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If it was the original BMW 3-Series that invented the compact luxury car market segment all those years ago, then it’s probably fair to claim it was Audi’s A3 franchise that gave rise to the luxury small-hatch category.
On that basis, any new Audi A3 is news but, in the face of the SUV onslaught (including its own stablemate the Q3) the new small Audi has its work cut out for it.
With this update, there’s refreshed styling, a new interior layout and, for the launch of the new cars, two body styles, a conventionally styled sedan and what Audi calls the Sportback; fundamentally a five-door hatchback but with the German brand’s own flair plastered all over it.
As well as new connectivity and safety tech, the big news is the availability of a mild-hybrid driveline as well as a second powertrain option with more performance from a more conventional layout.
Interestingly, it’s that (mild) hybrid version of the A3 that represents the entry-level variant of the A3. A sign of the times? Perhaps.
As well as the two powertrains, there are two distinct chassis layouts, starting with a front-drive set-up and extending to the option of Audi’s Quattro all-wheel drive (AWD) system.
Think of a Mercedes-AMG and the first words that spring to mind are probably not - understated, efficient and restrained. And yet those are probably the best words to describe the all-new C 43.
Of course, before we go any further it’s important to note that the C 43, even in its previous six-cylinder guise, was never meant to be as wild, raucous or powerful as the C63 flagship - that’s simply not its role in the AMG line-up.
But even so, this new model is a dive into fresh territory for the brand and puts a very different spin on the AMG sports sedan as we know it.
This is a four-cylinder model, complete with a Formula One-derived electric turbocharger, so it lacks the sound and fury you expect from something carrying the ‘AMG’ badge - but that doesn’t mean it’s a bad car, as we’ll explain.
Producing a car that takes the end result beyond appliance status is no given in a world car-park dominated by SUVs. But Audi has, over the last few decades, shown it is very good at doing just that and the latest incarnation of its A3 stalwart backs that up.
While it might take a bit of mental gymnastics to understand why the base model gets the hybrid driveline, or why the more expensive variant costs more to option with adaptive cruise-control, the fact remains these are driver’s cars from a company that understands that concept.
Yes, the A3 is a relatively expensive way to arrive at a compact hatch or sedan, but if you value the journey as much as the destination, it will all make sense.
While the technical aspects of the 35 TFSI are interesting, the extra power and all-weather grip of the AWD 40 TFSI seem to be worth the additional dollars to us. The A3 has always been a sporty alternative, meaning the sportiest version is the one for us.
CarsGuide attended this event as a guest of the manufacturer, with meals provided.
The new AMG C 43 may lack the drama and excitement we’ve come to expect from the German performance brand, but that doesn’t mean it’s a bad car. Yes, it could be more extroverted and the ride could be improved, but this is still a sharp-looking sports sedan with loads of punch.
This is a car that speaks to its times, with ever-stricter emissions regulations making it harder and harder for car companies to produce loud, wild and charismatic cars. So Mercedes-AMG has worked within those boundaries and come up with a car that retains at least some of those core elements that has made the brand so desirable over the years.
Note: CarsGuide attended this event as a guest of the manufacturer, with accommodation and meals provided.
It’s actually refreshing in 2022 to see a carmaker putting such an effort into something that isn’t an SUV.
That Audi has bothered with two distinct bodies and two equally distinct drivelines is also one for the books, really.
Technically, the mild-hybrid driveline as seen in larger Audis in recent years is probably the highlight of the new A3, and even though it doesn’t compare with a conventional petrol-electric hybrid, it demonstrates Audi’s attention to detail.
The same goes for the digital instruments which allows the driver to tailor the information displayed at any given time. Need a city map more than you need a tachometer at a particular point in you journey? That’s where this technology comes into its own.
Mercedes has created something of a problem for itself with its decision to introduce AMG styling packages for the majority of its range, including the C-Class.
It means the C 43 has to walk a fine line between looking like a unique AMG model, rather than just a C300 with a bodykit and not out-doing the C63.
To that end it has AMG’s now familiar grille with vertical bars, the unique and complex-looking 20-inch alloy rims and a small lip spoiler on the boot. But otherwise it is surprisingly understated for an AMG, lacking the more obvious and muscular stance of previous AMG offerings.
Inside, there’s a similar theme, with the typical Mercedes-Benz luxury appointments but with a sportier, AMG twist. The steering wheel is chunky and comes with AMG branding, metallic shift paddles and a pair of rotary dials/buttons that allow you to alter the various drive modes and settings.
The one on the right allows you to switch between the pre-set Comfort, Sport, Sport+ and Individual modes, while the one on the left can scroll between the various individual aspects to tailor the settings to the conditions.
In typical modern fashion the design is tech-laden, with a digital display for the instrument panel (that can be switched between various graphics) and a large, tablet-style central multimedia touchscreen that controls the majority of the car’s non-driving functions.
Although it’s a compact car externally, clever packaging means there’s ample space inside. Even a tall-ish rear-seat passenger can sit behind a tall-ish driver, and the sculpted rear seat-backs help make that possible.
The only complaint would be that the dark headlining material makes the interior a bit of a cave at times.
Paying more for the 40 TFSI gets you extra cargo nets on the front seat backrests and luggage area, 12-volt sockets in the rear seat and boot. Both versions get floor mats and a centre arm-rest front and rear.
The rear seat in either is split 40/20/40 for a range of possibilities, with the Sportback offering 325 litres (VDA) for the Sportback quattro models, and 380L (VDA) for the 2WD models and its boot capacity is increased to 1145L (VDA) with the rear seat folded flat. The luggage space in the sedan is 390L (VDA) for the quattro AWD version, and a more capacious 425L (VDA) for the FWD model.
The new C-Class has grown slightly in size compared to the model it replaces, most notably with a 26mm increase in the wheelbase which you can feel in the cabin.
The front seat space is good, with excellent adjustability for the power-adjustable seats and steering column. I had no trouble finding my ideal seating position which makes for a more enjoyable and uncompromised driving experience.
Rear space is a bit tighter (which is typical for this segment/size of vehicle), but thankfully the standard seats do have very deep sculpting in the backs which allow for more knee space and foot room.
However, at approximately 180cm (six-foot), I wouldn’t like to sit behind my seating position for long periods as my knees were touching the seat back, and headroom is compromised with the panoramic glass roof.
In terms of small item storage there’s a lidded console box in between the front seats as well as a pair of cupholders and a small tray where you can place your mobile phone.
It’s worth noting, though, that early examples of the C 43 in Australia do not have a wireless smartphone charging pad, with that reportedly being introduced from February production.
While that’s good news, it’s not really competitive in this day and age to offer a car costing six-figures without such technology.
There’s also only a single USB-C power outlet in the front, which is another disappointment, but there is a pair in the back.
Mercedes does win some points back for a respectable 455-litre boot, which has a nice wide load opening that will make packing luggage easier.
These are not bargain basement cars, and with a kick-off price of $46,900 for the A3 35 TFSI Sportback (the hatch version) and $49,400 for the sedan in the same specification, that much is obvious.
The fact is, both the new A3 variants represent a fair mark-up on the previous model. But if you look at the post-Covid car market in a macro sense, you can see the same trend across a lot of brands and a lot of previously entry-level models.
Ante up to the 40 TFSI, and the news is no different with an asking price of $53,500 (Sportback) and $56,000 (sedan).
If the price sounds steep on a per-kilo basis, you need to remember this is an Audi we’re talking about and that price premium is part and parcel of a prestige badge. Don’t like it? Go and buy a VW Golf. That’d be Audi’s advice, anyway.
To justify that viewpoint, the A3 is loaded with some impressive standard kit. The 35 TFSI starts things off with Audi’s vaunted 'Virtual Cockpit', wireless phone charging, voice recognition, Apple CarPlay and Android Auto, remote central locking, paddle shifters, park-assist, sat-nav, a 10.1-inch touchscreen, LED headlights, a multi-function steering wheel, automatic lights and wipers, digital radio, cruise-control and dual-zone climate control.
The 40 TFSI adds a range of aluminium trim pieces and garnishes, Audi’s 'Drive Select' system which allows the driver to choose the characteristic of the dampers, steering response, exhaust sound, throttle response and transmission shift points.
The 40 TFSI also adds sportier front seats, a rear spoiler, body kit, extra courtesy lights around the car and details such as a 12-volt socket in the luggage area.
Options on the base model include a 'Comfort Pack' consisting of adaptive cruise-control, electric front seats, heated front seats, auto dimming headlights, heated and folding mirrors, four-way electric lumbar control and 'Adaptive Drive Assist', including 'Emergency Assist.'
That will set you back $2600, while the 40 TFSI can be enhanced with Audi’s 'Premium Package' which adds those same items as well as aluminium-look trim pieces, a better sound system, head-up instrument display and a memory function for the driver’s seat. That adds $4500 to either the 40 TFSI Sportback or sedan.
We’ll get to the major change under the bonnet shortly, but another significant alteration for this latest C 43 is the price.
It now starts at $134,900 (plus on-road costs), which pushes it well above its market rivals, the BMW M340i xDrive and Audi S4, which start at $104,900 and $106,200, respectively.
However, Mercedes has added more technology under the bonnet and loaded the C 43 up with standard equipment, including its '4Matic' all-wheel drive system, adaptive damping, rear-wheel steering and 20-inch alloy wheels.
In terms of creature comforts, the C 43 is well-appointed, with leather upholstery, a head-up display, augmented reality navigation, a panoramic sliding sunroof, and a Burmester 3D surround sound system.
There are two option packages for the C 43. The 'Digital Light Package' costs $2400 and adds Multibeam LED headlights with 'Ultra Range' highbeam, 'Adaptive Highbeam Assist Plus' as well as active light function and cornering light function.
The 'Performance Ergonomics Package' includes AMG Performance front seats, an AMG Performance steering wheel in Nappa leather and microfibre and the 'AMG Track Pace' system for an additional $5200.
While both versions of the A3 use a seven-speed dual-clutch transmission (no manual gearbox will be offered) there’s not a lot of commonality beyond that.
So let’s start with the 35 TFSI’s mild-hybrid running gear. To begin with, mild-hybrid in this sense refers to a starter motor/alternator unit that is linked to a 48-volt battery (the car also has a conventional 12-volt electrical system).
When coasting, the engine can shut off and the starter switches to alternator mode and harvests the otherwise lost energy to charge the 48-volt battery. This 48-volt system also powers the car’s functions when the engine is switched off.
When the car needs to restart (when the traffic-light goes green) the starter kicks in, using that harvested voltage. There’s also a regenerative braking function, saving the car’s actual brakes for more severe stops.
Unlike a 'normal' hybrid system, there’s no electric motor to help drive the car, but Audi claims a potential fuel saving of 0.4 litres per 100km from the set-up. Any benefit will be most noticeable in urban running where the car is speeding up and slowing down regularly.
The rest of the 35 TFSI is technically interesting, too, with the 1.5-litre four-cylinder turbocharged engine featuring cylinder-on-demand where it can shut down individual cylinders during cruise conditions to save fuel.
When firing on all four, however, the engine is good for 110kW of power and 250Nm of torque, figures which have become almost an industry standard in this sized vehicle.
The 40 TFSI, meanwhile, ditches the hybrid gear for a conventional 2.0-litre powerplant with a turbocharger and 140kW of power. Torque is a handy 320Nm and is developed over a wide range of engine speeds (anywhere from 1500 to 4100rpm).
The other big difference is in the driveline. The 35 TFSI is a front-wheel drive platform while the 40 TFSI uses Audi’s Quattro AWD as it applies to Audis with an east-west engine layout.
That means the car behaves as a front-drive vehicle until the electronics decides more power should be sent to the rear wheels. At that point, anything up to 99 per cent of the available torque can be transferred rearwards via an electronically-controlled multi-plate clutch housed at the rear of the car, just in front of the rear axle.
The biggest talking point about this new car is the engine, with AMG downsizing from the old C 43’s six-cylinder to a 2.0-litre four-cylinder turbocharged petrol engine.
But it’s not just any turbocharged four-pot, because it is fitted with technology that Mercedes claims has been inspired directly from its Formula One team.
While the F1 team engine facility is based in England, this engine was designed and developed by the Mercedes-AMG team at its Affalterbach headquarters, but the concept of the electric turbocharger reportedly comes from the engine that powered Lewis Hamilton to multiple world championships.
The electric exhaust gas turbocharger - to give it its official name - uses a small electric motor on the turbocharger shaft to spin up the blades without having to wait for any exhaust gases to pass through it first.
To power the electric turbo the C 43 is equipped with a mild-hybrid 48-volt electrical system.
Mercedes claims this means reduced lag and improved throttle response for a sportier driving experience.
It also helps make this small engine produce big amounts of performance, with AMG extracting 300kW of power and 500Nm of torque from this 2.0-litre, which is more power than the previous six-cylinder C 43 managed.
The engine is paired to a nine-speed multi-clutch transmission, which isn’t a dual-clutch with a pair of clutches operating on every second gear ratio, but instead uses a “wet start-off clutch” for better take-offs and smoother shifting on the move (at least in theory).
Power is sent to the road via all four wheels thanks to Mercedes’ 4Matic all-wheel drive system.
With all its cylinder shut-off, hybrid tricks and small capacity, the 1.5-litre engine boasts a 5.0 litres per 100km combined cycle fuel economy figure.
Combined with its 50-litre tank, that’s a potential for 1000km between service-station visits. It’s also commendably close to the numbers you’d expect from a similarly sized vehicle with a turbo-diesel engine.
The more conventional 2.0-litre A3 variant, meanwhile, boasts a still-credible 6.7 litres per 100km for the same test. To counter its greater thirst, Audi has fitted a slightly bigger, 55-litre fuel tank.
The headline act, of course, is the base-model’s highway figure which, thanks to the small capacity engine and its reduced pumping losses at small throttle-openings, can get right down into the low-fives (5.0 litres per 100km) in the real world at real highway speeds.
With a tail-wind, you might even see a number starting with four. This is why you don’t need a diesel engine any longer.
Expect the 40 TFSI to use roughly a litre more across every 100km travelled. And in either case, you are stuck with paying for 95-RON premium unleaded.
Despite the smaller engine you can hardly call the C 43 miserly, with a claimed combined urban/highway cycle rating of 9.1-litres per 100km. That’s only a 0.2L/100km improvement over the old six-cylinder.
On test, which included a return trip from Sydney to Bathurst via motorways and some dynamic back road driving, we saw a return of 11.8L/100km on the car's onboard computer.
While hardly hybrid-worrying, it’s impressive to think that driven modestly, such a potent engine can return a single-digit fuel figure.
Let’s start with the less powerful 35 TFSI, if only because - even though we know better in 2022 - there’s a temptation to think a 1.5-litre engine will be underdone. The reality, however, is that you’re not going to drive this car and judge it as anything other than very resolved.
While it’s true the peak power of 110kW isn’t startling, it’s the way it’s delivered (along with the 250Nm of torque) that sets the mood here.
Like many late-model Audis, this one has an engine with a fizzy, zingy feel that makes you want to rev it just to hear and feel it. And when you do, it pays off with plenty of flexibility and a sophisticated, refined feel.
Whether the mild hybrid driveline is adding anything to the formula is debatable, because the technology is so seamless you won’t pick what it’s doing other than the engine stop-start function, which is one of the better ones we’ve sampled.
Move from the 35 into the 40 TFSI and you immediately notice the extra power and torque on tap. And although it’s still not a hot-hatch by modern standards, there’s always enough urge to make the 40 TFSI a convincing driver’s car.
Again, the power delivery is the key to it all, making more of what the engine has to offer by actively encouraging you to use it. The seven-speed dual-clutch transmission is your friend here.
The extra driveline functionality of the 40 (namely the AWD system) actually means less than you might imagine in day-to-day life. We didn’t get to drive the car in the wet, but it’s fair to say that those conditions (or a loose, gravel road) are really the only ones likely to make a difference to the way the basic platform feels.
That’s for two reasons; the first being the all-wheel-drive is fundamentally on demand anyway and, secondly, the basic platform is so composed and balanced in the first place, that the Quattro system will spend a lot of its time hiding in the background.
The 40 TFSI also get the selectable drive modes which break with tradition by actually making a difference to the way the car feels.
But the reality is that if you took the best bits of every other setting (Comfort, Dynamic and Efficiency) and loaded them into the Individual button, you’d probably wind up with something very close to what the non-adjustable 35 TFSI offers in the first place.
You have to admire the way Audi has made a front-drive car in the A3 steer, handle and talk to the driver in such a clear, precise way.
Yes, the 40’s selectable modes add another layer to that, but only if you can be bothered. Even more than that, the A3 in either form feels like its ultra-stable and safe, while the levels of feel and feedback give the impression they were decided upon by people who enjoy driving.
Let’s start with the good news. The new Mercedes-AMG C 43 is a quick car. The engine may be small in size but the electric turbocharger does its thing and provides plenty of punch.
You can get a performance boost, too, thanks to the belt-driven starter generator, which acts as a mild hybrid and gives you a surge of 10kW for a brief period if you need a sudden burst of extra speed.
The chassis is well-sorted, too, at least from a dynamic point-of-view. The rear-wheel steering can provide up to 2.5 degrees of turning, which improves handling at speed and manoeuvrability when parking.
However, there are some less-impressive elements to the C 43, too. The obvious one is the drama, or rather the lack thereof.
As I said at the beginning, the C 43 has never been as wild or raucous as the V8-powered C 63, but when you buy an AMG there’s a rightful expectation that it will provide some thrills.
The C 43 simply doesn’t have that character about it. Yes, it’s fast, but it produces that speed with efficiency rather than excitement.
And it’s not an engine size problem, because even the 2.0-litre four-cylinder A 35 and CLA 35 offer more ‘wow factor’ than the C 43.
Yes, the engine makes noise under acceleration (and it can be altered between discreet and sporty) but even at its best it sounds muted and lacks the evocative tone of a V8 or six-cylinder engine.
Another disappointment is the transmission calibration, with the gearbox awkwardly shifting out of first gear on multiple occasions during our test drive.
In the taller gears it felt smooth enough cruising along, but given its low speed shifts we’d like to spend more time in the urban environment before passing final judgement.
The other notable element of the driving experience we struggled with was the ride quality. While fine on the smoother motorways, our test drive included time on some patchy country back roads and the C 43, even in the ‘Comfort’ suspension setting, was simply too firm.
Riding on low profile tyres, the adaptive dampers struggled to isolate the cabin from the imperfections in the road, leading to a fussy ride at times.
Overall the C 43 is a good car, but it feels like there are still some areas where Mercedes could improve it to make it really live up to the AMG badge.
Possibly the headline (no pun intended) act here is the inclusion of a centre-front airbag. This is something we’ll be seeing a lot more of in the future, particularly in compact cars, where the proximity of the front-seat passengers can lead to head clashes in a side-impact crash.
Beyond that, the Audi has six airbags including side-curtain airbags.
In terms of driver aids, the A3 sets a high bar for its competitors, and with autonomous emergency braking including pedestrian and cyclist recognition, rear-cross-traffic alert, lane-departure assist and a rear-view camera, most bases are covered.
The major omissions are adaptive cruise-control, but that’s available in the 35 TFSI as part of the $2600 Comfort Package, and in the 40 TFSI as part of the $4500 Premium Package.
Yes, the Premium Package also includes heated, memory front seats, a head-up display, improved stereo and the multi-coloured ambient interior lighting (and more) but it does seem strange that it costs more to option up to adaptive cruise in the 40 TFSI than in the base-model.
The A3 scored the full five stars in ANCAP crash testing in 2020.
The C43 gets a comprehensive list of safety equipment that leaves little out. Obviously there are the usual passive safety items, like 10 airbags, including dual-front combined pelvic/thorax airbags and a front centre bag that drops between the front seat passengers to minimise the chances of a head clash.
Also included as standard is autonomous emergency braking front and rear (covering speeds between 7.0-200km/h), adaptive cruise control with active stop/go, a 360-degree parking camera, 'Active Parking Assist', 'Active Lane Keeping Assist', 'Blind Spot Assist' and, of course, anti-lock brakes with 'Brake Assist' and 'Adaptive Brakes' with Hold function and electronic stability control.
Also included are dusk-sensing LED lights, rain-sensing wipers and run-flat tyres with tyre pressure warning.
The C43 also comes equipped with Mercedes’ 'Driving Assistance Package Plus', which adds even more safety gear. This includes 'Active Blind Spot Assist', 'Active Brake Assist with Cross-Traffic Function', 'Active Emergency Stop Assist', 'Active Lane Change Assist', 'Active Lane Keeping Assist', 'Active Steering Assist', and 'Active Stop-and-Go Assist'.
While the C43 hasn’t been specifically crash-tested, the latest C-Class was rated by ANCAP with a five-star score for all models except the upcoming C 63 S E Performance.
Audi recently improved its factory warranty from three years to five years and unlimited kilometres. Any new Audi (including this one) sold after January 1 this year is the beneficiary of that change.
Audi specifies service intervals of 15,000km or 13 months.
There’s also the option of a fixed-price servicing program for the first five years of A3 ownership, and that will cost you $2250, for an annual average of $450.
The C 43 is covered by Mercedes’ five-year, unlimited kilometre warranty, which has become the new standard for the luxury car market.
Service intervals for the car are at 12 months/25,000km, which is on par with industry standard.
Mercedes-Benz Australia will offer a service plan for the C 43, prices were yet to be confirmed at the time of publication but the company has indicated it will be similar to the C300.
That means $550 for year one, $900 for year two, the third service costs $1000 and the fourth year service costs $2450 - for a total of $4900 for the first four years of ownership.