In January, we reported that the Cadillac XT5 PHEV (plug-in hybrid) was in development. Now, we bring you spy photos of a test vehicle taken during cold weather testing in northern China, equipped with a plug-in hybrid powertrain.
Finer details of the prototype, such as the powertrain and electric range, are still available at the moment, but we know that it will use a 1.5-liter turbocharged four-cylinder engine paired with a 165 kW electric motor. But the more important question is whether the Cadillac XT5 PHEV will make it to America.
Before that happens, the luxury brand must first present a non-PHEV, ICE-powered XT5 to the United States. You see, Cadillac initially planned to keep the second generation XT5 only in China, without bringing it to North America. Those plans have changed, and the model is heading to the US market thanks to important changes in its product portfolio, supported by low demand for electric vehicles.
As for whether or not a PHEV model will make it to the US, we expect this to happen – although this has not been confirmed by Cadillac at the time of this writing. However, it’s worth noting that China is the most competitive market for luxury brands, and the product portfolios offered there don’t always align with those in America.
For example, the Cadillac XT5 was the brand’s best seller a few years ago in the US, but has since fallen from grace, with the Lexus RX, BMW Ironically, this is a direct result of a product that has been around for a long time and is a generation behind its direct competitors… but we digress. By comparison, the SAIC-GM factory in Shanghai is already running double shifts to meet demand for the new second-generation XT5 in China. This is precisely why the second-generation XT5 is already on sale in China and not yet in the US, and if not for the brand’s throwback to EVs, we might never have gotten one at all.
Additionally, the Chinese market currently favors the new energy vehicle (NEV) segment, which saw nearly 1.9 million vehicles sold last year. American buyers fall into a different camp, with the gas-guzzling Escalade being the brand’s best-selling product. Perhaps this is why the XT5 PHEV test vehicle was also equipped with Level 3 autonomous driving technology, which will reportedly debut on the 2028 Cadillac Escalade IQ in the US. By comparison, the Escalade isn’t offered in China (at all).
