Volvo Cars has revealed its XC90 PHEV will start at $68,100 before any tax incentives.

Considered the world’s first seven passenger plug-in hybrid electric vehicle, Volvo will bring its XC90 T8 Twin Engine to the United States this summer.

This PHEV version of the new XC90 is powered by Volvo’s 2.0 liter supercharged and turbocharged Drive-E engine, which is combined to a rear axle electric motor.

SEE ALSO: All Future Volvos To Offer Hybridization

Known as the T8, this SUV has 394 horsepower and can do the 0-60 mph in 5.7 seconds.

The XC90 T8 can be driven in a variety of modes; Volvo has listed them as follow:

  • Hybrid: As the default mode, it is suitable for everyday use and the XC90 will automatically alternate between drawing power from the 2.0 liter supercharged and turbocharged Drive-E engine and the electric motor to deliver the optimum overall fuel economy.
  • Pure electric: This mode is used primarily in a city environment although it can power the car up to highway speeds. When the high-voltage battery is fully charged, it serves as the car’s sole energy source, powering the electric motor over the rear axle. Preliminary testing based on EPA criteria produced an estimated range of 17 miles using just electricity, which represents a high percentage of drivers’ typical daily usage.
  • Power mode: This utilizes the combined performance of the combustion engine and the electric motor. On start-up, the XC90 T8 takes advantage of the electric motor’s superior response and instant torque curve, while the combustion engine gets up to speed. This combination offers better torque at lower revs, which is equivalent to that of a large displacement engine.

Being a PHEV, XC90 T8’s consumers may be eligible for a federal tax credit up to an estimated $4,600 in addition to other local and state incentives.


The XC90 T8 Twin Engine Plug-In Hybrid is available in three models, Momentum offered at $68,100, Inscription at $71,600 and R-Design at $70,000, These MSRP do not include any tax credit incentives or $995 destination charge.

The XC90 T8 will arrive at Volvo retailers in North America this fall, but the company said test drives of the XC90 T6 will be available at Volvo retailers shortly.