Cadillac’s 2025 XT4 continues to carve out its unique position in the luxury crossover market, occupying a distinctive space between subcompact and compact segments. This strategic positioning, combined with recent technological upgrades, creates an intriguing option for buyers seeking a right-sized luxury SUV, though some compromises remain evident.
Following its 2024 refresh, the XT4 maintains its sophisticated exterior design while building upon last year’s significant interior update, which introduced a striking 33-inch curved LED display screen. This impressive technology piece spans the dashboard, incorporating both the digital instrument cluster and infotainment system, running on the same advanced interface found in Cadillac’s electric Lyriq.
Power comes exclusively from a 2.0-liter turbocharged four-cylinder engine, producing 235 horsepower and 258 pound-feet of torque. While this powerplant delivers adequate performance with 0-60 mph times in the low seven-second range, it falls slightly behind competitors that typically achieve times in the six-second range. The engine pairs with a nine-speed automatic transmission, offering front-wheel drive as standard with optional all-wheel drive available across the lineup.
For 2025, Cadillac has streamlined the XT4’s trim structure by eliminating the base Luxury trim, making the Premium Luxury the new entry point at $41,990, with the Sport trim starting at $42,790. This repositioning aligns with luxury market expectations, though many features typically associated with premium vehicles remain optional extras, including heated seats, a heated steering wheel, and wireless charging.
The XT4’s dimensional strategy proves both beneficial and challenging. Its longer wheelbase compared to subcompact competitors translates to impressive rear legroom, surpassing even some larger vehicles in the segment. However, this advantage is somewhat offset by an unusually upright rear seatback that doesn’t recline, potentially compromising passenger comfort on longer journeys.
Cargo capacity reveals similar contradictions, offering 22.5 cubic feet behind the rear seats but a maximum of just 48.9 cubic feet with seats folded, placing it closer to subcompact competitors. This limitation stems from the vehicle’s relatively low roofline and restricted vertical space above the seat line, making it less suitable for bulky cargo transportation.
The driving experience presents a mixed bag of refinement and quirks. The turbocharged engine impresses with its smoothness and low-end torque once underway, though initial throttle response varies between overly relaxed in Tour mode and somewhat aggressive in Sport mode. The steering similarly lacks consistency, offering neither the sharp responsiveness of Cadillac’s sport sedans nor the effortless comfort of traditional luxury vehicles.
Where the XT4 truly shines is its ride quality, achieving an excellent balance between comfort and control. Both the available continuously variable damping system and the standard conventional dampers deliver composed handling while effectively managing road imperfections, creating a refined driving experience that befits the luxury segment.
The interior technology integration proves successful, with the new curved display offering intuitive operation and impressive functionality. The inclusion of Google Built-In services, wireless Apple CarPlay and Android Auto, and thoughtfully designed physical controls for climate functions enhances the user experience. However, the overall interior design and material quality fall short of class leaders, with an abundance of basic plastics detracting from the premium ambiance.
Safety features receive a welcome boost for 2025, with the Active Safety Package now standard across all trims. This comprehensive suite includes adaptive cruise control, lane-keeping assistance, traffic sign recognition, and various advanced alert systems, demonstrating Cadillac’s commitment to contemporary safety technology.
The 2025 Cadillac XT4 emerges as a capable contender in the luxury crossover market, particularly appealing to buyers seeking a balance between maneuverability and interior space. While its recent technological updates and thoughtful sizing strategy create genuine advantages, interior refinement and performance limitations prevent it from fully challenging class leaders. Nevertheless, for buyers prioritizing technology, comfort, and manageable dimensions, the XT4 presents a compelling, if imperfect, luxury crossover option.
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