Since 2015, the company’s plant has been producing the 2.0-liter Volvo B4204T35 hybrid engine, which is fitted to the S90 sedan, V90 station wagon, and T8-modified XC60 and XC90 crossovers. This power unit has an electric motor with 87 horsepower, a compressor, and a turbine.

The engines B3154T, B4204T9, and B4204T23 are also part of the Drive-E family.
The engine was mounted on:
- Volvo S90 II (234) since 2016;
- Volvo V90 2 since 2018;
- Volvo XC60 II (246) since 2017;
- Volvo XC90 II (256) since 2015.
Specifications
| Production years | since 2015 |
| Displacement, cc | 1969 |
| Fuel system | direct injection |
| Power output, hp | 320 |
| Torque output, Nm | 400 |
| Cylinder block | aluminum R4 |
| Block head | aluminum 16v |
| Cylinder bore, mm | 82 |
| Piston stroke, mm | 93.2 |
| Compression ratio | 10.3 |
| Features | Hybrid |
| Hydraulic lifters | yes |
| Timing drive | belt |
| Phase regulator | at intake and exhaust |
| Turbocharging | turbine + compressor |
| Recommended engine oil | 0W-20 |
| Engine oil capacity, liter | 5.9 |
| Fuel type | petrol |
| Euro standards | EURO 6 |
| Fuel consumption, L/100 km (for Volvo XC90 2019) — city — highway — combined |
3.2 1.8 2.1 |
| Engine lifespan, km | ~260 000 |
Disadvantages of the B4204T35 engine
In the early years of production, there were numerous instances of rubber pipe cracking; the majority of owner complaints on specialized forums are related to oil consumption;
The fuel injectors need to be cleaned once every 60,000 kilometers to prevent failure;
Every 120,000 kilometers, replace the timing belt because the valves bend here when it breaks;
Oil seal leaks are another frequent issue with these engines.
