, from where I sit, is generating a stack of interest. That was always Subaru’s intention, I guess.
Other hybrid-only design features include the frosted silver elements around the fog lights, the slim-line roof rails and, of course, those ‘e-boxer’ badges.
Those are the only styling differences between the Hybrid and the other XV family members.
Not having the chunky roof racks means the overall height is 20mm lower, at 1595mm, but the rest of the dimensions are the same as a regular XV, at 4465mm long and 1800mm wide.
The XV is a small SUV, but larger than most of its rivals – it’s about 200mm longer than a Honda H-RV, and similar in size to a Kia Seltos or Nissan Qashqai. That said, its cargo capacity isn’t the best – but more on that in the Practicality section below.
We’re just talking about appearances here and the XV hybrid is cute and angry looking at the same time, with its Pokémon-like face.
Nothing has changed about the overall exterior styling since this new-gen XV was introduced in 2017. And that goes for the interior, too, which is a highlight of this SUV.
There’s no other small SUV in the price range with a cabin that feels this good – the craftsmanship is superb, the fit and finish is excellent and the materials (even the plastics) feel gorgeous. I never use the word gorgeous, but you won’t find a more comfortable and luxurious cabin this side of a Lexus.
That said, the small display screen lets things down, and so does the featureless hard plastic on the back of the centre console, which stares at the rear passengers.
Volkswagen Tiguan
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.
Practicality
Subaru XV
To sum things up, room for people is good but the cargo capacity is not. That means I can sit behind my driving position, even though I’m 191cm tall, with about 15cm to spare between my knees and the seatback. Headroom is fine for me, too.
Boot space, however, is 345 litres, which sounds like it could be a lot but when you consider the Honda HR-V has a 437-litre cargo capacity and the Kia Seltos has 433 litres of luggage space, it’s clear the XV’s boot isn’t very big.
Cabin storage isn’t so bad, though, with a big centre console bin, two cup holders up front and two more in the rear fold-down armrest, plus bottle holders in the doors. The hidey hole in front of the shifter is showing its age because my phone was too large to fit into it sideways, but there are other little nooks to store your things in.
Parents should know that the XV Hybrid doesn’t have directional air vents for those in the back seats, but the dark-tinted rear windows were a welcome feature whenever we had our five-year-old back there.
The hybrid has three USB ports – two for charging in the centre console bin and one for media under the dashboard. Need a 12V outlet? There are two.
Volkswagen Tiguan
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.
Price and features
Subaru XV
The XV Hybrid lists for $35,580, which makes it the second-most expensive XV in the line-up, sitting just under the top-of-range $36,530 2.0i-S. The thing is, the Hybrid doesn’t come with nearly as much equipment as the 2.0i-S, and that’s why it loses value-for-money marks in this review.
Standard features range from the disappointing - like the 6.5-inch touch screen, single-zone climate control and halogen headlights - to the impressive; adaptive cruise control, rear privacy glass and proximity unlocking. The Hybrid also scores the same advanced safety tech as the 2.0i-S, which I’ll go into more detail about in the Safety section below.
Other standard features include Apple CarPlay and Android Auto, shifting paddles, X-Mode drive setting, rear-view camera, six-speaker stereo, digital radio, CD player, premium cloth upholstery, roof rails and rain-sensing wipers.
Only the hybrid comes in the Lagoon Blue colour our car wore, and it’s a no-cost option. Good.
How does the XV Hybrid compare with rivals on price? Well, apart from the Toyota C-HR Koba hybrid, there aren’t any other small hybrid SUV rivals. But ask yourself: why are you buying the XV Hybrid? If it’s for ‘green efficiency’ then you really need to skip to the section on fuel economy, because the amount of fuel you’ll save could shock you, and not in a good way.
If it’s for the all-wheel-drive system then you should know that all XVs have all-wheel drive.
Frankly the biggest rival, apart from the C-HR, comes from within – the XV 2.0i Premium, which is $33,420 and is better equipped and boasts excellent fuel economy. A small SUV comparison wouldn’t be complete without the segment’s benchmark – the Kia Seltos, and its Sport + grade with AWD lists for $35,490.
Volkswagen Tiguan
Australian deliveries of the new-generation Tiguan were still a while away at the time of writing, so we don’t have precise pricing and specifications to share just yet. However, the brand’s Australian division tells us to expect a similar grade walk to the outgoing car.
This will likely mean three key variants tied to three drivetrain options. We know for now the incoming base version will retain the same 110TSI engine, but will take a significant hike in standard equipment, while the next two variants up will use upgraded engines, a mid-spec 150TSI and a top-spec 195TSI.
The bad news is Volkswagen says it will be fair to expect a price-hike on base versions, what we understand is “closer to the $50K mark”, while the outgoing car starts from $43,990, before on-road costs.
The good news is the standard equipment is “more in-line with what the VW customer expects” according to the brand, with the main problem not being price, but apparently buyers wanting things like standard leather seats and upgraded cabin tech with the more basic engine.
Next up, the 150TSI 2.0-litre all-wheel drive will replace the outgoing 132TSI, and at the top of the range, the most important R-Line grade (which VW sells the highest proportion of) will also get a significant boost, not only with the 195TSI engine (up from the current 162TSI), but also new equipment.
Across its grades, the new Tiguan will have access to new-generation matrix LED headlights, large alloy wheel choices, and a 15-inch multimedia screen with wireless Apple CarPlay and Android Auto.
There is also a completely overhauled software suite, with a new version of the VW's renowned digital dash cluster, and you can expect impressive spec highlights from the current vehicle, like tri-zone climate control, to continue over.
And this third-generation car also scores completely re-designed seats, revised ambient lighting, a new head-up display and extended soft-touch materials throughout the cabin to solidify its semi-premium market positioning.
Stay tuned closer to the new Tiguan’s arrival in Australia in the second quarter of 2025 for full local pricing and specs. That said, the cars we drove for this review were largely representative of what we might see land on our shores.
Under the bonnet
Subaru XV
The XV Hybrid has a 2.0-litre four-cylinder petrol engine under the bonnet (making 110kW and 196Nm) and built into the transmission is an electric motor (making 12.3kW and 66Nm). The batteries are under the boot floor and they’re charged through energy captured during braking, which is then turned into electricity.
The transmission is an automatic called a CVT (Continuously Variable Transmission). I’m not a fan of CVTs because they tend to take all the oomph out of acceleration, but Subaru’s version is one of the best and the addition of the electric motor gives nice little nudges while driving that the straight-petrol XV doesn’t offer.
Volkswagen Tiguan
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.
Efficiency
Subaru XV
Hybrids are all about saving fuel, but the XV Hybrid doesn’t use a lot less petrol than the regular XV, which makes you wonder what the point of it is. According to Subaru the XV Hybrid should use 6.5L/100km after a combination of open and urban roads, while under the same driving conditions the regular petrol version does almost as well at 7L/100km.
My own testing showed higher consumption. After 401.5km of motorways, urban commutes, city traffic, suburban runs, country twisty fun roads and even dirt and gravel tracks, I filled up with 37.51 litres, which comes to 9.3L/100km. The fuel tank in the hybrid is 48 litres and the trip computer told me I had a range of 90km left. The straight petrol XV has a 63-litre tank.
So, even if you use Subaru’s figures you’re saving 500ml per 100km, which comes to about 70c per 100km if 91 RON is about $1.40. Factor in the fact that the XV Hybrid costs $3970 more than the XV 2.0i-L and you’d have to drive more than 550,000km to make that difference in money back. Again, you have to ask, what is the point?
I’ve tested Toyota’s C-HR Hybrid and while it is only two-wheel drive the combined fuel economy is 4.3L/100km.
Subaru’s XV Hybrid needs to be way more fuel efficient for it to be a worthwhile hybrid vehicle.
Volkswagen Tiguan
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.
Driving
Subaru XV
I said in the video above that I think the XV is one of the best-handling small SUVs for the money and it’s true, even on twisty country roads the vehicle feels planted, with great body control. That’s thanks to well-sorted suspension and the boxer engine design, which lowers the centre of mass, making the car less ‘wobbly’ and more secure in the corners.
If it was just about driving, the XV Hybrid would be my pick out of the entire model range. That’s because I find the basics petrol version has lacklustre acceleration. The hybrid gets little shoves from the electric motor, making it better for moving quickly in traffic. Yep, while the electric motor is tiny and only supplies a small output, when it combines forces with the petrol the difference is noticeable compared to the petrol XV.
Like the petrol, the hybrid uses a Continuously Variable Transmission (CVT). The transmissions are the cause of the indequate acceleration I mentioned, but they seem to be perfectly suited to electric motors.
The entire XV line-up is all-wheel drive, and that includes the hybrid. This is not a four-wheel-drive system, which large off-road vehicles like the Toyota LandCruiser use, so I wouldn’t try to cross the Simpson Desert in an XV. Really the XV’s all-wheel drive is designed for on-road duties but occasional dirt and gravel tracks are fine, as long as you don’t get too wild. Still, it is truly one of the most sure-footed small SUVs for the price that I’ve driven, and the impressive 220mm of ground clearance will let you head down bumpy tracks that would tear the innards out of other small SUVs.
The X-mode function is activated by pressing a button and the throttle, transmission and drive to the wheels is managed automatically to maintain optimum traction.
Where the Hybrid is at a disadvantage against its fellow XV family members is in terms of towing. The braked towing capacity is 130kg less than a straight-petrol XV at 1270kg.
Volkswagen Tiguan
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.
Safety
Subaru XV
Perhaps the best reason for buying the hybrid version of the XV is for its advanced safety tech. Only the XV Hybrid and the top-of-the-range 2.0i-S come with blind-spot monitoring, auto high beams, lane-changing assist, rear cross traffic alert and reverse AEB.
That’s in addition to what’s standard on all XVs, such as forward AEB, lane-departure warning, lane-keeping assistance, lane-sway alert, lead vehicle start and brake-light recognition.
The XV Hybrid also comes with adaptive cruise control.
A note about the reverse AEB – it works, really well and stopped me from backing into a tree while filming the video above.
The Subaru XV was given a five-star ANCAP safety rating when it was tested in 2017.
For child seats, you’ll find three top-tether anchor points and two ISOFX mounts across the rear row.
Despite all this incredible safety equipment you don’t get a spare tyre on the XV Hybrid – not even a space saver, as you do on the other grades. Instead, you get a puncture-repair kit, which consists of a tyre-inflation device and a type of sealant. I’ve had punctures before while driving cars from other brands and the repair kit didn’t fix the leak. For this reason, the XV hybrid is losing marks here – you can’t beat a real spare tyre, especially in Australia where distances are vast, towns are remote, the climate is extreme and a breakdown could be a life and death situation.
Volkswagen Tiguan
The new-generation Tiguan was recently awarded a maximum five-star Euro NCAP safety rating and has significantly increased its array of equipment.
Even the base Tiguan in Europe gets auto emergency braking with vulnerable user protection, lane keep assist, and blind spot monitoring with rear cross traffic alert.
There is also now front cross-traffic alert, a more thorough driver attention monitoring system, traffic sign recognition, and a safe exit warning system, alongside the usual array of stability, traction, and brake aids.
Airbag coverage has also been expanded to include a centre airbag up front, and full side airbags to join the usual curtain set.
Tune back in when the Tiguan launches in Australia to see if its maximum European rating carries across to ANCAP.
Ownership
Subaru XV
The Subaru XV Hybrid is covered by a five-year/unlimited-kilometre warranty, while the battery for the electric motor is covered by an eight-year/160,000km warranty. There’s also a five-year/62,500km capped-price-servicing program. Servicing is recommended at 12 month/12,500km intervals, with the first capped at $350.25, the second at $588.31, the third at $354.83, the fourth at $784.77, and the fifth at $354.86 for a total of $2433.02 over the five years.
Volkswagen Tiguan
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.