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2022 Volkswagen Golf R price and features: Last-minute engine downgrade for incoming Toyota GR Corolla and Honda Civic Type R rival

The new Golf R hatchback will arrive in Australia with a downgraded engine.

Volkswagen Australia has been forced into a late engine and price change for the new-generation Golf R.

Initially, the local arm of the German giant announced the new Golf R hatch would be priced at $67,990 (plus on-road costs) in its end-of-year presentation to the media. However, just days later it, revealed it has dropped the price to $66,990 because it has had to adopt a slightly different engine specification.

While it will still run the previously announced 2.0-litre four-cylinder turbo petrol good for 235kW, it will not initially be available in the latest specification with a petrol particulate filter (PPF). While power will be unchanged, the lack of a PPF means torque is reduced from 420Nm to 400Nm.

The price reduction is to acknowledge this slight reduction in torque and has already been communicated to customers who had registered interest in the new model.

However, Volkswagen Australia was keen to stress that the more potent version of the engine, with the PPF, will be introduced locally as soon as possible and could come as part of a model year update.

While a potentially upsetting move for some would-be customers, Volkswagen Australia director of passenger vehicles Michal Szaniecki said it was necessary to avoid any further delays as the company risked losing its build slot for 2022. This would have pushed the arrival of the Golf R well beyond its scheduled April, possibly as far back as 2023.

“Volkswagen has been the brand most transparent with its customers about the unprecedented production situation,” Mr Szaniecki explained. “There are as of this week more than 6300 expressions of interest in our incoming R range, with a sizable number of deposits made even before the announcement of pricing.

“The brand is doing everything possible to meet demand for all models. In order to get our Golf R hatchback and Tiguan R SUV to customers in a timely manner, initial production features the 400Nm, unfiltered version of Volkswagen’s benchmark EA888 engine.

“As these two Rs will be by far the most numerous – at least until T-Roc R becomes available later in 2022 – the best course is to run with the engine tune immediately available.”

Even with the price reduction the new Golf R is a huge leap in price, adding $10,000 to the previous ask for the all-wheel-drive hot hatch. Volkswagen counters concerns about the sizable price jump with the added equipment for the new model. 

Mechanically, while the engine and seven-speed dual-clutch automatic transmission are largely the same as the previous model, the Golf R has ditched its Haldex part-time all-wheel drive system for the same ‘torque splitter’ system used in the new Audi RS3. Volkswagen calls it ‘R-Performance Torque Vectoring’ but it’s the same set-up, which consists of a pair of multi-disc clutches on each rear driveshaft that allows for drive to be sent to each rear wheel independently.

This is what allows the new Golf R to have a ‘Drift Mode’, which will allow drivers to slide the tail around. It will also have a new setting called ‘Nurburgring’ as well as Comfort, Sport and Race.

Other new additions for this more expensive 2022 model include standard Matrix LED headlights, Dynamic Light Assist, Travel Assist and Park Assist. Inside there’s the Digital Cockpit Pro, wireless App-Connect, a Harman Kardon sound system and Nappa leather sports seats.

However, regardless of the extra equipment and the last-minute price change, the move to a $66,990 starting price is likely to push the Golf R out of reach for many hot hatch buyers. But Todd Ford, product manager for passenger vehicles for Volkswagen Australia, is confident that buyers won’t be turned off - and even claims some were anticipating an even higher price.

“The orders and interest and expectations are we’re on the money, and they are expecting [a price] above [$66,990],” Mr Ford said. “So hopefully a number will be pleasantly surprised.”

Notably the jump in price moves the Golf R to within just $5400 of the very similar Audi S3. Despite this, Ford doesn’t believe the two models - which now fall under the Volkswagen Group Australia banner - won’t steal sales off each other.

“Obviously I can’t speak for Audi, but I know from our perspective we’ve got one of the most successful products in that area of the market,” Mr Ford claimed. “It stands apart technically and with its equipment from its competitors. I guess we are a little bit with blinkers on with the Golf R specifically.”

He added: “I’d suspect different buyers, different customers. Again, not talking from the Audi space, but from our perspective, we’ve got a very clear audience that obviously loved this car over many generations.”

The hatch will be joined at the same time by the Golf R Wagon, which will actually come with the more advanced engine with the PPF, meaning it will boast the full 235kW/420Nm as originally promised. The rest of the specification between the two cars will be the same, which means it will carry a premium over the hatch for both its extra performance and increased space.

It will be priced from $69,990 (plus on-road costs), which is on par with the incoming Tiguan R SUV.

2022 Volkswagen Golf R pricing before on-road costs

VariantPrice
Hatch automatic$66,990
Wagon automatic$69,990