MG MG3 vs Audi S3

What's the difference?

The MG3 still makes a strong argument for a low-cost, low-fuss option just like the models it now beats on price (Yaris, Mazda2, etc) used to.

While it also falls short in some areas like dynamics when pushed, the improvements to interior tech and comfort mean the MG3 should be considered if you're looking for a city runabout.

However, with the MG3’s price jump, rivals from Japanese and Korean brands are closer in cost than they were for the sub-$20K first-gen MG3, and their ability to handle Australia’s conditions outside the city mean they’ll prove a more useful long-term companion for many.

The MG3 nails its brief as a convincing option for first-car buyers or as a second runabout when there’s another option for long trips. It has taken a big step up from the ‘budget-friendly’ vibe of the original.

The updated Audi S3 Sportback is a fun-sized dynamo with impressive outputs and athletic road manners. It’s missing a few premium features, but its compact size paired with a gutsy engine makes it a compelling option for drivers who don’t want to compromise on performance (just space).

Following the new design language pioneered here by the MG5 sedan and MG4 electric hatch, the MG3 looks like it’s trying for a sportier vibe than its predecessor, and maybe even a hint of European flair.

A grinning front grille and pointed set of headlights are followed around the side by a couple of body creases that give the hatchback a sweeping look, an attempt perhaps to seem longer than it is.

It doesn’t look like any of its rivals, unlike the MG5 which is easily mistaken for a small Mercedes CLA at glance.

Here on our Dover White test car, some angles are unflattering (it's giving 'hire car'), though the model’s available Diamond Red or Brighton Blue are fairly distinctive. Yes, some of the colours reference the brand’s UK heritage, despite being built in China.

Inside, the cabin benefits from a fairly tidy layout, with some genuinely thoughtful attempts at making the otherwise budget-focused model feel a little nice. A cross-hatch design through the dash mirrors, the seat stitching and the steering wheel and its buttons are nicely angular.

The S3 Sportback may be a small car, but its S design features, like the stylised blackout grille, matrix LED headlights, and 19-inch alloys with red brake calipers, give it a distinctly athletic and fun-loving vibe. It’s compact, but definitely not diminutive and carries serious road presence. It’s hot hatch meets fun-size.

Inside, the S3 looks fabulous. Integrated ambient lighting, a sharp dashboard treatment and a driver-focused cockpit all lend it a premium feel.

The front seats look properly sporty with their integrated headrests, and the quilted Nappa leather upholstery feels great, especially with the eye-catching red contrast stitching.

As for technology, it’s as high-end as you’d expect with a 10.1-inch touchscreen multimedia display and 12.3-inch digital instrument cluster taking centre stage.

The only drawback? No sunroof. Combined with the black headliner and compact cabin, it can feel a little gloomy at times. Still, it’s a cabin you’ll enjoy spending time in.

That tidy design inside helps when it comes to making use of the space, as well as offering some generous storage spaces.

For starters, while the clean layout means the screen looks like the main point of access for much of the car’s function, there’s an all-important shortcut button for the climate control which means you don't waste time navigating to the vent and temperature controls.

The only issue is that while my phone was connected to the system for Android Auto, I had to navigate away from the mirroring screen back to the MG3’s home screen before being able to shortcut to the climate settings.

Demister and volume control buttons are also present, but the screen itself has an easy-to-navigate menu.

The steering wheel controls are similarly straightforward and clearly labelled, while the driver display is tidy and shows important information clearly.

While the steering wheel isn’t telescopically adjustable, it's easy to find a comfortable seating position thanks to the adjustability of the seats. The material on the seats doesn't feel rough or cheap.

Behind that, there is enough space for my 178cm frame in the second row for the most part, but headroom isn’t incredibly generous.

The rear pew is a single unit, rather than a 60/40 split, so the whole backrest folds down if you need to load anything long through the boot. There’s not even an armrest or little ski hatch for long, thin items.

Its 293-litre boot isn’t small, and there’s a space-saver spare tyre in both petrol variants, but the hybrids are stuck with repair kits.

Like most hatches, the front row enjoys the most space. While it’s cosy, it never feels cramped. The seats are firm yet comfortable, thanks to their adjustability and expandable under-thigh supports. Access is fairly easy with wide door apertures, though the low seating position might earn a few grunts, especially from taller folks.

Storage up front is well sorted, with a glove box, a small centre console, a dedicated phone cradle and a couple of cup and bottle holders. It’s about what you'd expect for a car this size, but it's enough to keep things tidy.

There are plenty of charging options, with two USB-C ports in each row and a wireless charging pad up front.

The multimedia system is intuitive and easy to use. The touchscreen is responsive, and wireless Apple CarPlay connected without fuss and stayed connected all week. Wireless Android Auto is available, too.

Built-in sat nav is clear, and I love the way directions pull through to the digital instrument panel. The Sonos sound system? Pretty darn good. My son and I had more than one mini-concert on the school run.

As for the rear row, it definitely reminds you this is a small car. At 168cm, I found it on the cramped side of cosy and my husband just laughed when I asked him to try it! The wheel arch also cuts into the door aperture, making access a little awkward. Best to think of it as occasional adult seating. But given the size, that’s no surprise.

Amenities in the back are decent with a couple of map pockets, cup and bottle holders, as well as a fold-down armrest, those USB ports and rear temperature control (but curiously, no fan control). The seats are comfortable enough, but space is limited. Realistically, it’s best suited for two passengers, not three.

Boot space is quite practical. The wide opening and manageable load lip height make it easy to slide items in and out. It offers 325L of space, less than its key rivals, but expands to 1145L with the rear seats folded flat. The handy 40/20/40 split also adds versatility. Under the boot floor, you’ll find a tyre repair kit.

The A3 Sportback comes in three trim levels, with the S3 technically sitting in the middle, just below the performance-focused RS 3. It's priced from $78,800, before on-road costs, and it shares the same platform and underpinnings as the Volkswagen Golf R. Surprisingly, our test vehicle isn’t significantly more expensive than its Golf R rival which comes in at $70,990 MSRP.

That makes it a more affordable option when compared to premium rivals like the BMW M135 xDrive which starts at $83,600 MSRP and the Mercedes-AMG A35 which comes in at $89,700 MSRP.

The update sees engine outputs improve with it gaining 17kW and 20Nm of torque, resulting in a total of 245kW and 420Nm.

Feature highlights include 19-inch alloy wheels, red brake calipers, electrically-adjustable and heated front seats (with expandable under-thigh support), rear privacy glass, quilted Nappa leather upholstery and 'S Sport' suspension with damper control which lowers the ride height lowered by 15mm.

The updated technology is well-rounded and now comes with wireless Apple CarPlay and Android Auto. There's also three-zone climate control, a 10.1-inch touchscreen multimedia display, a 12.3-inch digital instrument cluster, digital radio, four USB-C ports, a wireless charging pad, built-in satellite navigation and a 15-speaker Sonos 3D sound system.

Still, despite its premium hot hatch status, this grade skips a few luxury touches. Ventilated front seats, a heated steering wheel, heated rear outboard seats and a sunroof are all missing. The BMW M135 xDrive, notably, includes all of these as standard.

Even the powered tailgate with kick-functionality is an optional extra here, adding $660 to the price. At this level that should be standard.

On paper, the MG3’s 1.5-litre four-cylinder engine is fairly underwhelming with its 81kW (peaking at 6000rpm) and 142Nm (at 4500rpm).

But these figures, including the engine size and even peak RPMs are not far off the likes of the Mazda2, which is a fairly peppy and fun car despite its lack of grunt.

Keen drivers will, however, be disappointed to hear the MG3 drives the front wheels via a continuously variable transmission (CVT) rather than a traditional torque-converter auto, taking much of the pep out of its power unit.

You can expect to hit 100km/h in a bit over 10 seconds.

The S3 Sportback wears the quattro badge proudly, meaning it’s all-wheel drive and it pairs a tweaked seven-speed automatic transmission with a 2.0-litre turbocharged, four-cylinder petrol engine.

This update brings a bump in performance over the previous model, including the addition of a rear torque splitter. Power is now up to a gutsy 245kW and 420Nm of torque, launching the S3 from 0 - 100km/h in just 4.7 seconds. That’s proper hot hatch territory.

MG claims the MG3 uses just 6.0 litres of 91 RON petrol every 100km on the combined fuel cycle, so with its 45-litre tank you can hypothetically bank on a 750km range.

Of course, that might be achievable in lab conditions, but on test we found the trip computer’s estimates looking closer to 500km on a tank for the kind of urban driving it was undertaking with us.

On a dynamic test drive route, the trip computer settled at a displayed consumption figure of 7.7L/100km, but stop-start driving was not great for efficiency, as you'd expect.

The S3 Sportback has an official combined fuel consumption figure of 7.9L/100km and a 55-litre fuel tank, giving it a theoretical driving range of up to 696km.

Its key rivals hover around similar numbers, so it's right on the mark for the segment. After a mix of long-distance drives and my usual urban errands, my real-world figure came in at 8.0L/100km - very close to the claim, which I’m pretty happy with.

The higher quality look and feel of the new MG3 carries through to its day-to-day driving. Some of the car’s Chinese compatriots seem to fall down when it comes to the on-road part, which for some is the most important part of a car.

But for a small city car the MG3 is very user friendly, with light and direct steering, good visibility, and just enough power and torque to not feel like everyone’s getting the green light a couple of seconds earlier than you.

It’s comfortable at urban speeds when it comes to the suspension, and doesn't get rattled too much in the front end by tram tracks or other road imperfections.

In narrow streets, three-point turns aren’t a hassle and the car’s size means it’s easy to reverse parallel park, although the reversing camera takes a second to appear when using phone mirroring.

On the highway, however, and when it comes to high-speed cornering, the MG3 can feel a little uneasy.

The road noise becomes more and more obvious. Driving on well-maintained metro freeways at around 80km/h or above produces unpleasant noise, and a during a particularly breezy week the car felt susceptible to swaying in high wind.

Its power delivery starts to feel lacking out of town, too, and taking corners on fast back roads means plenty of slowing down to avoid the front-end sliding or the feeling of the MG3 leaning unsettlingly around corners.

If you’re considering the MG3 but you need to head out of town regularly, take a proper long test drive before opening your wallet.

But if you just need it as an urban runabout, the MG3 does a fine job.

The S3 Sportback sounds as mean as it looks, and it delivers on that promise with effortless grunt. Acceleration is immediate, with plenty of power on tap when you need it. It’s just fun all around.

The lowered sports suspension and wide tyres do bring some extra noise into the cabin, even at lower speeds. You might find yourself repeating things to rear passengers now and then, but it never feels overwhelming.

Steering and suspension are on the firmer side, so yes, you’ll feel the bumps but the payoff is sharp, responsive handling. Quick lane changes and winding coastal roads are where this car shines.

Visibility is about what you’d expect from a low-slung hot hatch. The pillars don’t obstruct the view, but sitting beside a towering SUV at the lights can make you feel a bit... compact.

Cornering is a strong suit, thanks to the car’s wide stance and AWD system. It feels confidently planted in most conditions. That said, I noticed the occasional wobble through the rear frame on rough sections in heavy rain.

Its compact size makes parking a breeze, especially with the help of multiple sensors. The reversing camera is crisp, but at this price point, the lack of a 360-degree camera view feels like a missed opportunity.

The S3 isn’t covered by its 2WD sibling's maximum five-star ANCAP safety rating but it is well-equipped with safety features all the same.

Safety equipment includes blind-spot monitoring, side exit assist, rear cross-traffic alert, lane departure alert, lane keeping aid, park assist, reversing camera, front/rear parking sensors, forward collision warning, autonomous emergency braking and adaptive cruise control with stop and go function. 

It also has six airbags but misses out on a front centre airbag. None of the driver assist systems are intrusive to daily driving, which I always like.

The rear row has ISOFIX child seat mounts and three top-tether anchor points but only two child seats will fit.

MG has a 10-year/250,000km warranty which is unmatched in the small-car market.

Servicing is scheduled at every 10,000km or 12-month intervals, with the first seven services averaging out at a fairly hefty $360 - the cheapest being $234 and the priciest $536.

Audi backs the S3 Sportback with a five-year/unlimited kilometre warranty, which is on par with its European rivals. A five-year pre-paid servicing plan is available for $2890 which is cheaper than pay-as-you-go and reasonable for the class.

For those looking to go the extra mile, the 'Audi Advantage' package lets you extend the warranty and capped-price servicing by an additional two years, which represents solid value overall.

Servicing intervals are every 12 months or 15,000km, whichever comes first.