by Pros: Excellent dynamics, great exhaust sound, sporty handling, attractive price.
Cons: Cheap interior trim, issues with driver assistance systems (ADAS), non-separable dampers in the Edition One version.
The New Audi SQ5: Speed Without Excessive Emotion
The Audi SQ5 has always been a smart choice for buyers who want speed but without excessive showiness. It occupies a position below Audi’s RS models and avoids the overly aggressive image of competitors from BMW M and Mercedes-Benz AMG. Now, a new generation has arrived.
Audi introduced the third-generation Q5 at the end of 2024 and quickly added the SQ5 to the lineup in both the standard SUV body and the Sportback version. The car received a new mild-hybrid powertrain, shared with other Audi models like the S5, and has all the ingredients to be an excellent performer.
However, a question remains. The latest Q5 somewhat lowered the bar regarding the richness of interior trim, which was once its hallmark. So, even with improved dynamics and speed, does the top-tier SQ5 do enough to feel like a car worth the money?
Key Specifications of the 2026 Model
The table below shows the main data for the Audi SQ5 Edition One version:
Available Models and Pricing
In the Australian market, Audi introduced the 2026 SQ5 in two variants. The base tested car has the Edition One badge and is a more accessible version to introduce the market to the novelty. Its price starting from AU$106,400 looks attractive, especially considering that a well-equipped base diesel Q5 used to cost almost as much.
The price also looks competitive compared to rivals. For example, the BMW X3 M50 starts from AU$129,600, and the Mercedes-AMG GLC43 from AU$136,900. Those looking for more features can order the standard SQ5 from AU$122,400. To achieve the lower price of the Edition One version, Audi slightly reduced the list of standard equipment: it lacks 21-inch wheels, more premium seat leather, the 16-speaker Bang & Olufsen audio system, and a head-up display.
Familiar Interior with Changes
The interior of the SQ5 Edition One is not very different from the interior of less powerful Q5 models. This is not surprising, but somewhat disappointing.
The most noticeable change is the new sporty three-spoke steering wheel from Audi with a flat bottom and top. New steering wheel paddle shifters, surfaces with artificial leather, and brushed steel inserts have also appeared, particularly around the transmission tunnel. Added new sport seats with S logos, which are much better than the standard Q5 seats, providing good lateral support and adjustable lumbar support. In the more expensive SQ5, the seats also have ventilation and massage functions, which the Edition One lacks.
On the elegant curved dashboard panel are an 11.9-inch digital instrument cluster and a 14.5-inch multimedia system screen. For an additional cost in the Tech Pro package, you can get a passenger screen, configurable LED ambient lighting, a heated steering wheel, and heated rear seats.
Since the multimedia system runs on the Android Automotive operating system, it works brilliantly: quickly, conveniently, and supports wireless Apple CarPlay and Android Auto.
Does the SQ5’s interior match a car with a six-figure price? No. As already noted in other Audi reviews, the quality of the brand’s interiors has deteriorated in recent years. Too much glossy black plastic, cheap materials, and hard surfaces that scratch easily.
On the positive side – even the standard 8-speaker audio system in the Edition One is decent, as is the configurable ambient lighting, and the comfort of the front seats. As found in the regular Q5, rear passengers may lack headroom. The luggage compartment volume is 520 liters, and with the rear seats folded down, it increases to 1473 liters.
Fortunately, most complaints about the SQ5’s interior almost disappear when you start driving this car.
Ride Quality and Dynamics
As mentioned, the SQ5 has the same powertrain as other new Audi models on the Premium Platform Combustion (PPC) architecture, including the S5 and S5 Avant. This is a 3.0-liter turbocharged petrol V6 paired with an 18 kW electric motor and a 1.7 kWh battery.
Previous generations of the SQ5 were offered with petrol and diesel engines, but the latter has been removed for this generation. The total power of the new SQ5 is 270 kW (362 hp) in the range of 5500-6300 rpm, and torque is 550 Nm (406 lb-ft) from 1700 to 4000 rpm. The electric motor also provides 18 kW (24 hp) and 230 Nm (236 lb-ft).
The sound from under the hood is not particularly melodic, but the sound of the exhaust system is much more interesting than that of the latest S5. For unknown reasons, Audi tuned the SQ5’s exhaust for many pops and bangs in sport modes, while the S5 lacks this. This is bad news for S5 buyers, but good for those considering the SQ5, as it makes driving more exciting.
The dynamics are excellent. Although the SQ5 looks much larger than the new S5 sedan and S5 Avant, it is only slightly heavier and has the same 0-100 km/h acceleration time of 4.5 seconds. Activating launch control in Dynamic mode is very simple, and the SQ5 launches briskly from a standstill.
The power combined with the relatively soft suspension leads to noticeable squatting of the rear end under acceleration, and when shifting gears, the car also briefly rocks back and forth. The mild-hybrid V6 works with a 7-speed dual-clutch automated manual transmission that sends power to all four wheels.
Throttle response is excellent, and the mild-hybrid system helps smooth out any potential turbo lag. It’s very fun to drive fast, finding a good balance between sporty character and comfort when a calm drive is needed, similar to the previous model. The dual-clutch transmission is mostly good, although shifting in Dynamic mode is sharp, and at low speeds it can be a bit rough, which is typical for such transmissions.
In standard trim, the SQ5 Edition One has passive dampers that provide a good level of stiffness and confidence in corners without being too harsh. However, the full-fledged SQ5 model can be equipped with adaptive air suspension. Although we did not test this option on the SQ5, it is reported to make a big difference. A much more comfortable and balanced ride was noticeable in the tested S5 Avant, which had similar adaptive dampers.
The steering feel is also excellent, as is the road behavior. The front axle responds quickly and precisely, and the Michelin Pilot Sport 4 SUV tires provide more than enough grip. However, with a treadwear rating of only 220, they won’t last very long.
Audi claims the SQ5 can consume as little as 7.6 L/100 km in the combined cycle. Owners will find it difficult to achieve this, as the average consumption during testing was 10.7 L/100 km, but the test included a limited number of highway trips where the powertrain is most efficient.
Issues with Driver Assistance Systems (ADAS)
Among the key safety systems are adaptive cruise control with stop-and-go function, lane departure warning, and rear cross-traffic warning. Unfortunately, in Australia, the lane centering function is absent, which at this price is unforgivable, and this problem is common to other Audi models as well.
There were also issues with adaptive cruise control. The system sometimes mistakenly “latched onto” a slower car in the adjacent lane, rather than the one ahead. It could drive like that, refusing to overtake that car, regardless of its low speed.
Conclusion
The Audi SQ5 is one of those rare SUVs that makes driving truly enjoyable. It suits parents who still want to enjoy driving while providing comfortable and efficient family transportation.
The starting price of the Edition One version is very competitive, and although we did not test the more expensive version, it may be hard to justify the additional expense. Are there faster, cheaper, and more powerful electric SUVs on the market? Yes, there are many. However, they cannot fully convey the thrill of a powerful V6 under the hood. And for a large number of drivers, that still matters a great deal.
