Holden introduced the third generation of the Commodore in 1997 in two body shapes: sedan and station wagon.
It was based on the European Opel Omega.

Being part of a giant carmaker also includes the advantages of know-how for various components or platforms. The European arm of General Motors, Opel, built a car fit for the European roads. It meant that it was comfortable and it didn’t lack in the handling department. While the Europeans didn’t like big engines, the Australians didn’t have a problem with that, so they put bigger engines in it to solve the performance issue. In 1998, the Commodore was the best selling car in Australia.

With its rounded edges and body panels, the Commodore VT Wagon entered into the biodesign trend. That made the car looks even longer than it was. Its horizontal, ovoid-shaped headlights were distinct on the market. Since it was a station-wagon, it featured a long roofline to accommodate the extra trunk area.

For the interior, Holden gambled on the same smooth and curved lines as from the outside. Its complete instrument cluster was extended over the center stack where the climate and audio controls were placed. The designers extended the center stack over the center console. The rear bench seatback was split-folding for the station-wagon and could increase the cargo volume from 540 liters (19.1 cu-ft) to 1800 liters (63.6 cu-ft).

Under the hood, Holden installed the smooth 3.8-liter V6 engine for the base model and a V8 for the full version. The 1997 model featured an old Australian 5.0-liter replaced in 1999 with the American 5.7-liter V8.