Audi's SQ5 dollar dazzler

Better than expected fuel economy will allow Audi to introduce its SQ5 high-performance SUV to Australia next year priced from under $100,000.

Arriving around May 2013, Audi initially forecast the price of the twin-turbo diesel super-SUV to be north of $100,000.

However, when the factory’s estimate of claimed combined fuel consumption dropped from 7.2L/100km to 6.8/100km, so did the SQ5’s price, which should now begin somewhere in the nines.

That’s because Audi’s first ever S-badged SUV and S-badged diesel will dip below the luxury car tax’s 7.0L/100km ‘green’ exemption, meaning the LCT will be based on 33 per cent of the cost over $75,375, not $59,133.

Those aren’t the only figures that will appeal to potential buyers, as the 230kW/650Nm 3.0-litre Q5 flagship also accelerates to 100km/h in just 5.1 seconds, making it the fastest diesel SUV on the market.

For more on what you can expect out of the SQ5, check out our first drive in Europe in July.

The pricing and performance puts the SQ5 in a unique position in the market, as the only other diesel SUVs of similar performance are the much more expensive BMW X5 and X6 M50d models, which start close to $150,000.

But of more excitement for Audi Australia when it comes to numbers is the higher sales rate it expects out of the SQ5 than is usual for its S models.

“SQ5 has a potential between 10 and 20 per cent of Q5 volume,” said Audi Australia product planning boss John Roberts. “Normally S models normally see five and 10 per cent in a normal model line, be it S3 or S4.

“So I believe the potential for SQ5 is a little bit stronger. I think the growth of SUVs in general, the fact Australian buyers love a sporty car, a good pricepoint and in TDI the right engine will all combine for strong sales performance.”

The SQ5 is part of another big model rollout in 2013, which Audi has dubbed its ‘year of high performance’.

The SQ5’s Biturbo diesel engine will be seen here first in the A6 and A7 in January. The existing 180kW 3.0-litre single-turbo TDI models have just been de-contented and re-priced to accommodate the arrival of the higher performance models.

In February comes the RS4, which for the third generation returns to Avant (wagon) bodyshape only. While the last RS4 Avant was priced at $168,100 when it finished up back in 2008, the new 331kW V8 will come in below $150,000.

The facelifted R8 sportscar will roll out in April, most importantly replacing its much maligned robotised manual transmission with a seven-speed S tronic dual-clutch auto. The 404kW V10 Plus will be a new addition to the range.

“R8 will get more equipment on top of that S tronic change, but we will hold the current pricing,” confirmed Mr Roberts.

Not quite ‘high performance’ but vitally important in terms of volume will be the third-generation A3 Sportback, which arrives in May.

Significantly, Audi has now decided to take the 103kW cylinder-on-demand version of the new 1.4-litre turbo-petrol engine rathe than a more basic 90kW version. The 221kW S3 Sportback quattro arrives in October.

Mid-year sees the arrival of the RS5 Cabrio, while the storming 412kW Biturbo-petrol V8 RS6 – which also reverts to Avant only – will launch late in Q3 or early Q4.

One model Mr Roberts wasn’t so keen to comment on was the 2.5 TSI 265kW RS Q3, which is expected around the end of 2013. He also said there was no word on production of the much mooted S1.

What does all this mean for sales? Only incremental improvement, Audi insists. The company has enjoyed double-digit sales growth since 2004, but will only just inch ahead of 2011’s record 14,511 total in 2012, meaning it will continue to trail both BMW and Mercedes-Benz, albeit much more narrowly than it once did.

Audi should still hit its long-term ‘Route 15’ 15,000 sales by 2015 target early, but has now shifted its sights on attaining luxury market leadership ahead of its fellow Germans under its Strategy 20/20 business plan.

Read the latest news and reviews on your mobile, iPhone or PDA at carsales' mobile site…