New VW ID. Buzz and VW T7 Multivan arriving now in Australia

The Australian automotive landscape is set for a major shift with the arrival of two highly anticipated Volkswagen models: the all-electric VW ID. Buzz, hitting Australian roads today (20th March 2025) and the versatile VW T7 Multivan, arriving April 2025). The new Transporter and Caravelle are expected but not yet announced. 

These new models mark a significant evolution from the long-running VW T6.1 Multivan people mover. It signals Volkswagen’s strategic move toward electrification and enhanced hybrid capabilities. While the ID. Buzz embraces a fully electric future, the T7 Multivan blends hybrid* efficiency (in Europe) with traditional combustion power, offering Australian buyers a modern interpretation of the classic VW people mover.  

*The Plug-in Hybrid is not yet confirmed for Australia

Introduction to the new Volkswagen passenger Van line-up 

Volkswagen has long been synonymous with practical and reliable people movers, dating back to the iconic VW Kombi. The T6.1 Multivan has been a staple on Australian roads, known for its spacious interior, robust build, and versatile configuration options. However, with increasing pressure to reduce emissions and meet the demands of modern driving, Volkswagen has introduced two distinct yet complementary successors.  

1. VW ID. Buzz  – A fully electric van that draws inspiration from the original Kombi, the ID. Buzz represents a major step toward Volkswagen’s goal of becoming a leader in electric mobility.  

2. VW T7 Multivan – A hybrid-focused model* that combines modern plug-in hybrid technology with the practicality and versatility expected from the Multivan line. However, the plug-in hybrid (PHEV) version is not yet confirmed for the Australian market, leaving the turbo-diesel TDI360 as the likely initial offering (up 20Nm on the outgoing TDI340 T6.1 Multivan)

Made in Germany - VW T6.1 now superceded by VW ID Buzz and VW T7 Multivan

*VW ID Buzz and VW T7 Multivan on their way to Australia from the VW Commercial Vehicle Plant in Hannover *Image courtesy Volkswagen Nutzfahrzeuge 

Both models are being produced at Volkswagen's historic factory in Hannover, Germany — a nod to the brand's heritage and commitment to quality manufacturing. Meanwhile, the T6.1 Transporter and Caravelle are being phased out, with their replacements being produced by Ford at the Otosan factory in Turkey.

The new Transporter and Caravelle will share a platform with the Ford Transit Custom (V710) and Ford Tourneo, reflecting the growing trend of strategic collaboration in the automotive sector.  The decision to undertake this collaboration dates back to the late 2010s and is now only being realised in our market, not dissimilar to the Ford Ranger and VW Amarok collaboration that is also an outcome of the agreement between Ford Motor Company and Volkswagen AG. 

VW ID Buzz – A Nostalgic Return to the Future

The VW ID Buzz is more than just an electric vehicle — it's a modern reimagining of the beloved Kombi, designed for the EV era. Available in both short-wheelbase (SWB) and long-wheelbase (LWB) versions, the ID Buzz is built on Volkswagen's Modular Electric Drive Matrix (MEB) platform, which is shared with other VW electric models like the ID.4 and ID.3.  

The ID Buzz stands out with its retro-inspired design, featuring a clean, minimalist interior, advanced connectivity, and sustainable materials. The fully electric powertrain offers a quiet, smooth ride, while the spacious interior makes it ideal for families and commercial use alike.  

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VW T7 Multivan – Hybrid Versatility Meets Classic Practicality

The T7 Multivan represents the next step in Volkswagen's legacy of practical people movers. Built on the Volkswagen Group’s MQB platform (which underpins the Golf and other VW passenger cars), the T7 Multivan offers a significant technological leap over the T6.1.  

While the T7 Multivan is available with both plug-in hybrid (PHEV) and turbo diesel (TDI) options in Europe, **Volkswagen Australia has yet to confirm the availability of the PHEV variant**. This means that the TDI360 diesel version is likely to be the first offering for Australian buyers, providing a balance of fuel efficiency and towing capability, making it a strong contender for Australian families and businesses seeking a versatile vehicle.  Volkswagen Australia has confirmed additional models will be available. 

Europe recently announced the e-Hybrid 4motion model and we wait with anticipation for the announcement of this important model for Australia, given the significant uptake of 4motion for the Multivan following the expansion of the range of 4motion for the T6.1 range with the introduction of the T6.1 TDI340 Comfortline 4motion in both SWB and LWB formats. 

The Multivan nonetheless remains an important model to combine day-to-day practicality along with the perfect platform for recreation and weekend getaways.

The T7 Multivan also boasts a more flexible seating arrangement, improved driver assistance systems, and enhanced infotainment options, ensuring it remains a top choice for those prioritising comfort and functionality.  

Production Strategy and Global Collaboration

Volkswagen's decision to produce the ID Buzz and T7 Multivan in Hannover reflects the company’s commitment to retaining high-quality production in Germany. However, the move to produce the new Transporter and Caravelle replacements at Ford's Otosan factory in Turkey signals a shift toward more cost-effective manufacturing and shared platform strategies.  

The Ford Transit Custom and Tourneo (V710) platform will underpin the new Transporter and Caravelle, offering advantages in economies of scale and technological development. This partnership allows Volkswagen to focus resources on developing electric and hybrid models while still delivering reliable commercial and passenger vehicles.  

What It Means for the Australian Market

For Australian buyers, the arrival of the ID Buzz and T7 Multivan means greater choice and access to cutting-edge automotive technology. The recent efficiency standards finally introduced on January 1 2025 (explained here) known as the NVES (by the federal government legislation (NVES Efficiency Standards) finally provide the local subsidiary (Volkswagen Group Australia) the arguments with head office to bring the current technology to Australia. 

The ID Buzz represents an attractive option for those looking to transition to electric mobility, while the T7 Multivan retains the diesel-powered versatility that has made the Multivan a favourite among Australian families and businesses.  

- The ID Buzz will appeal to eco-conscious buyers and those seeking a stylish, practical EV, recalling the famous and iconic lines of the original VW Kombi 

- The T7 Multivan will continue to cater to drivers who require longer range and towing capability without sacrificing comfort and technology.  

However, the uncertainty around the availability of the plug-in hybrid T7 Multivan in Australia may affect buyer decisions. The diesel TDI360 remains a solid choice for those seeking dependable long-range performance and towing capability.  

Moreover, the transition to Ford-based platforms for the Transporter and Caravelle ensures that Volkswagen can maintain competitive pricing and consistent quality in the commercial and passenger vehicle segments.  

The arrival of the VW ID Buzz and T7 Multivan marks a significant turning point for Volkswagen in Australia. With the ID Buzz embracing the electric future and the T7 Multivan blending hybrid versatility with classic Multivan practicality, Australian buyers are set to benefit from greater choice and cutting-edge automotive innovation. While the transition of the Transporter and Caravelle to Ford’s production facilities may raise some eyebrows, it reflects the pragmatic realities of modern vehicle production.  

Ultimately, the combination of electric and hybrid* options, enhanced performance, and improved technology ensures that Volkswagen remains at the forefront of the Australian automotive market — ready to meet the evolving needs of drivers for years to come.

*The Plug-in Hybrid is not yet confirmed for Australia