Peugeot 408 vs Renault Arkana

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 Arkana is a stylish alternative in a sea of same-same compact SUVs. It's relatively well equipped and has some hidden gems in its ownership and running costs that elevate it above some of the competition.

It’s not a bad thing to steer, either, but the lurchy dual-clutch could be a deal breaker for some.

The sweet spot is the Techno, which misses out on the Esprit Alpine’s special touches but represents the most bang for your buck.

Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.

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.

This update isn’t a massive overhaul of the Arkana, rather its “refreshing and enhancing” what was already there according to Renault Australia.

And this remains true with the car’s styling. Not much has changed on the outside except for a few minor garnishes and flourishes, especially on the Esprit Alpine variant.

The coupe styling isn’t for everyone. It’s more popular in Europe than Australia but if you want to stand out from the crowd it’s a good place to start.

The Arkana has curves in all the right places and its little grille made up of little Renault badge diamonds is a welcome addition in a world of wide mouth front ends. The C-shaped LED headlights and a large Renault badge add a bit of pop to its look.

The pinched rear end has LED lighting that runs from the tail-lights to the centre badge and Arkana is spelled out in big, bold letters.

The Esprit Alpine stands out with gunmetal highlights on the front bumper and the front and rear skid plates in the same colour. It also adds a Esprit Alpine badge below the side mirror and front door sill plates.

The Esprit Alpine has 'Tricolour' stitching in red, white and blue on the door trim and steering wheel, which is complemented by blue contrast stitching on the gear shifter, seats and centre console.

Cabin quality is variable. There are some nice feeling materials used on the dash and on the door trims but below eye level there are lots of hard wearing plastics. A big slab of faux wood running along the dashboard doesn’t feel as high-quality as you would like. The quality drops a bit in the back row, which is where carmakers often try to cut costs.

Solid white is the only no cost paint colour, but it is not available on the Esprit Alpine. Metallic white, blue, black, grey and red cost $750.

Buyers can also option a black roof for a two-tone look for $600.

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 Arkana isn’t a family SUV, but rather is pitched at younger couples and empty nesters. 

Up front there is great forward vision with a higher seating position than hatchbacks and sedans. Electronically adjustable seats and a manually moveable steering wheel means there’s a good seating position for pretty much everyone.

The seats are comfy and the multimedia screen and climate controls are easy to reach. The centre console has a wireless device charger, two USB-A charging ports and a 12-volt socket to keep various devices juiced up. 

Two cupholders take up most of the space with minimal storage space leftover. There are decent sized storage bins in the doors and a little net in the passenger seats footwell to stop small items rolling around. 

Back seat passengers have their own air con vents and USB charging ports, which is a welcome addition.

In the rear pew is where the Arkana’s stylish coupe-like design dents its practicality. The sloping roof shrinks the windows and reduces headroom, which makes it feel a bit gloomy compared to more boxy-shaped SUVs that makes it no-no for smaller kids.

The boot is a decent size, but it’s longer and lower than other SUVs, which is the price you pay for looking good. 

Initially Renault is launching with just two variants, the mid-tier Techno and top-spec Esprit Alpine, which replace the formerly named Intens and R.S. Line variants. 

Despite the update, prices remain the same with the Techno starting at $41,000, before on-road costs, and the Esprit Alpine from $45,000.

An entry-level Evolution grade will arrive later to take the place of the old Zen variant. Expect it to be priced from $37,500.

The Arkana isn’t the cheapest compact SUV on sale with lower starting points for the Hyundai Kona, Kia Seltos and Mazda CX-30 ranges. It is cheaper than the hybrid-only Toyota C-HR and its French rival, the Peugeot 2008.

The two model grades are fairly well stacked with gear to justify the price, though.

Techno shoppers can expect 18-inch alloy wheels, which swell to 19-inche on the Esprit Alpine and all variants have LED head and tail-lights.

Step inside and the Techno grade has black leather and synthetic suede accented seats, which upgrade to more premium synthetic leather and suede upholstery with contrast blue stitching and Alpine badging in the top-spec grade.

The front seats are heated in both grades and the Esprit Alpine has a heated steering wheel, too.

On the tech front both variants have a 9.3-inch portrait-shaped multimedia display paired with a 10.25-inch digital driver display.

Apple CarPlay and Android Auto wireless smartphone mirroring is standard.

The Esprit Alpine version ditches the six-speaker stereo in the Techno for a booming eight-speaker Bose system and it adds a sunroof.

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 Arkana keeps the 1.3-litre four-cylinder turbocharged petrol engine from before. It makes 115kW and 262Nm and is paired with a seven-speed dual-clutch auto that drives the front wheels. 

That’s plenty of grunt for a car this size, but it’s let down by a glitchy transmission that hesitates a lot at lower speeds and doesn’t do its best work when asked to hustle, either.

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.

Efficiency is the name of the game with the Arkana’s little turbo engine. The French brand claims it drinks 5.9L/100km on the combined (urban/extra-urban) cycle but we averaged 7.5L/100km on our circa two-hour country road drive according to the trip computer.

The higher speed twisting and turning country roads we drove on aren’t conducive to low fuel use, though.

It has a 50-litre fuel tank and only requires cheaper 91 RON petrol, which is rare for little turbo engines that usually have premium tastes.

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. 

The Arkana is a bit of a mixed bag on the road. Its engine is a nice little unit but the dual-clutch auto deflates the drive experience.

At lower speeds it hesitates and then gives too much oomph all at once, which can result in some wheel spin. It means you need to be mindful at T-intersections and when turning across traffic and feather the pedals. 

This is a symptom of most dual-clutch autos but the Arkana’s is less sophisticated than say ones fitted to Volkswagens, and the Arkana doesn’t have the meaty power and torque bands of performance cars. A conventional torque converter auto would suit it better.

The Arkana does some of its best work at higher speeds, where the dual-clutch is more decisive and it's an admirable highway cruiser. 

It isn’t a bad operator through the bends where it exerts excellent body control to minimise rolling. This is complemented by nice steering that is well weighted and accurate. Pedal feel is excellent with no woody or doughy feel to them.

The suspension is on the firmer side and you’ll feel some harsh bumps, especially over consistent smaller ones that it will crash over.

Its rear torsion beam suspension set-up is less sophisticated than the multilink arrangements found in an increasing number of competitors in the segment.

Road noise is noticeable at higher speeds. There's a fair bit of wind noise, too, but it was an especially windy day on our test drive.

The Arkana isn’t a sports car but is a stylish SUV for punting around town and facilitating weekend getaways, but there are other compact players that answer this brief better.

The Arkana holds a maximum five-star ANCAP rating, but it is based on the 2019 crash test of the Renault Captur, with which it shares much of its underpinnings. This rating is due to expire in late 2025.

There are six airbags and a range of active driver aids included as standard and the update adds a 360-degree camera view to all grades.

This joins auto emergency braking with pedestrian and cyclist detection, lane keep assist, blind-spot monitoring, rear cross-traffic alert, radar cruise control and speed sign recognition.

A lot of carmakers just tick the box for active driver aids but don’t think of the calibration. Not Renault. The driver aids barely interjected during the launch drive and only chirped up when needed, which is a welcome reprieve from the overly touchy and nannying sensors found in other cars.

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. 

There is one part of Renault’s ownership credentials that others can’t match.

Its service intervals are every 12 months and a whopping 30,000km, which is double the industry norm of 15,000km. 

If you need to do big kays such as a sales rep or rideshare driver might this will be extremely important.

Five years or 150,000km of capped price servicing visits costs $2385, which is one the expensive side compared to Honda, Hyundai and Toyota but is in the ballpark of similar-sized Kias and Volkswagens.

Renault covers the Arkana with a five year/unlimited km warranty - par for the course in the mainstream market - and five years of roadside assistance.