What's the difference?
Replacing a popular model is fraught with danger. Existing customers will tell you they love it, while focus groups of non-customers will tell you why they hate it and sometimes carmakers get caught trying to appease both groups.
Sometimes they’ll make it too big or change too much in the search for more sales and ultimately end up removing the elements that made it popular in the first place.
Which is why Audi has been extra careful with some subtle evolution for this new-generation Q3 SUV and Sportback. This isn’t just a popular model for Audi Australia, it has been the best-selling model for the German brand for more than five years, so getting it wrong would be a disaster.
Honda used to be a big deal in Australia back in the 1990s and early 2000s but I wouldn’t be surprised if it’s moved off your radar in recent years.
The Japanese carmaker has seemingly fallen out of favour in the last few years following its move to an agency retail model which negates haggling on price with dealers.
However, Honda is making a resurgence and it’s putting a heavier focus on hybrid power.
The ZR-V small-to-medium SUV has been updated for 2026 and picks up new, more affordable hybrid trims, among other minor tweaks. Read on to see if this car should be on your shortlist.
So is this new Q3 good enough to remain Audi’s number one choice? In a word, yes.
Audi has resisted the temptation that some brands fall into by making too many changes to a proven sales performer. This new Q3 isn’t radically different from the old Q3, but it has improved in almost every way.
It isn’t different enough to widely expand its appeal to a new wave of customers, but there’s no reason it won’t remain Audi’s most popular choice for the foreseeable future.
Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.
The Honda ZR-V has always been an engaging and fun car that’s the right size for many people. The frugal hybrid powertrain has always been the pick too.
It’s great that Honda has finally introduced more affordable hybrid trims with this update which addresses one of my biggest criticisms of this car previously.
If you’re willing to forgo some luxury features, this entry-level hybrid trim is a fantastic car that still offers enough creature comforts to be driven daily.
Hopefully Honda has some renewed sales success with this car as I believe it’s a clear benchmark for the segment.
The brief to the designers was seemingly pretty simple - don’t mess with a good thing.
According to the company, they want it to be recognisable as an Audi from 100m away, but at the same time, it makes sense not to make any radical changes to a design that is clearly a hit with buyers.
There’s still a new grille, which is slightly larger, while the daytime running lights (DRLs) are now mounted high, on the top corners of the front fascia.
Audi prides itself on its lights and the Q3 features multi-segment DRLS, with dynamic light effects, plus the rear badge lights up red with the tail-lights are turned on.
Digital matrix LEDs are available as an option on the quattro grades, which is a first for such a small Audi. While based on the technology already deployed in the bigger, more expensive Audi models, this is an updated system with micro LED matrix capabilities that are better able to light up the road ahead without blinding cars ahead or oncoming.
One very noticeable element to the design of this new Q3 is the size - which hasn’t really changed. Audi has resisted the temptation that so many brands have to upsize a compact model and has instead retained the same size that buyers clearly find appealing. It is slightly longer, approximately 4cm, but is still unmistakably a Q3 in looks and size.
Inside the Q3 is a different story, with the designers clearly empowered to create more change. The elements remain similar, but there have been more dramatic changes compared to the exterior to keep the Q3 looking contemporary and luxurious.
For example, there are still two large screens, just like the old model, but the virtual cockpit and multimedia screen are integrated into the dashboard together and more prominently, moving higher up the centre fascia.
It works well, as the interior looks and feels premium, and very much an Audi, albeit on a smaller scale.
To cap it off there are four interior colour packages to choose from, plus four different choices for the inlays, including two real wood options and an aluminium trim.
The exterior of the ZR-V has always left me feeling quite… meh. It’s a mundane and generic look that doesn’t stand out from the crowd, but that's no bad thing because not everyone wants a flashy car.
That said, I’m still not a fan of the front grille, which makes it look like this car has a moustache.
The dark red paint looks nice, though when it’s paired with these generic-looking grey alloy wheels and black wheel arch cladding, it cheapens the look. The top-spec e:HEV LX looks more attractive.
Inside, it’s similarly standard and doesn’t break the mould. Everything is where you’d expect it to be, which is great for functionality.
The wildest part of the interior is the centre tunnel which features a push-button gear selector and a split console section including a small storage area underneath that’s big enough for a phone.
Looking around, it’s a sea of black finishes, which is a bit boring. However, I do like the mesh panel that spans the dashboard and houses the air vents. It’s a premium touch.
The biggest change to the interior is the technology, with a new multimedia interface with new, larger tiles as well as new ‘Control Unit’ for the key driving functions.
The ‘Virtual Cockpit’ display is much simpler, with a nice, clean look, plus the option to have the satellite image on the screen, whether you’re in navigation or not. The multimedia screen is a good size (12.8 inches) and the menus are easy to navigate. The decision not to have physical controls for the climate control is disappointing, but thankfully there is a volume/on-off dial for the sound system.
The most notable difference is the so-called ‘control unit’ that integrates the indicators, wipers and gear selector on a single ‘bar’ mounted to the steering column. It’s another example of modern cars reinventing something we’ve all become accustomed to, but after a day of driving it quickly becomes second nature to adapt to the slightly different controls.
While it may be the same size, Audi has managed to find more room inside, particularly the rear, by redesigning the door pockets and sculpting out the seat backs. It’s still not the roomiest cabin, but the rear seats will be fine for younger families, couples and singles.
Another plus is the 40:20:40 split/fold rear seats for maximum practicality and adaptability, while all three have child seat anchor points (although if you do have three small children, I wouldn’t be recommending an SUV this size).
As for the boot, because Audi only measures to the top of the seats, it measures 488L in both the SUV and Sportback variants, so you’re not missing out on day-to-day practicality with the sportier-looking roof. However, if you drop the rear seats the cargo capacity expands to 1386L in the SUV but only 1289L in the Sportback.
In base-model form, it’s expected the ZR-V will have fabric upholstery. However, the seats still feel premium and are deliciously padded. They’re manually adjusted but I was still able to find a good driving position with ease.
One feature I was looking for was heated seats, especially on these brisk Melbourne mornings. It’s rare for a car with fabric seats to get heated seats, though. If you want them that badly, they’re available on higher trims.
Ahead of the driver is a leather-wrapped steering wheel which feels lovely. I particularly like the tactile feel of the buttons and switches.
The digital instrument cluster is clear and crisp. It offers multiple views to customise it, as well as a range of infographic pages to cycle through. I wish you could see the fuel consumption and hybrid system graphics at the same time, but thankfully they’re just a single scroll away from each other.
Moving across, the central touchscreen multimedia system is looking a small in 2026, measuring only 9.0 inches, although it’s still high-resolution and the colours are vibrant.
It appears computing power has been given a boost along with the integration of Google Built-in, as jumping from menu to menu has never been snappier.
Speaking of Google Built-in, it’s great to have the flexibility of using the integrated Google Maps and apps like Spotify and Apple Music, without needing your phone.
However, it’s still nice having Apple CarPlay and Android Auto, though the latter is strangely only offered in wired form. With my iPhone 15 Pro Max, the wireless connection was rock solid, though known interference points did cause CarPlay to stutter.
It’s great to see Honda retaining a physical climate control cluster as it’s intuitive to use. The dials in particular have a satisfying click when twirled.
In terms of storage there are two cupholders, two USB-C ports, a big centre console box, as well as an adequately sized glove box. It’s worth noting this trim level forgoes a wireless charger, meaning you’ll need to plug in to charge your phone.
Moving to the second row, there’s a surprising amount of space, even for adults. At a leggy 182cm, I have plenty of legroom and headroom.
You would easily be able to get two adults in the second row, though you’d be pushing it to fit three as the middle seat is narrow and raised. Kids will be fine, though.
Adding to the annoyance of the middle rear seat, the seat belt is mounted from the roof, which can obstruct rear visibility.
In terms of amenities there are air vents on the back of the front centre console, two USB-C ports, map pockets on the back of each front seat, as well as a fold-down centre armrest with cupholders.
There are also ISOFIX points on the two outboard seats, as well as top-tether child seat anchorages on all three rear seats.
Around the back it’s expected the entry-level hybrid will feature a manually operated tailgate. It’s light to open and close.
With the rear seats upright there’s 380L of boot space available, which is decent for this size of car. This figure includes a small underfloor section.
If you fold the rear seats the boot space expands to 1312L, which is cavernous for this type of car. The rear seats cleverly fold forwards and down at the same time, creating a seamless flat floor.
Boot-related amenities include a number of hooks, a 12V socket plus some lights. As is the case with many hybrids, the ZR-V e:HEV doesn’t come with any spare wheel. You need to make do with a tyre repair kit, which is nowhere near as handy if you have a proper puncture away from a tyre repair shop.
A key to the popularity of the Q3 is the variety of choices available to customers. By offering a mixture of variants at different price points and with different levels of performance expands the appeal of the Q3 to as many potential buyers as possible. To that end there are no less than 10 variants to choose from, and that’s just for now, with more likely to join in the future.
At this stage the range includes both SUV and Sportback body styles, the choice of a 110kW, 150kW or 195kW engine with front- or all-wheel drive (or quattro, as Audi calls it). While still not confirmed, both a plug-in hybrid and a high-performance RS Q3 are both likely additions sometime in the future.
Starting with the 110kW model, standard equipment includes 18-inch alloy wheels, adaptive LED headlights, ambient interior lighting, keyless entry and ignition, leather-appointed upholstery and a 10-speaker sound system. The 110kW SUV is priced from $61,600 and the Sportback from $64,600.
Moving up to the 150kW quattro variant adds adaptive dampers, which the 195kW models also get, as well as 19-inch alloy wheels, and there’s an optional premium Sonos system for the more powerful models and a panoramic glass sunroof and a head-up display as part of a $4400 option package. Pricing for the 150kW begins at $70,200 for the SUV and $72,700 for the Sportback, while the 195kW is priced from $81,900 (SUV) and $84,400 (Sportback).
There’s also a Launch Edition available which adds between $5400 and $4400 to the price (depending on variant), but includes the S line exterior styling package, black exterior highlights, metallic paint, red brake callipers, a sound actuator and adaptive dampers. As the name implies, these are only available for launch of the new model, so will only be produced for the first two months.
It should also be noted that standard 110kW models won’t arrive until mid-year, once the factory in Europe is done producing the Launch Edition variants.
Honda has shuffled the ZR-V line-up for 2026, decreasing the petrol variants to a single, entry-level trim, while increasing the hybrid grades from one to three.
On test here is the ZR-V e:HEV X, which is the cheapest hybrid. It’s priced from $43,400, drive-away, which is $3500 more than the base petrol trim and $8500 less than the top-spec hybrid option.
This is priced keenly against entry-level versions of the Hyundai Kona Hybrid and Toyota Corolla Cross Hybrid, while undercutting the Nissan Qashqai e-Power hybrid.
For the price you get standard 18-inch alloy wheels, adaptive LED headlights, a 10.2-inch digital instrument cluster, a 9.0-inch touchscreen multimedia system with wireless Apple CarPlay and wired Android Auto, dual-zone climate control and cloth upholstery.
Now standard across the ZR-V line-up is Google Built-in which allows for Google Maps integration, the Google Assistant, plus you can download a number of apps, including Spotify, from the Google Play Store.
If you’re after features like a power tailgate, premium sound system, wireless charger, leather upholstery, plus heated seats with electric adjustment, you’ll need to look higher in the line-up. These are largely all nice-to-haves than musts, anyway.
As mentioned above, there are three powertrains to choose from initially, with talk of a plug-in hybrid and hi-po RS Q3 just that (talk) for now.
The entry-level SUV and Sportback get a new 1.5-litre four-cylinder mild-hybrid, turbocharged petrol engine, which makes 110kW/250Nm and sends all that performance to the road via the front wheels through a seven-speed, dual-clutch automatic transmission.
Next up is the TFSI 150kW quattro, which is a bigger 2.0L turbo-petrol four-cylinder, producing (you guessed it) 150kW and 320Nm. It also has a seven-speed dual clutch but also unsurprisingly has a quattro, aka all-wheel drive.
Finally there’s the TFSI 195kW quattro, which has the same engine but tuned to make 195kW and 400Nm, also with the seven-speed, dual-clutch auto and all-wheel drive.
This is naturally the quickest Q3, at least until the RS Q3 arrives, taking just 5.7 seconds to accelerate 0-100km/h, compared to 9.1 seconds for the 110kW and 7.1 seconds for the 150kW.
Power in the ZR-V hybrid continues to come from a 2.0-litre four-cylinder petrol engine with two electric motors. Total system outputs are 135kW and 315Nm.
This is sent to the front wheels only via an electronic continuously variable transmission (eCVT).
The Honda hybrid system positions the engine primarily as a generator for the battery pack at lower speeds, however once you reach 60-70km/h it can couple with the front axle and directly power the wheels.
It’s a smart system that allows for an electric zippy feel at lower speeds with the backing of a petrol engine at higher speeds.
While it may only be a mild hybrid, Audi has done its best to make the TFSI 110kW as fuel efficient as possible. To that end, in addition to the hybrid help this new 1.5-litre engine also features cylinder-on-demand.
The result is a claimed combined cycle fuel use figure of 5.7L/100km for the entry-level model.
Naturally the more powerful engines require more petrol. The 150kW models are rated at 7.3L/100km, while the 195kW has a claimed 8.1L/100km.
It’s worth noting that all three engines require a minimum 95 RON ‘premium’ fuel, which will only add to the cost at the pump in these times of high prices.
The 110KW/150kW models are fitted with a 55-litre fuel tank, while there is a bigger 60-litre tank for 195kW. That means theoretical driving ranges of approximately 960km for the 110kW models and just over 740km for the 150kW and 195kW offerings.
Honda claims the ZR-V hybrid consumes an average of 5.0L/100km on the combined cycle, according to ADR testing.
In practice, I’ve seen way less than this, which is fantastic. On one particular drive around the city I achieved a mind-boggling average of 3.7L/100km, but my overall average hovered around 4.5L/100km.
There is a 57L fuel tank and a minimum of 91 RON regular unleaded petrol is required.
You should easily be able to travel more than 1000km per refill, so don’t expect to be visiting servos very often.
While it may not be an RS model or a more dynamic sedan, part of the price premium you pay for an Audi is a more polished driving experience.
With that in mind, what Audi calls ‘Progressive steering’ (which is a variable ratio steering rack) is now standard across the range. This decision was driven by a desire to make the Q3 feel ‘more hatch-like’ to drive, being more responsive to driver inputs.
It certainly felt quite nice to drive at the launch, where we drove across a wide variety of conditions, including long stretches on winding mountain roads. The 110kW Launch Edition was enjoyable to drive in these conditions, even if the other two options offer a sportier driving experience with their extra power and all-wheel drive.
It should be noted again, we only drove Q3s fitted with adaptive dampers as those are included on the Launch Edition, so we can’t tell you how the true entry-level TFSI 110kW model rides and handles.
One minor concern was there were some rattles in one of the three cars we tested, centred around the dashboard and front doors. It’s notable because we have experienced similar potential build-quality issues with Volkswagen and Skoda products recently. This raises some questions about an area Volkswagen Group products have traditionally excelled in.
Having said that, it was only a problem in one of the three cars we drove, so it could be an isolated incident. But it’s something we will have to keep an eye and ear open to in future test drives.
The ZR-V’s hybrid powertrain has oodles of zip, thanks to there being two electric motors which handle a lot of the low-speed grunt.
It’s surprising how much of the driving can be done on electric power alone, provided there’s enough battery charge. Even at highway and freeway speeds the engine will switch off and coast on electric power alone.
When the petrol engine kicks on, you can barely feel it in the cabin or through the accelerator pedal. Instead you’ll only hear a familiar CVT-like drone as the engine charges the battery.
The petrol engine drone is noticeable but the note it makes more pleasant than a Toyota hybrid. Plus when you push the accelerator that bit harder it pretends to shift through gears, making the driving experience more engaging.
At higher speeds there’s plenty of oomph as the petrol engine and electric motors work in tandem. It feels like the powertrain is never stressed, making for an effortless touring feel.
There are a number of different regenerative braking modes accessed via the paddle shifters. The default is the weakest which allows you to coast more like a regular, pure-combustion car.
You can ramp up the intensity of the regenerative braking but there is no 'one-pedal' driving mode and you’re required to use the brake pedal to come to a complete stop.
From the driver’s seat you have a commanding view of the road ahead thanks to the elevated driving position. There are also large side mirrors and a big rear envelope, giving good all-around visibility.
Around town the ZR-V has a nimble feel thanks to its light-ish steering. This translates to a dynamic feel with a touch more weight out on the open road.
It’s surprising how engaging and fun this car is to drive, especially because it’s a regular SUV with no obvious sporty characteristics.
The suspension errs towards soft, but this helps soak up sharper bumps. This car never feels uncomfortable from behind the wheel which is at least partially down to the 18-inch alloy wheels being the right diameter for a car of this size.
Audi claims this is the safest Q3 ever, with more safety equipment than before to ensure it meets modern customer demands.
There’s a 360-degree camera setup, reversing camera, adaptive cruise control and a host of other active safety features. But perhaps more importantly than just having these systems, they are locally tested and calibrated for local conditions.
This has quickly become an area where the premium brands are separating themselves from the mainstream. In the case of the Q3 we found that the lane keeping assist and adaptive cruise control worked better than your average mainstream model, so the local testing appears to have paid off.
Another safety feature worth mentioning is the new parking assistance system, which now includes ‘reversing assist’. This new technology can remember the last 50m of your trip and reverse backwards without your help. There’s also ‘trained assist’, which can learn up to five specific parking situations, that you can program and save. So, if you have a particular driveway or parking spot you can teach the car once and it can park itself in future.
The Q3 comes equipped with enough safety to score a maximum five-star rating from Euro NCAP and ANCAP. However, in a confusing twist, this is based on testing done to the 2025 protocols, even though the Q3 has only gone on sale in 2026. So future five-star ANCAP models will have been tested to a theoretically higher standard, which is something to consider when comparing models from other brands.
The Honda ZR-V received a four- out of five-star ANCAP safety rating based on testing conducted by Euro NCAP in 2023.
Despite this, the entire line-up is stacked with standard safety equipment. Highlights include 11 airbags, autonomous emergency braking (AEB), blind-spot monitoring, rear cross-traffic alert, lane-keep assist, adaptive cruise control, front and rear parking sensors as well as a reversing camera.
It’s worth noting a surround-view camera is reserved for the top-spec hybrid trim only, which is a little annoying.
However, the ZR-V doesn’t have any annoying beeps and bongs that play while you’re driving. All the safety systems are well calibrated and only interact or engage when required.
The Q3 is covered by Audi Australia’s standard five-year/unlimited kilometre warranty. This includes five years of roadside assistance too.
There is a standard five-year servicing plan for $3300, which is the same as the outgoing model, with servicing required every 12 months or 15,000km, whichever comes first.
Audi has an expansive, nationwide dealer network befitting its place as an established sales leader in the premium space.
ZR-V owners receive a five-year, unlimited-kilometre warranty as standard, whereas the high-voltage battery is covered for eight years.
If you service at Honda dealers when required, however, the standard warranty coverage is extended to eight years. This is more on par with many mainstream brands.
Speaking of servicing, it’s required every 12 months or 10,000km. The latter may be troublesome if you do a lot of kilometres.
The first five services are capped at $199. This is very affordable and on par with Toyota.
There are close to 90 'Honda Centres' across the country covering state and territory capitals as well as key rural and regional centres.