The 2020 Volvo XC40 AWD with the 2.0L 4-cylinder engine gets 25 MPG combined, average for its class. It’s not trying to be the most fuel-efficient, but it isn’t a gas guzzler either. This fuel economy reflects the XC40’s goal: comfortable, safe, and stylish transport for people in cities and suburbs who sometimes need all-wheel drive and enjoy a premium driving experience, even if it involves using a little more gas. XC40 buyers know they’re paying more for the Volvo brand, advanced safety, and Scandinavian design; fuel efficiency is usually not their first concern.

City and highway performance

The EPA estimates for city and highway driving show more details about the XC40’s gas consumption. In the city, the XC40 AWD gets 22 MPG. This reflects the stop-and-go traffic, frequent acceleration, and idling common in city commutes. The 30 MPG highway rating is better and works well for longer trips, showing the engine’s ability to cruise efficiently at higher speeds. The eight-speed automatic transmission helps in both situations, keeping the engine in its best power range. However, aggressive driving will quickly lower these numbers; this vehicle doesn’t reward hard acceleration with good fuel economy.

Annual fuel cost

The EPA calculates the annual fuel cost for the 2020 Volvo XC40 AWD to be $2,300. This number is based on driving 15,000 miles per year, using the EPA’s combined fuel economy estimate, and using national average fuel prices. Remember that this is just an estimate. Your actual fuel costs will change depending on your driving, the fuel you use, and local fuel prices. For example, someone mainly driving in the city with frequent short trips will probably go over this number, while someone who mainly drives on the highway may come in under it. It’s still a useful way to compare the XC40’s operating costs to other vehicles in its class. Potential buyers can find all Volvo fuel economy data, including estimates for other Volvo models, to get a wider view.

Real-world expectations

While the EPA estimates give a standard way to compare vehicles, real-world fuel economy can be different. Many drivers report numbers slightly below the EPA’s combined estimate, often in the 22-24 MPG range in mixed driving. This can happen because of driving habits, terrain, and even the tires. The XC40’s turbocharged engine can be quick, but it also encourages more aggressive driving, which uses more fuel. The all-wheel-drive system, while giving better traction in bad weather, also adds weight and reduces efficiency a bit. Keep in mind that the XC40’s smaller gas tank means more trips to the gas station, even if the MPG numbers are reasonable.

How it compares

The XC40’s fuel economy is similar to other luxury subcompact SUVs, but it’s important to check specific competitors. For example, the BMW X1 xDrive28i gets a similar 25 MPG combined, the same as the XC40. The Audi Q3 45 TFSI Quattro gets a bit less, at 23 MPG combined. The Lexus UX 250h, a hybrid, does much better than the XC40 with 41 MPG combined, but it drives differently. The Mercedes-Benz GLA 250 4MATIC also matches the XC40’s 25 MPG combined. These comparisons show that the XC40’s fuel economy is okay for its class. Buyers who want better fuel efficiency might consider the hybrid Lexus. Checking the XC40 MPG across all years can show small differences in efficiency by model year.

Tips to maximize efficiency

Drive smoothly and consistently. Avoid hard acceleration and braking, letting the XC40’s engine and transmission work efficiently. Gently using the gas pedal and predicting traffic can greatly improve MPG.

Regular maintenance is important. Make sure your tires have the correct air pressure, as this reduces rolling resistance. and keep up with scheduled engine maintenance, including oil changes and air filter replacements.

Reduce extra weight. Remove anything from the vehicle that you don’t need every day, as extra weight uses more fuel. Avoid using roof racks or cargo carriers unless you need them, as they create wind resistance that hurts fuel economy.

Use the Eco drive mode. The XC40 has different driving modes, including Eco, which improves fuel efficiency by changing vehicle settings. Using this mode when you can will give you better MPG.

Consider tire choice when you replace them. Low rolling resistance tires improve fuel efficiency without losing safety or handling. Choosing the right tire can slightly improve your fuel economy.