177hp D4 is a Volvo built 5 cylinder engine used in the V40 up to 2014 model year. The 5 cylinder diesels are generally very highly regarded on these forums.
Auto's have an Aisin torque converter transmission and I think the manual has the Volvo M66 gearbox. I don't remember reading on here about any issues with the manual gearbox and there are owners on these forums with high mileage autoboxes although from what I have read it is best to change the automatic transmission fluid from time to time to keep it running smoothly.
There don't seem to be any particular issues with the V40. I have a five year old petrol V40 auto owned almost from new and not had any issues so far and still enjoy driving the car.
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