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When Volkswagen’s hybrid vans, people movers are due in Australia

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Volkswagen is well progressed in its efforts to revitalise its entire commercial lineup, and that means we’ll likely soon see plug-in hybrid (PHEV) and fully electric versions of its vans and people movers in Australia.

The German brand recently said it wanted to be the first to sell a small PHEV van in Australia, which would be the Ford Transit Connect-based Caddy eHybrid.

Volkswagen this month confirmed to CarExpert that this model will soon be available overseas, but is “under consideration” locally.

There will also soon be a PHEV version of the T7 Multivan revealed overseas, while the Ford Transit Custom-based Transporter is set to launch with both PHEV and electric vehicle (EV) setups within the next year to join the all-electric ID. Buzz.

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  • T7 Multivan

Volkswagen Group Australia managing director Karsten Seifert told CarExpert the breadth of the range was down to customer demand.

“The new Transporter will be with all three drivetrains by next year … [because] you see the different demands of our customers, we talk about private customers, we talk about fleet customers,” he said.

Mr Seifert says a concern for fleet customers is carbon dioxide emissions, creating a business case for electrified commercial drivetrains.

“They are quite pleased with the ID. Buzz currently, because they love the range, they love the driving pleasure, they love the quality and the trust in their business, you have to earn money with that,” he said.

“The new Transporter, we will make it the same way. We offer all opportunities for retail and fleet customers, so they can make the choice.”

  • T7 eTransporter

The updated Transporter is set to launch in Australia with both turbo-diesel and EV powertrains in the second half of 2025.

Diesel models will comprise a 2.0-litre engine producing 125kW and 390Nm with either front- or all-wheel drive, while EVs (twinned with the e-Transit Custom) will utilise an 83kWh battery, offer 210kW/415Nm, powering the rear wheels only.

PHEV variants – due to arrive in the third quarter of 2026, a whole year after the Transit Custom PHEV – will combine a 2.5-litre petrol engine with an electric motor, producing up to 169kW of power and driving the front wheels.

Volkswagen Commercial Vehicles executive vice president of sales and marketing, Lars Krause, told CarExpert that the three powertrains would also complement the range of bodies available for the Transporter.

“The new Transporter family, that’s a commercial vehicle. You can get it as a Caravelle with nine seats, or as a panel van, or as a double-cabin van – the market introduction will be in August,” he said.

As for the T7 Multivan, which now rides on the Volkswagen Group’s MQB Evo passenger car platform, it’s set for a PHEV powertrain within the next 12 months.

“Multivan is available now in the diesel version, and the plug-in hybrid, with 4Motion drivetrain, is coming latest early next year,” Mr Krause said.

  • ID. Buzz Cargo

“We’re planning to even already bring it this year to the market, but latest early next year.”

As it stands, Volkswagen Australia’s biggest concerted push into electrified vehicles is being carried out by its commercial division, and not through its more widespread passenger vehicles.

The brand’s current electric and hybrid passenger cars available locally are limited to the newly launched ID.4 and ID.5 SUVs, as well as the Touareg R PHEV.

Its whole commercial range, meanwhile, has been confirmed to be gaining some form of electrification at some point, bar the large Crafter van and Amarok ute – though that could change for the latter.

There are further passenger EVs and PHEVs available overseas, including the Golf GTE PHEV and Tiguan eHybrid PHEV. There has been no official word that suggests any could come to Australia.

That being said, other Volkswagen Group brands like Cupra and Audi are making larger inroads towards electric and hybrid vehicles.

Cupra has the Formentor VZe and Leon VZe PHEVs, while Audi has several cars, including the Q6 e-tron EV and Q8 TFSI e PHEV.

MORE: Volkswagen wants to launch Australia’s first small PHEV van
MORE: 2025 Volkswagen Transporter – EV and PHEV vans locked in for Australia

MORE: Volkswagen Amarok EV being considered, PHEV no closer
MORE: Why does Volkswagen need so many people movers?

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