What's the difference?
The Audi SQ8 has had a mid-life refresh but this upper large SUV still offers luxury with its powerful V8 engine that fans know and love, as well as the features you would expect in a top model.
It competes against the Mercedes-AMG GLE and Porsche Cayenne but we’re family testing the SQ8 to see how it handles domestic life.
Keep reading to see what we’ve discovered.
Back in 2010, Mitsubishi released Australia’s first mainstream electric vehicle (EV) in nearly a century.
That model, the i-MiEV, was a four-seater city-sized Kei car from Japan that cost $48,800, before on-road costs, or from roughly $70,000 in today's money. Little wonder it bombed. That was four times more than petrol-powered equivalents of the time.
Now, in 2026, the new BYD Atto 1 is the first EV sold here since the i-MiEV’s 2013 departure to be considered a four-seater city car.
It’s also the least-expensive EV money can buy, being even cheaper than many internal-combustion engine alternatives like the Mazda 2 and Toyota Yaris hybrid. The fact is, there’s nothing remotely near the Chinese supermini’s base price that’s electric.
But is the Atto 1 any good?
The Audi SQ8 isn’t your typical performance SUV. It’s more refined and less flashy. The tech can be more complicated than it needs to be and if you’re wanting that V8 soundscape, you won’t find it here.
However, the handling and on road experience are superb plus you can comfortably haul the family around and look good doing it.
The BYD Atto 1 has already earned its place in history as the cheapest new EV ever sold in Australia. And the good news is that, on the strength of bigger-battery Premium version, it rarely puts a foot wrong as a city car, exceeding performance, efficiency, refinement and comfort expectations. The Atto 1 really delivers around town.
But the baby BYD’s price is too close to larger EVs with better range, while extended exposure reveals issues with seat comfort, touchscreen access/distraction, ADAS interference and nervous steering feel at speed. Australian road tuning is required to rectify these.
Still, as a cheap urban EV runabout, the Atto 1 Premium still (just) stands alone. A glimpse into the future, someday, all city cars will likely follow in the bold BYD’s footsteps.
The SQ8 is a gorgeous coupe-style SUV that looks purposeful and poised with its balanced proportions and wide stance. It’s stands apart from its siblings thanks to the S-styled nose treatment and our test model's black accent package makes the honeycomb grille look even sportier.
The update sees new air intake vents at the front, matrix LED headlights and new chrome exhaust tailpipes.
The upgraded 23-inch alloys with red calipers behind them hint at what’s under the bonnet, as does the Sakhir (sack-heer) Gold paintwork which is aptly named after the one-off Grand Prix race circuit.
The interior looks luxuriously appointed with the black Valcona leather upholstery and the dash is headlined by three high-end technology screens. The SQ8 also gets sport seats featuring a quilted design and 'S' badging but there’s not much else separating it from its siblings.
Audi fans will love the the SQ8's more understated interior but newcomers might be surprised it's not as flashy as some of its rivals.
Fun fact. Designer Wolfgang Egger was responsible for the gorgeous Alfa Romeo 156 of 1997 among others, as well as some Audis and Lamborghinis later on. You can definitely see the latter’s influence in the Atto 1’s angular face.
Based on the Dolphin architecture and badged the Dolphin Surf elsewhere (as well as Seagull but that name wouldn’t fly here), the BYD’s boxy proportions are pure supermini and is about the size of the previous-generation Honda Jazz.
However, the designers have added some crossover cues to the styling, including plastic cladding around the wheel arches, to give it a pseudo SUV look.
Inside, though, the Atto 1 is unashamedly hatchback in layout and appearance, with a contemporary, minimalist dash, big central touchscreen with precious few buttons and loads of storage.
In other words, a typical modern small car from China.
The upper large SUV tag certainly makes sense when it comes to cabin space because there's a lot of it. Both rows enjoy ample head- and legroom and access is great thanks to wide door apertures and high ground clearance.
Comfort is high with well-padded seats and thanks to the Sensory Package all but the middle back seater get some luxury extras.
The centre rear position has compromised legroom courtesy of the transmission tunnel, so it's best for a kid. However, the front seats take the cake with their massage, heat and cooling functions and adjustable supports.
Amenities are great throughout the car and the extendable sun visors, rear electric sunshades, soft-close doors and four-zone climate control clinch the practicality deal.
Individual storage is a bit sparse up front with two cupholders, a drink bottle holder in each door and a shallow middle console that realistically only fits a phone.
The glove box is a great size. I can fit my handbag in it, but there are not a lot of areas to pop your smaller items in.
Individual storage is a bit better in the rear as you get two big map pockets, a drink bottle holder in each door, plus two cupholders in the fold-down armrest - so it feels like you have more places for your bits and pieces.
Technology looks amazing but overwhelming to use until you wrap your head around it all. The haptic feedback also gets tired fast. The built-in satellite navigation is super simple while the head-up display and digital instrument cluster feature pull through directions, which is handy.
Charging options are good with each row getting two USB-C ports and a 12-volt socket but the front also enjoys a wireless charging pad. The pad is slow to charge, though, and left my iPhone feeling super hot whenever it was used.
The boot is a good size at 605L and easy to access, too. The sloping roof means larger items have to sit flush with the seats but you shouldn’t have to worry for road trips.
The back seat has a 40/20/40 split which opens up storage options and this model has a powered tailgate.
The BYD’s boxiness sure pays dividends accessing the Atto 1's interior, aided by tall doors, a high roof and lofty seating.
Initial impressions are very positive.
Lots of space, a decent driving position (in the Premium at least; the Essential has rake-only steering adjustment), grippy little wheel and a solid look and feel impart a sense of quality. This does not seem built down to a price.
The elevated centre console/fixed armrest provides ample storage below and easy reach of USB ports, sturdy cupholders above and a raised smartphone rest that doubles as a charger (again, only on Premium), allowing for quick downward glances without having to touch the device. Helpful.
Further points are won due to the very clean and minimalist dash presentation, with an electronic instrument display ahead of the driver (not a given nowadays thanks to Tesla’s minimalism-gone-mad influence), offering all the information you need in a concise and notably colourful manner.
That 10.1-inch central touchscreen, meanwhile, is probably one of the better examples from China, possessing superficially logical operation, clear markings and a row of fast-access icons for climate, audio, vehicle function, home screen and other controls.
However, the more time you spend in the Atto 1, the more the cabin doesn’t stand up that well under scrutiny.
The shapely tombstone-style front seats, which look a million dollars, are comfortable on short journeys but disappoint during longer drives, revealing a lack of sufficient back and thigh support.
There are no regenerative braking paddle shifters for single-pedal driving, just an on/off tile requiring a distracting and time-consuming touchscreen-menu deep-dive.
In fact, most functions demand at least one or two eyes-off-the-road-ahead prods of the screen, which is annoying and potentially hazardous.
Using the climate control is a good (bad) example.
Infernally fiddly screen slide controllers that are hard to pin-point with a hovering finger while the car is moving, let alone modulate, leads to temperature-selection fury. And those vinyl seats are clammy regardless of humidity levels and their perforations don’t help. Setting the desired climate environment is an utter faff.
And why must BYD’s synthetic leather smell so pungent? The off-gas odour can be nauseating for some on warmer days.
Worse still, even a glance towards the touchscreen sets off the distraction nannies. Frustrating. So is the intrusive lane-keep assist tech, unless you keep the car perfectly centred, with its constant nudging of the wheel while it nags away. More like Aggro 1.
Inevitably, turning these and other ADAS warnings off requires several menu deep-dives, leading to more driver-distraction paranoia. It’s a circle of stupidity for tech that’s meant to protect. And every new drive defaults to ‘on’. It's an infuriating mess.
Meanwhile, the Atto 1’s (two-person-only, remember) rear seat area also starts off promisingly, with easy entry/egress, adequate space (even for long legs and big feet) and a backrest and cushion combo offering sufficient comfort and support.
Amenities include useful door storage, overhead grab handles and map pockets, while the back of the centre console provides a cubby area just wide enough hold a bottle or larger keep-cup. That’s necessary because there is no folding armrest or subsequent cupholders back there, nor reading lights or USB ports.
And while the upward sweep of the window line means the rear can seem dark, the shape of the front seats allows some vision around and even through them for rear occupants.
Further back, the boot area is larger than the BYD’s diminutive size suggests, at 308 litres with backrests erect and 1037L with them folded forward.
The deep floor hides an even deeper cavity that’s large enough for charger cables, laptops and other paraphernalia that should be out of sight. That almost negates the need for the AWOL luggage cover.
But there's also a tyre repair kit instead of a spare wheel in there, and regular readers will know how incorrect that is. Every vehicle sold in Australia should come with one. Even city cars.
Loading/unloading is easy and there are hooks to secure things to, but clearing the high lip may be an effort for some.
And, though an EV, the is no extra storage to be found under the bonnet. The Atto 1 has no front boot, or froot.
There are three fuel-based variants for the Q8 and the model on test is the top-spec SQ8 TFSI quattro. Its mid-life refresh has seen a price hike of $10,015, bringing it's before on-road costs price to $178,815.
Our test vehicle has also been fitted with a few extras, like a 'Sensory Package' ($14,400) which includes a black headliner, upgraded 23-speaker Bang & Olufsen 3D surround sound system, massage function for the front seats, heat function for the rear outboard seats, electric sunshades for the rear row and an air-quality perfume function.
Also fitted are various black and matt carbon accents across/inside the body for a total of $5400, optioned 23-inch alloy wheels ($3000) and specialised 'Sakhir Gold Metallic' paintwork for $1600. Which brings the total MSRP price tag to $203,215.
Even with all of these extras, the SQ8 is still the most affordable performance SUV compared to its nearest rivals as the Porsche Cayenne GTS starts from $212,600 MSRP and the Mercedes-AMG GLE 63 outstrips them both at $272,300 MSRP.
As you'd expect the standard features list is robust for the SQ8 and includes premium features like a panoramic sunroof, electric front seats with heating/cooling and memory functions, full-leather upholstery, soft-close doors and a heated steering wheel.
There is a bunch of high-end technology throughout which includes a colour head-up display, 10.1-inch touchscreen multimedia system, 8.6-inch climate control panel, 12.3-inch digital instrument cluster, satellite navigation, wired/wireless Apple CarPlay and Android Auto, digital radio, four USB-C ports, three 12-volt sockets and a wireless charging pad.
Practical features include keyless entry and start, rain-sensing windscreen wipers, dusk-sensing LED headlights, a powered tailgate, adaptive air-suspension and four-zone climate control.
Overall, not a bad list of features for this part of the market and you won't be left wanting.
And… what a perfect time to release Australia's cheapest new EV!
Sat alongside the base Essential from $23,990 (all prices are before on-road costs unless otherwise stated) is the Premium as tested here, starting from $27,990 and representing a $4000 difference.
But oh, what a difference.
The cheaper Essential comes with a 30kWh battery, providing a WLTP range of just 220km. Usefully, the Premium’s battery is 44 per cent larger at 43.2kWh, boosting range to a more-comfortable 310km, while power jumps by 77 per cent.
Every Atto 1 includes synthetic leather-trimmed seats, a 10.1-inch central touchscreen, rear camera with sensors, adaptive cruise control as part of some Advanced Driver Assist Systems (ADAS) tech (more on safety later on), wireless Apple CarPlay and Android Auto and even Vehicle to Load (V2L) functionality, so you can use your hairdryer on the fly. Handy!
However, the Premium ups the ante with a surround-view monitor, powered and heated front seats, reach as well as rake adjustment for the steering wheel, a wireless charger, LEDs rather than halogen headlights and 16-inch alloy wheels instead of 15-inch steelies with hubcaps.
But… both are four-seaters only. And neither offers an exterior temperature gauge, remote keyless entry from the passenger side (you’ll always need to press a fob), a luggage cover or a spare wheel – just the totally-unsatisfactory tyre repair kit.
Plus, there’s no heat pump so, in winter, turning the temperature up will drag range down noticeably, while a lack of liquid cooling for the battery will do the same during a hot Aussie summer, since the AC has to work overtime doing that job instead.
And we’re not convinced the Atto 1 represents such great value.
Yes, that small-battery Essential undercuts every hybrid bar Suzuki’s (mild-hybrid) Swift, including the MG3 Hybrid+ and Toyota Yaris HEV, and even the ageing Mazda 2 petrol costs more, but its limited range means it’s better as an inner-urban, small-distance-only commuter proposition. Best as a second or even third car.
Meanwhile, the bigger-battery Premium is priced perilously close to significantly larger EVs with greater range, including BYD’s own Dolphin from $29,990, the MG4 Urban from $31,990 drive-away, GAC Aion UT from $32,990 drive-away and the coming Geely EX2.
And, alongside cheaper-still petrol-powered alternatives such as the Kia Picanto, MG3 and MG5 sedan, there are also smaller SUVs that slip beneath the bijou BYD, like the Chery Tiggo 4, Haval Jolion, Hyundai Venue, Mahindra XUV 3X0 and MG ZS.
What we’re saying is, unless the Atto 1’s sub-four-metre length and narrowness are paramount, it’s behind the eight-ball for value against an array of more-substantial alternatives costing not much more.
Still, we get this is that rare thing today, a truly-new city car and we’re here for that.
Our test vehicle has a 4.0-litre, twin-turbo petrol V8 engine that produces 373kW and 770Nm. That means it sits in the middle of its rivals in terms of outputs with the Mercedes being top-dog with its 450kW/850Nm combo.
Still... the SQ8 is no dainty flower when it comes to power delivery and has an impressive 0-100km/h sprint time of just 4.1 seconds.
The SQ8 is a full-time all-wheel drive with an eight-speed auto transmission and the whole engine combo delivers a powerful but elegant on-road experience.
The Atto 1's electric motor is offered in two output choices. Either way, it can be found under the bonnet and driving the front wheels via a single-speed transmission.
The Essential scores a low-power version making 65kW and 175Nm of torque, which is enough for a 0-100km/h sprint time of a still-decent 11.1 seconds, while the Premium’s high-power unit ups those to 115kW and 220Nm respectively, shaving two seconds off in the process. Top speed is said to be 135km/h.
Note that, while the latter grade’s 43.2kWh battery adds 96kg overall compared to the smaller 30kWh model, it still enjoys a way-superior power-to-weight ratio of 82.7kW/tonne versus just 50.2kW/tonne.
The official combined (urban/extra-urban) fuel cycle figure is 11.9L/100km, which is lower than its rivals.
My real world usage sits at 12.3L/100km after a mix of open-road and urban driving.
This result is decent for a performance SUV but expect it to be thirsty in an urban environment as the on-board gauge hit the mid-20s in the city.
Based on the large 85L fuel tank theoretical driving range is 714km and around 690 using our real-world result. Respectable for a performance SUV but not as good as some family SUVs.
The official consumption average for the Essential is 15.5kWh/100km and its 30kWh 'Blade' LFP (Lithium Iron Phosphate) battery offers a WLTP range of 220km.
The 43.2kW Premium bumps the energy use figure up to 16kWh/100km but offers 310km WLTP.
We came close to latter claim, with 263km of mixed driving and still showing about 10 per cent of range left, while the car’s consumption readout averaged 13.7kWh/100km overall. That rose to 16.5kWh/100km during a stint of harder, highway-heavy driving.
Charging times vary. With an 11kW AC capability on both grades, the Essential needs up to 16 hours and the Premium 22 hours plugged into a regular socket, and five and seven hours respectively using an optional 7.0kW Wallbox.
Meanwhile, switching to DC fast charging, the Essential’s 65kW capability means a 10-80 per cent top-up can be achieved in under 40 minutes, against the 85kW Premium’s 30 to 50-minute requirement.
The SQ8 delivers on power because it’s effortless to get up to speed and the pick up is super responsive when the start/stop function is turned off (otherwise there can be some lag).
The engine doesn’t sound like a big and grumbly V8, though. There are some growls but it’s mainly when you turn the engine on and not to be obnoxious about it but if you're in a V8, you want to hear it as it’s part of the fun of having a big bruiser engine like this!
What doesn’t help the V8 soundscape is the fact the cabin sounds like a noise-cancelling headphone inside. There is a small hum from road noise but it’s pretty darn quiet. Almost EV quiet at times but that means the driving experience leans more towards refined and elegant rather than sporty and fun.
The SQ8's handling is great - super direct steering, stable in corners and well-rounded passenger comfort when it comes to suspension.
You still get road feedback, which I like as a driver, but it’s not too stiff thanks to the adaptive suspension.
The SQ8 is a large car but you wouldn’t know it when it comes to parking. The 360-degree view camera is clear and the dynamic guidelines help you to position this big unit even the smallest of car parks.
Sadly, we cannot comment on how the 65kW/175Nm Essential drives, but with 77 per cent more power and 25 per cent more torque, the 115kW/220Nm Premium’s performance is one of its calling cards.
Lively off the mark, even in Eco, it thrives in inner urban environments, with instant throttle response for effortlessly zippy and smooth acceleration, as you’d expect of an EV.
And it just keeps on keeping on at speed, giving the Premium a terrific breadth of performance flexibility. We’re now very curious to see how the Essential goes.
Armed with light and alert steering, the Atto 1 can weave in and out of traffic gaps with confidence and precision, and is backed up by a super-tight turning circle to boot, so parking manoeuvres around town is a doddle.
BYD’s decision to set up the chassis for a soft, long-travel suspension is appreciated, since the Premium takes most bumps and humps in its stride, making this one of the comfier city cars around.
Road and tyre noises are omnipresent, but aren’t not too bad overall by supermini standards, while the Hankook 185/55R16 tyres deliver sufficient grip, even over some rain-soaked roads we endured.
Most of these Atto 1 attributes also translate well at freeway speeds, with the Premium offering ample muscle for overtaking, slick steering responses and a planted chassis feel.
But, once you hit some faster corners, the BYD’s reactive steering, lofty seating and cushy suspension conspire to create considerable body movement, especially through tighter bends, scrubbing the front wheels as it turns wide (understeer).
Yet, press on a bit harder, the Atto 1 can instantly change its attitude to oversteer, feeling darty as weight shifts from the rear, making the steering suddenly too sharp and the car too nervous, Even experienced drivers might hesitate to carry on. And this happened on dry roads.
Of course, the BYD is a city car so not designed for sports-car handling, but it does lack the confidence and control of a hard-driven Mazda 2 or Suzuki Swift. Strangely, it seems more SUV-like than supermini, dynamically.
Most owners won't care, but they will have to live with the infuriating ADAS tune, with inexplicably sudden braking when the adaptive cruise control is on, and lane-support systems that all-too-often tug and bleat endlessly like an agitated goat, becoming too distracting, and requiring far-too-fiddly touchscreen menu diving to silence, especially as they default back on with every restart.
The driver-attention warning is also in a semi-permanent state of nerves, squawking all-too-regularly unless the driver is sat perfectly still, and will easily escalate the danger level to “take-a-break” should you dare move about in your seat. Which would be regularly, due to the latter’s lack of enduring support. A literal and metaphorical pain.
Clearly, then, the Atto 1 can really do with some Australian road tuning and on a number of fronts at that. Until this happens, these are the dark clouds blighting the blue skies that this car’s otherwise sunny disposition delivers with every urban drive on a daily basis.
Or, in other words, stick to the urban jungle.
The SQ8 has a maximum five-star ANCAP safety rating from testing done in 2019 and features eight airbags, including side chest airbags for both rows. It's common to only find the latter in the front – so that’s great for a family car.
The SQ8 scored well across its ANCAP individual protection segments, scoring 93 per cent for adult occupant, 88 per cent for child occupant, 71 per cent for vulnerable road user and 75 per cent for its safety assist.
The SQ8 has a long list of safety features including blind-spot monitoring, safe exit warning, driver attention monitor, fatigue reminder, matrix LED lights, SOS call, forward collision warning, rear collision warning, rear cross-traffic alert, lane keeping/departure aids, tyre pressure monitoring, adaptive cruise control (with stop & go and lane keeping), park assist and a 360-degree reversing camera plus front and rear parking sensors.
The rear row features two ISOFIX child seat mounts and three top tether anchors.
The SQ8 has AEB with car, pedestrian, and cyclist detection and is operational from 10 – 250km/h but it is usual to see this system operate from as low as 4.0km/h.
The Atto 1 debuted in China back in 2023, but this is a facelifted, international-market version evolved mainly for European consumers, so crash-tested by Euro NCAP only last year, and scoring a maximum five-star ANCAP rating.
Note, though, that while the baby BYD includes Autonomous Emergency Braking (AEB) with forward collision warning, lane-departure assist and adaptive cruise control as standard, there is no blind-spot monitor or rear cross-traffic alert. Odd for a city slicker.
Six airbags are fitted, including curtain protection for all outboard occupants, while there are two rear-seat sited ISOFIX anchorage points and child-seat tether points behind each backrest.
The SQ8 comes with a five-year/unlimited km warranty, which is a normal term for the class.
It also comes with capped servicing for five years or up to 75,000km and averages $920 per service, which is very good for the segment.
Servicing intervals are reasonable at every 12-months or 15,000km, whichever occurs first.
Here’s where the BYD slips up a bit.
Yes, it comes with a better-than-industry-standard six-year warranty, but many rivals offer between seven and 10-year coverages, while the Atto 1’s mileage warranty is capped at 150,000km when most others include unlimited mileage. And roadside assistance is only for one year, as well.
Service intervals are every 12 months or 20,000km. Capped-price servicing is available, but no precise figures were available at the time of publishing.
Estimates are from under $200 for the first and third annual services, and from $500 and $650 for the second and fourth yearly visits, respectively. Please check with BYD for updated figures.
Currently there are about 105 BYD service outlets throughout Australia, with 30 more expected by the middle of 2026. This should address one of this brand's biggest concerns – sufficient after-sales care.