In a time when many automakers are racing to bring new electric models to market and phase out older gas-powered platforms, Cadillac is taking a different approach with one of its most popular SUVs. The Cadillac XT5, which first hit U.S. roads in 2016 as a 2017 model year vehicle, is reportedly staying in production through at least the end of 2026—and potentially into 2027—before a new generation arrives.

This news comes from an internal document from UAW Local 1853, reportedly obtained by the Detroit Free Press. According to the document, General Motors has opted to continue producing the current-generation XT5 at its Spring Hill, Tennessee, facility, holding off on major changes for several more years. While Cadillac has already introduced a newer second-generation XT5 in China, the U.S. version will continue as-is, with a refresh and full redesign now planned for a later timeline.

XT5’s Ongoing Popularity Extends Its Lifespan

For Cadillac, the XT5 has been a standout performer. Despite being nearly a decade old, the compact luxury SUV remains the brand’s best-selling model worldwide. In fact, Cadillac reports that XT5 global sales have surged by over 26% year-over-year. That level of demand appears to have influenced the decision to delay a U.S. redesign, keeping the current model on the road even as newer vehicles debut across the Cadillac portfolio.

In a statement to the press, Cadillac said:

“The XT5 continues to be Cadillac’s top-selling model globally, up 26.4% year over year. In response to strong demand for the nameplate, we made the decision to keep XT5 as part of our portfolio, which is stronger than ever with a mix of new EV and recently refreshed gas-powered vehicles like Escalade. We look forward to launching the next-gen XT5 in the second half of 2027.”

That next-gen XT5 is expected to arrive for the 2028 model year

The Current Platform Is Aging, But Still Going Strong

The current XT5 rides on General Motors’ C1XX platform, which it shares with models like the Chevrolet Blazer. This platform has been around since the mid-2010s and was once expected to be phased out by now. However, with continued sales strength and shifting product strategies, GM has opted to keep the XT5 on this aging platform a little longer.

U.S. buyers can currently choose between two engine options for the XT5:

• A 2.0-liter inline-4 turbocharged engine available in both front-wheel-drive (FWD) and all-wheel-drive (AWD) configurations, featured in the Luxury and Premium Luxury trims.
• A 3.6-liter V6 engine, also available in both FWD and AWD, is exclusive to the Sport trim.

While these powertrains have served Cadillac well over the years, the XT5 is starting to fall behind when it comes to performance and fuel efficiency compared to newer vehicles on the market.

How China’s XT5 Is Already Ahead of the U.S. Model

Interestingly, China is already enjoying a newer generation of the XT5. The version sold there is built on General Motors’ VSS-S platform, which is also used by modern models like the Chevrolet Traverse, Buick Enclave, GMC Acadia, and others. This newer architecture brings noticeable improvements in performance, technology, and efficiency.

Chinese-market XT5s are equipped with a 2.5-liter turbocharged inline-4 engine, producing 328 horsepower and 326 lb-ft of torque. That’s more powerful than the 3.6-liter V6 used in the current U.S. XT5 and also offers better fuel economy.

Yet, the U.S. version continues on the older C1XX platform for now, despite the increasing gap in performance and efficiency. The decision reflects GM’s strategy to maintain a stable offer. More photos: motortrend

What’s Coming for the 2028 Cadillac XT5?

While Cadillac hasn’t shared many technical details yet about the upcoming next-generation XT5, the brand has confirmed that it will still be a gas-powered SUV, rather than an electric vehicle. This might come as a surprise given Cadillac’s heavy emphasis on electrification in recent years, with models like the Lyriq and the upcoming Escalade IQ.

However, it seems Cadillac is committed to maintaining a strong presence in both the EV and internal combustion engine (ICE) markets for now. The automaker referred to the 2028 XT5 as a “next-generation gas-powered vehicle,” suggesting major updates are in store—but didn’t clarify what engine or drivetrain will be used.

When we asked Cadillac for clarification about the upcoming powertrain, the company declined to provide details.

Cadillac Balancing EVs and Legacy Favorites

The decision to keep the XT5 around longer fits into Cadillac’s broader strategy of balancing new electric offerings with proven, gas-powered models that customers still love. Models like the Escalade and XT5 continue to perform well in the U.S. and abroad, especially in markets where EV infrastructure is still developing.

For buyers who aren’t quite ready to make the jump to an electric vehicle, the XT5 remains a reliable and comfortable option in the compact luxury SUV segment. Its smooth ride, refined interior, and sharp styling continue to attract interest—especially as prices for newer, more advanced vehicles continue to climb.

Final Thoughts

So, if you’ve had your eye on a Cadillac XT5, you can expect the current version to remain available at dealerships for at least a couple more years. While it may not have all the latest tech and performance features found in newer models, it still holds its own as a well-rounded luxury SUV.

And for those waiting for something new? The good news is that Cadillac is already working on the next-generation XT5, which is expected to debut in late 2027 as a 2028 model. It’s likely to feature a brand-new platform, upgraded engine options, and a full suite of modern tech and safety features. We’ll be keeping an eye out for more updates as development continues.

FAQs