2026 Volvo XC40 Review

Affordability is a hot topic as 2025 draws to a close, and while most Americans are consistently concerned about living costs, people considering luxury goods are also thinking about the price they will pay. That is where small luxury SUVs like the 2026 Volvo XC40 have an opportunity. Not only do they reach down to convince people of average means to splurge, but they can also serve as a landing pad for wealthier consumers hedging against an economic downturn.

Photo: Christian Wardlaw

The Volvo XC40 is not one of the new kids on the block. It debuted for the 2019 model year, and aside from adding mild hybrid engines in 2023, it has seen no significant changes. The 2026 Volvo XC40 gets new infotainment technology, standard adaptive cruise control, a Black Edition trim level, and new Aurora Silver and Forest Lake paint colors.

The 2026 XC40 is available in B4 and B5 model series with Core, Plus, and Ultra (B5 only) trim levels. Volvo bases the new XC40 Black Edition on the B5 Ultra, and it features a blacked-out exterior appearance. Prices range from $41,195 to $53,195, including the destination charge.

What Our Independent Expert Drove for This Volvo XC40 Review - Find the best Volvo XC40 deals!

For this 2026 XC40 review, Volvo provided a B5 test vehicle equipped with the Ultra trim and the following options:

21-inch wheels
The climate package

The test vehicle's manufacturer suggested retail price (MSRP) was $57,040, including the $1,295 destination charge to ship the crossover SUV from the Ghent, Belgium, assembly plant to a local dealership. The price does not reflect any current rebates, incentives, or price adjustments since Volvo manufactured the test vehicle.

Independent Expert Opinion: Design, Comfort, and Utility

Photo: Christian Wardlaw

Design is a Volvo XC40 hallmark. From its chunky, unusual exterior styling to its clean, minimalistic Scandinavian interior aesthetic, this SUV is for people who appreciate form as well as function. The detailing is particularly impressive. From the perfectly shaped and located door release handles to the soothing glow of the ambient cabin lighting, the XC40 displays thoughtful consideration on Volvo's part.

In addition, the front seats are exceptionally comfortable, even when spending hours in the XC40. Volvo says it collaborated with orthopedic surgeons for their design, and it shows. They are also heated, but Volvo does not offer seat ventilation in the XC40.

That is unfortunate, because this Volvo suffers from significant solar heating through its window glass and panoramic sunroof. I tested this SUV in Los Angeles in the fall, and on a sunny 77-degree day, I had the dual-zone automatic climate control set to 62 degrees and still felt uncomfortably warm. My test vehicle had the Blond leather upholstery, too. Imagine if it had the Charcoal color.

The XC40's back seat offers good headroom, legroom, and foot room. Occupants benefit from large air-conditioning vents, and my test vehicle's heated outboard seats would undoubtedly be useful in winter. However, comfort is elusive because the rear seat cushion is too low and too flat, offering very little support. It is a nicely upholstered park bench.

Storage space is generous throughout the cabin, and all but the glove compartment have finishing to reduce noise, vibration, and harshness. Volvo lines the glovebox with hard, slippery plastic.

The cargo area opens to reveal 20.1 cubic feet of space, with deep storage wells on either side of the load floor. Under the floor, a sizable compartment holds items you would prefer to keep separate, while a seatback pass-through allows you to carry long items and passengers at the same time. Alternatively, you can fold the back seats down to create a maximum of 57.5 cubic feet of cargo space.

Independent Expert Opinion: Volvo Car UX Infotainment System Review

Photo: Christian Wardlaw

Volvo is rolling out new infotainment technology to all its models in 2026. The automaker claims the Volvo Car UX system is more intuitive and enjoyable to use, and provides access to the information you need, when you need it.

The underlying technology supporting Volvo Car UX is a next generation Snapdragon Cockpit Platform from Qualcomm Technologies. Volvo says it allows the Google Built-in infotainment system to respond twice as fast as before, while rendering graphics ten times quicker.

This tech powers a 12.3-inch digital driver display and a 9-inch center touchscreen. The infotainment system includes:

Google Built-in (with a complimentary four-year subscription to services)
- Google Maps
- Google Assistant
- Google Play Store
Wired Apple CarPlay and Android Auto smartphone mirroring
SiriusXM satellite radio
HD radio
A wireless smartphone charger
The Volvo Cars App with access to:
- Climate pre-conditioning
- Remote engine start
- Remote door lock/unlock
- Vehicle location

Housed in a traditional binnacle, the 12.3-inch digital driver display emphasizes simplicity and sophistication, with the navigation map centered and fading to black at the edges, allowing it to bleed into the speed and engine rev displays. For an even more minimalist appearance, drivers can eliminate the map in favor of simple directions appearing in a black center panel.

To the right is the 9-inch touchscreen, which provides access to most vehicle settings and controls. It is a familiar Volvo presentation, in portrait orientation with a Home button at the bottom of the display. Volvo locates the climate controls along the bottom of the screen.

Volvo organizes the content differently from previous setups. Three data panels for navigation, entertainment, and smartphone functionality make it easy to select a main menu, with icons providing quick access to connectivity, cameras, driving modes, and Google Assistant. That sounds like a lot of information to cram onto a 9-inch screen, but I did not find the relatively small display to be problematic.

That is partly because the Google Assistant delivers an outstanding performance. This digital voice assistant responds almost instantly, is accurate, and is even predictive in some situations. With the complimentary four-year data plan and access to the Google Play Store and streaming music apps, you might not care that you need a cable to connect a smartphone and use Apple CarPlay or Android Auto. That is because you will not want to use them.

I recommend the Harman Kardon audio system, which is an upgrade on the XC40 Plus and standard with the Ultra and Black Edition trim levels. It offers 13 speakers and rich sound quality.

Independent Expert Opinion: Driving the 2026 Volvo XC40

Photo: Christian Wardlaw

Volvo equips the 2026 XC40 with a turbocharged 2.0-liter four-cylinder engine. In B4 models with front-wheel drive (FWD), it generates 194 horsepower and 221 pound-feet of torque. The B5 all-wheel-drive (AWD) models are more powerful, with 247 hp and 258 pound-feet of torque. Volvo claims the B4 FWD takes 8.1 seconds to accelerate to 60 mph, while the B5 AWD requires just 6.1 seconds. An eight-speed automatic transmission is standard.

Both versions of the XC40 feature 48-volt mild hybrid technology. According to the Environmental Protection Agency (EPA), the B4 FWD gets 27 mpg in combined driving, while the B5 AWD should get 26 mpg. During the evaluation drive, my B5 AWD test vehicle averaged 23.4 mpg, which is unimpressive.

It is possible the test vehicle's oversized 21-inch wheels and tires contributed to that efficiency shortfall. They cost almost $4,000, unnecessarily replacing a perfectly good 20-inch design that is standard on the XC40 Ultra. Additionally, they added road noise and tire slap on the highway while negatively impacting the ride quality. I recommend against this expensive and compromising option.

With that said, they sure do provide impressive grip when rounding curves and corners at speed. But tackling twisty roads is not where the XC40 shines the brightest. It lacks a sporty driving mode and paddle shifters, so there is nothing a driver can do to reduce or eliminate turbo lag and surge. The steering is light and relatively slow, and the brake pedal is uncommunicative. On smooth pavement, the suspension controls body motions reasonably well, but on lumpy mountain roads, it allows ride chop, lateral weight movement, and head toss.

Select a less technical, better-maintained road, and the XC40 can feel athletic. Still, given its compact size and excellent outward visibility, this Volvo is best suited to city driving. During a trip into West L.A., it proved easy to park and maneuver in a variety of situations. Only the uncommunicative brake pedal and firm ride on the 21-inch wheels were sources of irritation in an urban environment.

On the highway, the massive wheels and tires telegraph every pavement scar, and my test vehicle suffered a distinct vibration at speed. The cause was unclear, as it could have been a wheel out of balance, tire tread incompatibility with the pavement, or the freeway surface itself. That, combined with the added road noise and tire slap, did not make the XC40 seem particularly luxurious.

Independent Expert Opinion: Volvo Pilot Assist Safety Feature Review

Photo: Christian Wardlaw

Volvo equips the 2026 XC40 with the following advanced driver assistance systems (ADAS):

Forward collision warning
Pedestrian and cyclist detection
Automatic emergency braking
Post-collision braking system
Lane departure warning
Lane keeping assistance
Adaptive cruise control
Blind spot warning with steering assistance
Rear cross-traffic warning with automatic braking
Oncoming Lane Mitigation (steering assistance to help avoid partial head-on collisions with oncoming traffic)
Front and rear parking sensors

Pilot Assist is exclusive to the XC40 Ultra and Black Edition models. It is a semi-autonomous driving-assistance system that combines adaptive cruise control, lane centering assistance, and automatic emergency stop assistance systems. It operates only if drivers keep their hands on the steering wheel and occasionally add small steering inputs, which tell the technology that they are actively monitoring the situation and prepared to take control if necessary.

During the evaluation, Pilot Assist worked well in light-traffic/high-speed and heavy-traffic/low-speed conditions. In between, when driving in moderately heavy traffic with sudden slowing events and other motorists constantly lane shopping for an advantage, the Volvo's tech was less satisfying to use. Primarily, I could not predict when it might initiate braking and to what degree it would brake. I turned it off under those driving conditions, which are common in L.A.

Pilot Assist has another flaw. The steering wheel cannot detect your hands on the rim, so drivers must make minor steering adjustments to signal to the technology that they are paying attention and ready to assume control if necessary.

Unfortunately, Pilot Assist aggressively resists those small steering inputs until it decides not to. At that point, with the driver trying to muscle past Pilot Assist's resistance to choose a different line, the steering goes slack without warning, and the driver's resulting input is too dramatic, leading to erratic driving.

Overall, I did not find the XC40's Pilot Assist system to be among the more sophisticated semi-autonomous ADAS available today.

As for safety ratings, the XC40 earns a maximum five-star overall crash-test rating from the National Highway Traffic Safety Administration (NHTSA). The NHTSA also gives the SUV a five-star rating in each individual assessment except for the rollover resistance test, which resulted in a four-star rating.

As of this writing, the Insurance Institute for Highway Safety (IIHS) has not rated the XC40 for the 2026 calendar year.

What Are the 2026 Volvo XC40 Competitors?

According to the J.D. Power 2025 Initial Quality Study (IQS), the Audi Q3 ranks highest in the Small Premium SUV segment. The Lexus UX and the Mercedes-Benz GLA are the next highest-ranked models.

According to the J.D. Power 2025 Automotive Performance, Execution and Layout (APEAL) Study, the BMW X1 ranks highest in the Small Premium SUV segment. The Genesis GV60 is the next highest-ranked model.

Other 2026 XC40 competitors include the BMW X2 and Land Rover Range Rover Evoque.

Independent Expert Opinion of the 2026 Volvo XC40 - Find the best Volvo XC40 deals!

The 2026 Volvo XC40 is a stylish, likeable small luxury SUV that is perfectly suited to a role as an urban runabout. However, for every positive attribute, a negative one threatens to cancel it out.

Highlights include satisfying acceleration, front seat comfort, and an intuitive infotainment system. Downsides include unimpressive fuel economy, rear seat discomfort, and unremarkable ADAS. Volvo also gets many details exactly right, such as ambient cabin lighting, while getting others wrong, namely wired Apple CarPlay and Android Auto connectivity.

Choosing a Volvo XC40 over other small luxury SUVs comes down to the vibe. If you love the styling, the interior design, and the quality of the materials, you may be willing to overlook some of the less appealing things about this Volvo.

Christian Wardlaw is a veteran automotive journalist with 30 years of experience in the field and has held automotive editorial leadership positions at Edmunds, J.D. Power, and The New York Daily News. Today, Chris owns a content agency called Speedy Daddy Media, and in addition to JDPower.com, his work appears on Capital One Auto Navigator, CarGurus, and Edmunds.