2026 Audi SQ5 review

Australia has a seemingly unquenchable thirst for high-performance versions of everyday hatchbacks, sedans and SUVs.

Just ask local representatives for BMW’s M division, Mercedes-AMG, Toyota Gazoo Racing, Hyundai N, and particularly Audi Sport (i.e. S/RS).

Only a few weeks ago, Audi Australia product planning manager Peter Strudwicke told CarExpert “we’re very strong in S as well as RS. We have quite a high mix of S models, and I think that will definitely continue.”

Our performance model sales splits are among the highest in the world, making it a lucrative market for manufacturers with a sporty side. More lucrative yet is the mid-sized SUV market.

And that’s how you end up with something like this – the Audi SQ5.

Combining the practicality of an SUV with sports car speed, the SQ5 first came onto the scene in 2012 and has remained a regular fixture in Audi’s catalogue ever since.

Positioned to rival the Mercedes-AMG GLC43, Porsche Macan, and BMW X3 M50, this third-generation SQ5 is unique in that it still offers six-cylinder power in the face of tightening emissions regulations.

That’s not to say it’s a big, thirsty barge – the third-generation SQ5 features Audi’s 48-volt MHEV Plus technology, which makes it a more eco-friendly option than its predecessor.

Ahead of a local launch later this year, we headed to Malaga, Spain for the global press launch to find out if the new SQ5 has what it takes to be a leader in the world of luxury performance SUVs.

Note: This review will focus on SUV (wagon, not Sportback ‘coupe’) variants of the new SQ5, as it’s what we drove in Spain and that’s the body style that will arrive first in Australia. This car was tested alongside the Q5 at a combined launch event and the two models share several features. As such, some sections of this review have been carried over from our Q5 review.

How much does the Audi SQ5 cost?

To put it simply, we don’t know yet. As this was an international launch event, details surrounding the Australian-market SQ5 remain under wraps, including pricing.

Pricing and specifications for Australia will be announced closer to the local launch, scheduled for the second half of this year.

Prices of the SQ5 in Germany have increased by €5000 (A$8520) – it’s now priced from €82,900 (A$141,242). In Australia, the current Audi SQ5 starts from $119,084 before on-roads.

To see how the Audi SQ5 stacks up against its rivals, use our comparison tool

What is the Audi SQ5 like on the inside?

Differences between the Q5 and SQ5 are relatively subtle, especially when you account for the S line appearance package that will be available as an option for the standard Q5 family.

Sporty touches for the performance variant include a woven dash finish that resembles carbon fibre, liberal use of suede throughout the cabin, and a diamond stitching pattern on the seats.

The aforementioned seats are completely re-trimmed for the SQ5, although they are no different in shape from the standard Q5, lacking any extra bolstering or support.

Otherwise the layout and materials are near enough identical, although the list of standard features is expectedly longer.

Customers chasing a truly unique interior specification will be inclined to select the red upholstery option, which injects colour into an otherwise monochrome space. You can also get the interior in black with either white or red contrast stitching.

Without the red accents, the SQ5 is strikingly similar to the Q5 TDI with S line. Nevertheless, it’s a comfortable and high-tech place to spend your time.

All the panels feel solid and well screwed together, and the common touch points are finished in premium materials.

Our tester featured leather and suede trim, and the seats are a real highlight. The front chairs are loaded with creature comforts including electric adjustment, three-stage heating, and adjustable lumbar support. Ventilation is missing, though.

The side bolsters hold you firmly in place without compromising comfort, and the base cushion offers hours of support. From an ergonomic perspective, the steering wheel is well within reach and highly adjustable. You’re in for a pleasant ride, put it that way.

Some harder interior plastics are still easily found if you go looking for them, while scratch-prone gloss black trim coats the centre tunnel and touch controls.

However, the main talking point of this new cabin is the technology suite, which includes three large screens spanning the width of the dash.

As part of a thorough modernisation of the cabin, Audi has introduced a 14.5-inch infotainment touchscreen, 11.9-inch digital instrument cluster, and 10.9-inch passenger display, all of which make the old technology suite look and feel ancient.

I reviewed a previous-generation Q5 as recently as last December, and the smaller screens in that vehicle were a far cry from the cutting-edge stuff on display here. Given the second-gen Q5 dates back to 2017, this kind of progress is very welcome.

What was once a weakness of the SQ5 is now one of its selling points in the premium mid-sized SUV segment.

A single curved panel angles the instruments and infotainment displays toward the driver for ease of use, while physical buttons and switches have been replaced by shortcut icons fixed to the perimeter of the infotainment screen, reducing cabin clutter.

Each display presents in ultra high resolution, with graphic designs and fonts that are unmistakably Audi. Colours pop off the deep black background, contrasting with bright white text.

The screens aren’t just for show, either. The infotainment system runs on the Android Automotive operating system, and it’s lightning quick with comprehensive functionality, from smartphone mirroring and satellite navigation to a jam-packed app store.

There’s an app for just about everything – video streaming, gaming, online shopping, news, and business.

Passengers also have full access to the app store via the additional third display, which offers similar functionality to the main infotainment screen. To prevent distraction, Audi has equipped the SQ5 with screen masking technology that shields passenger screen contents from the driver.

On the driver’s side, the digital instrument display features core vehicle data in a central section, flanked by customisable readouts. It’s easily configurable using touch capacitive buttons on the steering wheel.

There’s a satisfying click feedback from the touch controls, which is a rarity. A second touch capacitive button panel is located on the driver’s door.

The list of standard equipment for the SQ5 includes a large head-up display which is optional on lower trim grades. It contains only essential driving data, and works as intended.

Rounding out the technology suite is a 16-speaker Bang and Olufsen sound system, which is right up there with what competitors are offering in the audio space.

Interior storage is a weakness of the incoming SQ5. There’s not much available up front aside from a tiered glovebox, stock standard door bins, and run-of-the-mill centre console. Two large cupholders reside under the centre stack, and there’s nowhere to put your sunglasses.

A pair of USB-C outlets sit under the centre stack, as well as a 12V socket and wireless charging pad.

Space is also a little limited in the second row, which is surprising considering that wasn’t an issue with the previous-generation model.

It’s even more surprising given Audi has introduced a sliding rear bench for this iteration, as well as manually reclinable seating.

Legroom is average for the segment, even with the second row slid all the way back, and in its furthest forward position the the space becomes very cramped. It doesn’t help that the front seat backs are made of hard plastic.

Headroom isn’t as much of a talking point. There’s heaps of space overhead for taller adults, and the recline function creates a comfortable sitting position for long journeys if you can get your legs set.

The second row is airy, with natural light pouring through big windows and a sunroof. Amenities include a pair of USB-C ports, climate control, three-stage outboard seat heating, a centre armrest with shallow cupholders, storage nets, and narrow door bins.Audi quotes 520 litres of boot space for the new SQ5, unchanged from the old model. That expands to 1473 litres should you choose to drop the rear bench, which folds in 60/40 fashion. Both figures are comparable to rivals.

Boot access from the rear of the car is straightforward – a hands-free powered tailgate makes the list of standard equipment for the SQ5.

Examples equipped with air suspension feature a wall-mounted button to lower the vehicle for ease of loading/unloading the boot, as well as other handy extras such as storage nets, a 12V power source, and underfloor storage for the cargo blind. Top tether points can be found on the seat backs.

There’s no spare tyre, just a repair kit.

To see how the Audi SQ5 stacks up against its rivals, use our comparison tool

What’s under the bonnet?

The SQ5 is now petrol-only, with its 3.0-litre V6 developing up to 270kW and 550Nm – a gain of 10kW and 50Nm over the previous petrol model. However, the new SQ5 is 150Nm down on the old SQ5 TDI diesel.

To see how the Audi SQ5 stacks up against its rivals, use our comparison tool

How does the Audi SQ5 drive?

Audi sees the Q5 SUV as a ‘sporty all-rounder’, and the SQ5 exemplifies those traits.

From the outset, it’s clear hat the turbocharged V6 is an absolute powerhouse of an engine befitting of a model wearing the S badge.

It’s not a particularly sonorous engine – the SQ5 is quiet on startup and remains generally muted in everyday driving. The ‘Dynamic’ drive mode adds some volume, but don’t expect to draw any attention, either welcome or unwelcome.

However, once you find a stretch of open road the motor absolutely comes alive. Press your foot to the floor and throttle response is just about immediate, likely due to a twin-scroll turbocharger setup which serves the purpose of minimising lag.

You can hear the whoosh of air through the turbo as the SQ5 catapults you towards the horizon, and that’s no exaggeration.

Audi claims that the new model will sprint from 0-100km/h in 4.5 seconds, nearly half a second quicker than the old SQ5 TFSI. My seat-of-the-pants test says that’s about accurate.

In-gear acceleration is also hard to fault, and the SQ5 pulled strongly right up to Spain’s less restrictive speed limits. I can only imagine that the SQ5 would have no trouble hitting its top speed – an electronically limited 250km/h – on the German Autobahn.

Like the rest of the range, the SQ5 features a seven-speed dual-clutch transmission compared to the old model’s eight-speed conventional auto.

The gearbox is responsive in manual mode, offering quick shifts both up and down via paddles behind the steering wheel. It will occasionally become confused around town, but no more than other dual-clutch systems.

In Dynamic mode, the exhaust system opens up to let out some tasteful pops and crackles when driven hard. The key word there is tasteful, as the SQ5 is a mature approach to performance motoring.

It doesn’t bark like old AMG V8s or simulate battlefield gunfire like a Hyundai N car, but that’s not what Audi customers want.

Buyer preferences are also reflected in how the SQ5 rides and handles. Our tester was fitted with the optional air suspension, and boy is it effective.

The SQ5 glides over the bitumen, absorbing ruts and potholes without transmitting harshness or vibration into the cabin.

Even in its sportiest setting, the suspension remains compliant and liveable – exactly what you want from an SUV that’ll spend more of its time on patchy B-roads roads rather than racetracks.

As standard, the SQ5 comes with steel spring suspension and Frequency Selective Damping , which actively reduces damping forces on uneven surfaces. We’re keen to learn how that compares to the optional air suspension, which will likely command a significant premium in Australia.

In addition to being exceptionally comfortable, the SQ5 handles superbly for a two-tonne SUV, with neutral all-wheel drive balance and epic body control through high speed corners.

Indeed, you’ll be hard pressed to find the grip limit of the SQ5 on public roads, not that you should try.

During more mundane journeys, the new SQ5 demonstrates all the hallmarks of a leading luxury SUV. Just like the car it replaces, the third-generation model is set up like a peaceful bubble for its occupants.

The exhaust valves close in comfort mode, quietening the beast, while the ride also softens up. External noise rarely penetrates the cabin – despite the fitment of performance rubber, there’s minimal tyre regardless of speed or surface. That also applies to wind noise.

The SQ5 is capable of semi-autonomous driving. Adaptive cruise control is operated via a small stalk below the indicator, and while I prefer steering wheel controls as a general rule, the Audi arrangement has a flat learning curve.

Other advanced driver assist systems (ADAS) are configurable through the infotainment system, which also allows you to curate setting shortcuts for easy access.

Even in their default settings, the ADAS are tempered and unobtrusive. Take the overspeed warning for one, which comes in the form of a polite beep that isn’t particularly off-putting.

The suite of assists is complemented by surround view, front and rear parking cameras with visual guidelines. Each camera presents in high resolution with a wide field of view, but the fish eye effect is a little jarring.

Audi may have dropped the diesel powertrain for this iteration of the SQ5, but the new model remains relatively fuel efficient courtesy of an upgraded 48V mild-hybrid system. Our fuel consumption average was 10.1L/100km over a couple hours of enthusiastic driving – pretty good going in the context of the segment.

To see how the Audi SQ5 stacks up against its rivals, use our comparison tool

What do you get?

Audi Australia hasn’t confirmed exact specifications for local market SQ5 models.

2026 Audi SQ5 equipment highlights:

• LED headlights and daytime running lights
• Active digital light signature with integrated warning symbols
• 19- to 21-inch alloy wheels
• OLED rear light bar
• 14.5-inch infotainment touchscreen
• 11.9-inch digital instrument cluster
• 10.9-inch passenger display (optional)
• Head-up display
• Audi AI assistant
• Audi connected services
• 16-speaker Bang and Olufsen sound system
• Satellite navigation
• Wireless smartphone mirroring
• 4 x USB-C outlets
• Rear seats with manual slide and recline adjustability
• Wireless charging pad
• Leather upholstery
• Dinamica suede interior trim
• Dynamic interaction interior light strip
• Air suspension
• Hands-free power tailgate
• Tri-zone climate control
• Electric front seats with lumbar
• Panoramic sunroof (optional)
• Heated front and rear seats

To see how the Audi SQ5 stacks up against its rivals, use our comparison tool

Is the Audi SQ5 safe?

The third-generation Audi Q5 and SQ5 have not yet been tested by Euro NCAP or ANCAP.

Standard safety features include:

• Reversing camera
• Cruise control with speed limiter
• Lane departure warning
• Driver attention monitoring

Optional safety equipment overseas includes:

• Traffic sign recognition
• Adaptive cruise control
• Lane-keep assist
• Front emergency brake assist
• Evasion assist
• Junction assist
• Front cross-traffic assist
• Park assist
• Rear turn assist

To see how the Audi SQ5 stacks up against its rivals, use our comparison tool

How much does the Audi SQ5 cost to run?

The SQ5 will be covered by Audi’s five-year, unlimited-kilometre warranty when it arrives in Australia later this year.

Service pricing and intervals will be confirmed closer to launch, although the previous model required servicing every 12 months or 15,000km.

To see how the Audi SQ5 stacks up against its rivals, use our comparison tool

CarExpert’s Take on the Audi SQ5

The third-generation Audi Q5 range wouldn’t be complete without a performance variant, and the new SQ5 is exactly what the doctor ordered.

It’s a real wolf in sheep’s clothing, with a beefy turbocharged V6 that belies modest exterior styling and a subtly enhanced interior.

Audi understands that SQ5 buyers don’t want to make a statement, they just want a family SUV with a dynamic edge – which is exactly what this new model provides.

Having said that, it would be nice to see a little more creativity in the cabin. Hopefully that’s reserved for a full-fat RSQ5 flagship.

Regardless, the new SQ5 is a significant upgrade from an interior technology standpoint, featuring three state-of-the-art screens loaded with user-friendly functionality. It’s uber-comfortable, too.

Like the Q5, the SQ5 is a little strapped for rear seat and storage space. But otherwise it’s a well-rounded fast family wagon that should match up well against its premium German rivals when it arrives later this year.

Competitive pricing will be the key, but that won’t be an issue if past iterations and the German market are anything to go by.

Interested in buying an Audi SQ5? Get in touch with one of CarExpert’s trusted dealers here

MORE: Everything Audi SQ5

Pros

• Effortless performance
• Switchable personalities
• Advanced interior tech

Cons

• Modest exterior styling
• Tight second row
• Torque, efficiency deficit to outgoing diesel