Refining the Refined: The 2025.5 Volvo XC90 T8 AWD Ultra

It is hard to make something great.

It's arguably harder to make something already great better.

Since 2003, Volvo's XC90 has been a paragon of virtue, the quiet, thinking person's choice for a premium SUV. In a lot of ways, it has defined the segment and set the standard for SUVs outside the premium class. Would the Kia Telluride exist if the XC90 hadn't?

You can go back through 17 years of my reviews of the Volvo XC90 (I brought my work online in 2008) and not find a single bad write-up. That certainly includes my last review, of the 2023 model.

This is the 2025.5 (not a typo) Volvo XC90. There's a subtle visual freshening that makes an already attractive vehicle even better-looking, including a sleeker, better integrated front grille and lights.

What used to be known as the XC90 Recharge is now the XC90 T8. It's still a plug-in hybrid, still with 455 horsepower, 523 lb-ft of torque and 33 miles of pure electric range per charge.

Zero to 60 happens quick---4.5 seconds. And if you use up the electric charge during a drive, the hybrid delivers an EPA-estimated 27 miles per gallon, combined city/highway.

The updated 2025.5 model also has an improved suspension and more noise insulation. The XC90 was always a nice ride, but now it's among the nicest.

There's 12.6 cubic feet of cago space behind the third-row seats. With those folded, it's 37.4.

Second-row legroom is generous at 37 inches, but the third row is best left for kids only, with just 31.9 inches.

The interior gets a major refresh in the 2025.5 XC90. That includes a larger, more comprehensive instrument display in front of the driver and a larger center touch screen with a simplified layout that solves most what has been really my only gripe with the XC90.

There are still too many functions contained in the screen, but now you don't have to click and scroll through multiple menus to access them. It is a massive improvement.

The base price of the 2025.5 Volvo XC90 T8 AWD in top-of-the-line Ultra trim is $80,700 ($81,995), as of this writing. Tariffs have gone into effect, and by the time you read this, the actual retail price could be considerably higher.

There is zero domestic U.S. content in an XC90, and the parts sourcing is complex, with 35% of the components from Sweden, 15% from Finland and the transmission parts coming from Japan, with final assembly of the vehicle in Sweden.

Standard equipment includes the things already discussed, plus 21-inch wheels, a four-year subscription to Volvo's Digital Services Package including Google Built-In with Google Maps, Google Play Store and Google Assistant, Volvo Remote App Services including remote start and remote lock/unlock, Apple CarPlay, a trial subscription to SiriusXM satellite radio, a Harman Kardon premium audio system, wireless device charging, a laminated panoramic sunroof with power sunshade, Nappa leather seating surpaces, heated and ventilated front seats, heated rear seats, four-zone automtatic climate control, a heated steering wheel, an Orrefors crystal gear shifter, head-up display, laminated side glass, rear door sunblinds, front seat passenger memory and power cushion extension and a comprehensive suite of active safety features.

Our test vehicle did have some extra-cost options. The Lounge Package (massaging front seats and a Nubuck headliner is $1,700, active chassis with air suspension added $1,800 and the Bowers & Wilkins Premium Sound system was an additional $3,200 (and I'd argue worth it).

The bottom line on the window sticker (pre-tariffs) was $88,695.

Yes, that's a steep price tag, but after a week of driving the 2025.5 Volvo XC90, I'd argue it makes a case for being a solid value even at an elevated price.