Peugeot 408 vs Alfa Romeo Giulia

What's the difference?

The Peugeot 408 GT Hybrid delivers heaps of standard equipment and safety tech for what is now a much more competitive price. It’s also super fuel-efficient, which is right for these turbulent times, offers thoughtful practicality and the wagon-fastback-crossover-SUV look is striking. The price paid for miserly economy is a peaky small-engine powertrain and the ownership promise isn’t exactly class-leading. That said, it deserves consideration in its new, even more competitive under $60K mid-size SUV segment.

The Giulia is a love letter to the increasingly lost art of the sporty executive sedan. As refined as it is beautiful and oh-so elegant to drive, it’s a reminder of why we always love Alfa Romeo, even when the odds are against it.

Emotional cars like this are hard to come by and they will soon be gone, replaced by something new. The future is not necessarily worse, but it will be different, so if a sporty European sedan with a combustion engine is calling out to you don’t miss your opportunity to drive the Giulia while it still exists in this form.

Peugeot Design Director Matthias Hossann has been guiding the brand’s look and feel since 2020 and the result is a recognisable approach across the range with enough flexibility to give each model its own personality.

Recurring themes include the dramatic, fan-like grille with body-colour elements, narrow angled LED daytime running lights (DRLs) slicing through the outer edges of the nose and sinister tapered headlights set into the front corners.

The rear end maintains the visual drama with a stacked, angular treatment sectioning off the ‘Claw Effect’ LED tail-lights (the Peugeot brand mark is a Lion), chamfered mid-section and chunky bumper.

And among what increasingly feels like a mass of same-same newcomers the 408’s sloping turret and high, wide haunches give the car a distinctively sporty fastback look.

The interior is classy and clean although the almost uniformly grey colour palette is unrelenting.

The two-tier dash adds visual interest and a combination of sweeping curves and clean, straight lines around the cabin lift the tone. Nappa leather trim with the ribbed seat centre panels using perforated hide also looks classy.

But then we come to the ‘iCockpit’ instrument display and steering wheel combination. It’s based on the idea that reducing the size of the steering wheel and lowering its position while flattening its top and raising the location of the instrument binnacle is a better solution than the traditional look-through-the-steering wheel approach.

It doesn’t work for everyone and it doesn’t work for me. As noted in previous Peugeot reviews, after more than a decade in existence various members of the CarsGuide editorial staff continue to struggle with the arrangement, while others love it. 

For me, the wheel feels too low, yet the top of it obscures the lower part of the instrument panel. While it may work well for others I see it as the answer to a question no one was asking.

Like any good Alfa Romeo should be, the Giulia is a work of art. It’s sleek, sharp, and immaculately proportioned.

This most recent update has artfully refined a formula too good-looking to mess with. The increasingly dorky headlamps from the previous car have been swapped out for a more contemporary all-LED set, with a three-bar DRL pattern.

The grille has also been tweaked for this update for a more modern style, and the Veloce is now graced with the iconic and more aggressive sport two-tone alloy wheels in the traditional five-hole 'tele-dial' style.

It’s effortlessly attractive, and instantly recognisable as an Alfa on the road. I can’t think of a better way to stand out in today’s executive sedan landscape.

The interior has received less of an upgrade for the 2024 model year, with the same core parts. The major change is the old-school analogue instrument cluster being swapped out for a slick 12.3-inch digital unit.

The puzzling thing about this is the 8.8-inch central multimedia screen hasn’t been upgraded in-kind, making a strange contrast between the sharp and fast digital instruments, and the laggy and dull multimedia panel.

At least it effortlessly sits behind the curvaceous design of the dash as to not interrupt a good shape.

There are of course plenty of other touches which I love. The leather seats look and feel the part, as do the real metal paddle shifters which float behind the simple yet refined and sporty steering wheel.

The push-to-start button on the wheel is reminiscent of other Italian sports machines, while the tasteful smattering of leather, gloss plastic, and textured surfaces keep the premium feel on-track.

Some areas I’m not so keen about: Some of the interior plastics, particularly for buttons and toggles, feel cheaper than they should, and the door cards are oddly basic considering how much attention has been given to every other part of this car’s look and feel.

At close to 4.7m long, around 1.9m wide and a bit less than 1.5m tall with a 2790mm wheelbase, the 408 sits in the middle of the typical mid-size five-seater footprint.

Ample room in the front, although the lower section of the two-tier dash protrudes a fair way towards the driver and front passenger and the centre console is broad so it feels snug rather than airy.

Storage includes generous door bins with room for larger bottles, a lidded (and illuminated) bin between the seats that doubles as a centre armrest, two cupholders in the console with an oddments tray ahead of them and a decent glove box with an extra pocket built into the lid.

Switching to the rear, sitting behind the driver’s seat set for my 183cm position, there’s loads of leg- and headroom and enough width for three adults when required and more than enough for a trio of up to mid-teenage kids. Centre rear is less of a short-straw position, too, thanks to a relatively low and flat central tunnel.

The lack of a fold-down rear centre armrest is a miss mainly because it means there are no cupholders in the rear. But there are decent door bins with a space for smaller bottles, netted map pockets on the front seatbacks and a storage cubby at the back of the front centre console.

Speaking of which, individual air vents in the back of that console are a welcome addition.

 The boot is large for the class at 508 litres (VDA) with the rear seat upright and 1583 litres with the 60/40 split-folding backrest folded down. The power tailgate (with foot sensor and pedestrian detection) also makes life easier.

Other thoughtful touches include four load tie-down anchors, a netted pocket on the right-hand side, elasticised straps on the left-hand side, specific lighting and a pair of bag hooks.

Power and connectivity options include two USB-C sockets, a 12-volt outlet and a wireless phone charging pad in the front, another two USB-Cs in the back and a second 12V plug in the boot. So no problems with charging capacity for phones and other devices.

Maximum braked trailer towing capacity is a useful 1300kg (750kg unbraked) but we have to put a big black mark against provision of a repair/inflator kit rather than a physical spare. Not good enough for the Aussie market. 

The Giulia is an old-school low-slung sports sedan. Many will prefer the SUV sensibilities of the Stelvio, with its bigger hatch-opening boot, and its higher ride height can better accommodate less mobile passengers, and makes it easier to fit child seats and the like.

For those willing to trade those things away for a superior drive experience, the Giulia is still solid to live with every day, but has a few drawbacks.

For example, those strangely basic door cards offer only a tiny map pocket with a nook I’d hardly describe as a bottle holder.

The centre console offers two larger bottle holders with variable edges, but there’s also not much else in the way of storage in the cabin aside from a smaller-than-average glove box and armrest console box.

The big win for me is the physical dial set and shortcut buttons for all the key climate functions, making it easy to operate while you’re concentrating on driving.

At least the seats are well bolstered, and front passengers are treated to plenty of adjustability. Visibility is okay, and it was easy for me to find a comfortable driving position at 182cm tall.

The rear seat is a similar story. It’s tighter, and you have to duck down below the roofline to get into it.

Once inside, I was pleasantly surprised to find enough room for my knees and somewhere for my feet to slide behind my own driving position, although the centre position is all but useless thanks to an enormous raise for the driveshaft.

Headroom is passable, but you wouldn’t want to be much taller than me. 

There are, again, tiny bottle holders in the doors, and a further two in the drop-down armrest. Rear seat passengers get dual adjustable air vents on the back of the centre console, one USB 2.0 outlet, and elastic nets on the backs of the front seats.

The boot measures 480 litres which is up there with a lot of mid-size SUVs, but because it’s a sedan, access is more limited, and it won’t accommodate as many awkwardly-shaped objects.

The Giulia we’re looking at for this review is the mid-spec Veloce, which costs $74,950 before on-road costs, sitting above the base Ti ($68,450) and below the top-spec Quadrifoglio ($153,700).

Natural rivals from Germany include the Audi A4 45 TFSI ($77,869), BMW 320i M Sport ($80,200) and Mercedes-Benz C200 ($89,900) all of which suddenly make the attractive Alfa look like a not-half-bad deal.

But then there’s always the Genesis G70 (from $63,000 in equivalent turbo 2.0L form) to bring the value equation back to reality.

Standard stuff at this grade includes 19-inch alloys, an 8.8-inch multimedia touchscreen and a 12.3-inch digital instrument cluster (new for the 2024 model year), dark contrast exterior highlights, leather seat trim with heated front seats and steering wheel, aluminium interior detailing and shift paddles with extended leather trim on the dash, updated LED headlights and DRLs, dual-zone climate, push-start ignition and keyless entry, tinted rear windows, and a 14-speaker Harman Kardon audio system.

Performance-wise, the Veloce also scores a limited-slip rear differential to match its punchy engine.

The tech feels a bit old, and the interior has a dated ambiance to it compared to the more open and digitised spaces of its rivals, but there’s something to be said for how organic the Alfa feels. More on this later.

The Peugeot 408 Hybrid is powered by a 1.2-litre, turbo-petrol, three-cylinder engine producing 100kW at 5500rpm and 230Nm at 1750rpm.

This compact, all-alloy, direct-injection unit works in concert with a single 15.6kW/51Nm 48-volt electric motor integrated into the six-speed dual-clutch auto transmission and energised by a 0.9kWh lithium-ion battery.

Drive goes to the front wheels only and Peugeot claims a 0-100kmh sprint time of 9.4 seconds.

The Veloce might not pack a Ferrari-derived six-cylinder engine like the Quadrofoglio, but its smaller 2.0-litre four-cylinder turbocharged petrol engine hardly wants for power.

Packing 206kW/400Nm it outpunches six cylinders of old easily, and is still capable of sprinting to 100km/h in a hot-hatch baiting 5.7 seconds to a Vmax of 240km/h.

It even sounds fantastic, as it flies up the rev-range living up to every bit of the Alfa promise. Peak power arrives at 5250rpm, but peak torque hits at 2250rpm.

Smooth shifts are provided courtesy of an eight-speed traditional torque converter automatic transmission.

The 408 Hybrid’s official fuel consumption figure for the combined (urban/extra-urban) cycle is 4.5L/100km, the 1.2L turbo triple emitting 102g/km of CO2 in the process.

And it’s important to point out those official (ADR 81/02) numbers for the 408’s consumption and emissions are better than any of the direct competitors we’ve called out in the ‘Price & Features’ section above. 

Over a week of mainly city and suburban running with some freeway sections thrown in, we recorded an on-test average of 6.0L/100km. Impressive for a mid-size crossover weighing in at a bit over 1.4 tonnes.

Brim the 52-litre tank with minimum 95 RON premium fuel (ethanol blends not recommended) and using our real-world figure you can expect a handy driving range in excess of 860km.

The 2.0L turbocharged engine has an official combined cycle fuel consumption figure of just 6.1L/100km, although I saw 9.0L/100km in my time with it.

I’ll admit it was being enthusiastically driven, and treated to lots of urban commuting.

The Giulia has a 58-litre fuel tank and requires mid-shelf 95 RON premium unleaded fuel. Its approximate range on a full tank at the official consumption is 951km.

Even with the assistance of an electric motor in the transmission and a turbo on the engine, a 1.2-litre, petrol three-cylinder powering a more than 1.4-tonne five-seat car is always going to be an interesting equation.

And in practice, although the small triple’s peak torque (230Nm) is available from just 1750rpm it lacks the smoothness of larger capacity mild- and full-hybrid combinations. Especially at slower speeds, the powertrain feels relatively edgy and agitated.

Outright acceleration is fine (claimed 0-100km/h acceleration is 9.4sec) with decent mid-range pulling power for confident overtaking or decisive lane changing (a 15.6kW/51Nm boost from the motor playing its part) and the dual-clutch auto is a more polished example of what can be a fractious device. 

But engineering and tuning for maximum fuel-efficiency has an impact on driveability. For example, we noticed the air-conditioning system’s output softened at standstill, which led to some mild window fogging in stop-start traffic on a particularly humid morning. Haven’t seen that for a while. 

The strut front, torsion beam rear suspension delivers a compliant ride and responsive handling in classic Peugeot fashion. The steering in particular points accurately and provides good road feel. 

We’ve covered the intricacies of the i-Cockpit instrument and steering wheel configuration in the Design section as its shortcomings (for me, anyway) are more ergonomic than dynamic.  

The car is relatively quiet, thanks in part to sound-dampening acoustic glass and the Michelin e.Primacy tyres (205/55) which also grip persistently if you decide to slice through your favourite set of corners. Push the engine harder and it’s revvy note and exhaust rasp will start to make their presence felt. 

Regenerative braking is helpful and the physical brakes (ventilated discs and the front and solid rotors at the rear) are nice and progressive.

The front seats are firmer than the Peugeot norm but remain comfy enough and they provide enough side support to keep you well located. 

Despite the swoopy fastback design, all-around vision is surprisingly good and an overall length under 4.7m, an acceptable 11.2m turning circle, a clear reversing camera and a 360-degree camera view make parking straightforward. 

Put simply: The Giulia is a celebration of Alfa Romeo. Yes. Even with a humble 2.0-litre turbocharged engine and an automatic transmission, this is a deeply emotional car. A riveting experience from behind the wheel.

Fly round corners, your eyes wide, exclaiming ‘magnifico!’ as the Giulia gracefully leans in, the rear LSD, sporty tyres, and wonderfully tight steering working together in harmony as you eke out just a smidge of tyre roar.

Laugh out loud to yourself, as you plant the accelerator, hear the muted rumble of the surprisingly angry little engine, and feel the turbocharger kick in half a second later as you power out.

‘Eccezionale!’ You’ll think, as you feel the click of the immensely satisfying metal paddle-shifters, and the transmission responds in-kind, the engine roaring up the revolutions with enthusiasm.

Sure, the Veloce grade is not as raw, or as wild, or near as fast as the top-grade Quadrofoglio, but all of the exciting spirit of  that car is still here, and at a little over half the price, too. The Veloce is an absolute delight to drive.

It has such poise, makes such a fine sound, and does it all so gracefully. This is how you make a car feel as one with the driver.

Even the ride is deeply impressive. It’s not too harsh or noisy, while gifting the chassis just the right amount of lean in the corners and allowing enough play for it to remain controlled over bumps.

Not only does it work well when you’re driving as it's clearly intended to be driven, but around town it’s quiet and refined inside, living up to the promise of a luxury sedan.

The seats and bolstering are great, the visibility isn’t too bad, and while I’ll complain about the slightly laggy software on the multimedia screen, the digital dash is responsive and the physical climate controls are welcome.

It’s not all perfect. If it were, I think it might cease to be an Alfa Romeo and start sprouting BMW badges.

For example, our test car, with less than 2000km on the odometer, had various inconsistent rattles emanating from the plastic garnish around the digital dash, and somewhere behind the back seat.

Regardless, driving this car has made me a little sad Alfa will be putting this wonderful platform behind it in pursuit of more electrified goals.

I can only hope wherever the Giulia nameplate goes next, it retains the spirit of this version.

The same safety equipment suite is standard on every Giulia variant.

Advanced active gear includes auto emergency braking, lane keep tech, blind-spot monitoring with rear cross-traffic alert, driver attention alert, and adaptive cruise control.

It also scores front and rear parking sensors, and a reversing camera with guidelines. 

The Giulia’s maximum five-star ANCAP safety rating expired at the end of last year, as it was originally rated back in 2016. The facelifted model is ‘unrated’ relative to ANCAP’s current standards.

Peugeot covers the 408 with a five-year/unlimited kilometre warranty, which is perilously close to sub-par in 2026 with an increasing number of brands at seven, eight and up to 10 years conditional. The battery warranty at eight years/160,000km matches the market.

Roadside assistance is included for five years, service is recommended every 12 months/15,000km and pre-paid servicing is offered across three-, four- or five-year plans, with the latter at $2070.

That’s a not insubstantial average of $414 per workshop visit, which Peugeot says will save you $893 compared to pay-as-you-go over the five years.

For reference, a Toyota RAV Hybrid service for any of the first five years is $260, although pricing steps up after that period.

Peugeot has a well established network of 31 dealers mainly covering major cities and key rural areas, primarily on the east coast. Currently, no presence in Tassie or the Northern Territory, while Perth and Adelaide are the only representation in WA and SA. 

Alfa finally updated its warranty to a more industry-standard five-years and unlimited kilometres in 2022.

Service intervals occur at 12 monthly or 15,000km intervals for the 2.0-litre turbocharged variants. Pricing was not available for the model year 2024 version yet in the brand’s online calculator, but to give you an idea for the pre-facelift version, pricing came in between $345 and $1065 per visit, averaging $573 per year for the first five years of ownership. Not cheap, but not as expensive to run as you might expect.

One thing you might want to keep in mind is depreciation. Boring, I know, but even late model examples of the Giulia and Stelvio have been hit particularly hard by the depreciation stick according to residual values we searched up on Autotrader.

For reference, the Genesis G70 and BMW 3 Series have both fared much better in equivalent 2.0-litre turbo forms.