Had the 2.0 5cyl D3 in our old V60 and it was plenty. There's only a couple of hundred kg more to an XC70, so it's not going to feel awful.
Our 2013 XC70 D5, admittedly with a Polestar chip, feels properly quick.
However, it was really lacking in low rev torque, ours was a manual and I'd say an auto is essential with the 2.0.
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