What's the difference?
It’s big, it’s fast, it’s luxurious, Volkswagen’s Touareg has always been a stand-out large SUV.
This one, the full-fat R is the latest take on the halo Volkswagen model. It has big shoes to fill.
See, top-spec Touaregs in the past are hardly rivals to the Toyota LandCruisers and Hyundai Palisades of this world. They’re a different breed, with the first-generation Touareg powered by a variety of engines up to a 5.0-litre turbo-diesel V10, and the second-gen version packing petrol and diesel V8s in its upper levels.
They were the ultimate sleeper family SUV, ridiculous engines with rich VW Group lineage in a seemingly mainstream family-friendly package.
But this third-generation version can’t quite replicate the over-engined craziness of its predecessors. It has to think outside the box as emissions regulations crack down the world over.
This Touareg R is a plug-in hybrid. A performance-focused one at that. Can it hope to replicate the unhinged nature of its forebears and find an appropriate place atop the hierarchy of Volkswagen’s R models? Let’s find out.
Back in 2022 a friend asked me if they should buy the then-new BYD Atto 3. My advice was to avoid such a new brand, because despite positive first impressions of the electric SUV I couldn’t comment with any certainty on the long-term prospects for BYD.
Well, fast forward to 2026 and things could not be more different. No brand exemplifies the seismic shift in the local car industry more than BYD.
It has emerged not only as the clear leader of the pack from the Chinese car brands, but has done so by taking risks and offering some unusual products. This new Atto 3 Evo is a prime example of that, because while it looks almost-identical to the old model, it has huge changes underneath.
When I say ‘huge’ I mean major upgrades like all-new, 800-volt underpinnings, bigger batteries and even a switch to rear-wheel drive - at least for one model.
BYD is selling one model, with the same name but two very different powertrains and layouts. It highlights the radical changes brought on by the electric revolution in the car industry and demonstrates the flexibility of these platforms compared to internal combustion engine (ICE) vehicles.
And also explains why BYD is no longer just a newcomer with an uncertain future but rather a well-established member of the mainstream market.
But would I recommend buying this new Atto 3 Evo? Read on…
A car as impressive as it is frustrating, the Touareg R is a vehicle for a very specific buyer. Someone whose daily commute consists of limited distances, someone who can always charge at home overnight and someone who appreciates the subtlety of the performance and luxury the Touareg brings.
For everyone else - there are better options. Performance-focused PHEVs can be tricky to charge and extract the full benefit from, and at this price you have access to some serious performance-oriented combustion SUVs or the choice of going fully electric.
While this R-badged VW might be the most mind-bending of the lot then, it also has the most 'specific' appeal.
So, would I recommend this new Atto 3 Evo to my friend, or indeed anyone in the market for a mid-size electric SUV?
While it may look largely the same as it did back in 2022, the Atto 3 is now a far more compelling proposition than it was then. Certainly BYD has established itself in the market and that means there is more certainty for buyers.
But this new Atto 3 Premium is a big leap forward when it comes to the driving experience. And while that’s not likely to be a huge factor for most mid-size electric SUV buyers, given the price has only crept up marginally (by modern standards) it remains competitively positioned.
For context, the Leapmotor C10 is another mid-size, rear-wheel drive electric SUV from China and it is even more expensive than the Atto 3 and is, to be blunt, nowhere near as good.
If BYD continues to produce cars this good there’s no reason to believe it won’t be a major player for years to come.
Note: CarsGuide attended this event as a guest of the manufacturer with accommodation and meals provided.
The Touareg, as always, screams big Volkswagen. It’s more subtle than the Porsche Cayenne and Audi Q7 with which it shares its underpinnings, yet looks as slick as either up close.
It’s defined in its face by a massive black grille, integrated light fittings, and as usual with Volkswagen, some pretty subtle highlights and tail-lights in attractive LED patterns.
The wheels sell the vibe of an R. They’re enormous and gloss black, matching the theme and style of its smaller siblings, black highlight trims replace chrome or body colour bits to set it apart from the rest of the range.
It doesn’t look quite as modern as something like Kia’s Sorento or EV9, and it doesn’t look as elegant as the Volvo XC90 or as defined as the Land Rover Defender, all in the same price bracket.
This helps the Touareg maintain a certain mainstream appeal, and a sporty edge, without being too egregious.
Still, some might want some more overt visual flourish to indicate they’re driving a vehicle which is capable of sprinting to 100km/h from a standstill in 5.1 seconds.
Perhaps I’m in a different camp, one which appreciates the ‘sleeper’ nature of a giant family SUV capable of incredible driving feats when pushed.
Inside is always a pleasant surprise in a Touareg. While it might be the most affordable of the giant SUVs on this platform, it maintains the air of luxury and plush nature of its more expensive counterparts from Audi and Porsche.
You’re met by nicely trimmed leather seats and a chunky VW R steering wheel, massive screens and lavish amounts of padded leather surfaces everywhere. It feels every bit the luxury SUV the price indicates, in case you were worried you’d be getting something which feels more like a T-Roc than an Audi. For what it’s worth I quite like all the Volkswagen switchgear.
Despite the major changes underneath, BYD hasn’t really changed much from a design point-of-view. Which is a trend for the brand, with the 2024 update also focusing primarily on improving technology rather than the looks.
Externally there is a new lower bumper, which has some subtle changes to its air-intakes, extended daytime running lights, slightly slimmer side skirts and a reshaped rear spoiler.
Inside there are a few minor differences, with the gear selector moving to the steering column to create more storage space in the centre console, and the steering wheel is a new design.
The other notable change is the driver instrument display, which has grown from five- to 8.8-inch.
There’s also a new grey interior colour trim, which looks more premium to this reviewer’s eyes than the blue/white cabin of the older model.
And, for better or worse, the Atto 3’s most memorable feature, the ‘guitar strings’ on the door, remain. While they may not be to everyone’s taste, there is an argument to be made that BYD should be acknowledged for not making the simplest/cheapest cabin possible.
It’s a big SUV with big interior dimensions. It feels spacious and wide on the inside with a large centre console area for spreading out and a highly adjustable driver’s seat.
The seats are plush and comfortable, and visibility is pretty solid out of the cabin. Again, you're greeted by excellent touchpoints, from the steering wheel to the door cards and there’s even lashings of padded leather trim down the sides of the centre console for your knee to rest on.
Volkswagen’s screens are usually some of the best in the business and that continues here. They’re bright, sharp and served up with attractive and mostly functional and easy-to-navigate software.
The hardware behind them is also enough to keep them lightning fast when reacting to inputs, with satisfyingly smooth animations, too.
The one thing I like a bit less is how a few of the menus can be confounding. It took me a while to figure out I needed to set the default battery level higher than its current charge to get the engine to stay on, and I’d also love a button to simply switch between EV and hybrid mode.
In fact, the lack of buttons is one of the major issues in this car. Sure, the enormous centre screen is an impressive feature, syncing up with the dash design nicely, but you’re also forced to negotiate with touch elements for key climate functions. No matter how fast or slick the software is, there’s no compensating for a toggle or dial you can easily reach while you’re focused on the road.
For what it’s worth, the wireless Apple CarPlay worked seamlessly with the car in my time with it (and looked good too) while the wireless charger is rubberised and in a good location so your phone will be able to at least maintain its state of charge on the go.
Storage is plentiful up front, with large pockets with integrated bottle holders in each door, a large dual cupholder set-up in the centre console with variable edges and a large armrest console box.
In the back seat I have enough room for myself behind my own driving position at 182cm tall. It’s plenty wide and tall, but I don’t feel as though I had an enormous amount of legroom considering the size of the vehicle.
Still, the width will give you space for three adults across in relative comfort. Yes, there’s a large raise in the floor in the centre position to accommodate the all-wheel drive hardware underneath, but the width of the floor should allow a centre passenger to put their feet on either side.
Big door openings and the wide cabin make for easy child seat fitting, and there's even built-in window shades alongside two rear climate zones with physical controls, large bottle holders in the doors and a drop-down armrest, with some flimsy nets on the backs of the front seats to round things out.
Boot space is allegedly enormous at a quoted 810 litres, but the shape of it is less than ideal. Sure it’s nice and wide and oblong shaped at the base, but the rake of the boot quickly eats into the amount of height available, making it tricky to fit larger objects.
The space accommodated our CarsGuide three-piece luggage set with ease, but it didn’t leave much room to spare. It doesn’t feel like it’s double the 400 litre space typical of a one size-down SUV.
There’s also a needlessly complex two-piece shelf, which lifts with the tailgate, but the boot wouldn’t completely close with the luggage set present unless you removed it. To the Touareg’s credit, the second row seats hinge forward significantly to expand space by a fair bit.
Under the floor there’s only a repair kit, as the huge PHEV battery takes up the rest of the space. A decidedly less than ideal flat tyre option.
The new driver instrument display is a big improvement. Frankly, the old screen was quite small and provided limited information compared to this newer, larger display.
The 15.8-inch multimedia touchscreen came with the last update and remains a relatively straightforward system to use. However, the need to take your eyes off the road to adjust controls for the air-conditioning is unnecessary and could be fixed by the simple addition of physical controls.
The decision to move the gear selector to the steering column liberates a good amount of space between the front seats.
There is now room for two smartphones to sit side-by-side (although only one wireless charging pad), as well as two cupholders and a lidded console box.
Space inside the cabin obviously remains the same, with good room for what is a small (or at least a smaller mid-size) SUV.
Cargo space, on the other hand, is changed. The Dynamic measures 434-litres, which is almost identical to the previous model. Things are different for the Premium with the shift to the rear-mounted motor, with the rear boot measuring 490L plus there is now a 101L under bonnet storage space.
Is the Touareg R good value? Seems like a silly question doesn’t it?
One school of thought says, of course it isn’t. Nobody needs a giant $129,990 (before on-road costs) SUV which is this fast. What the halo Touareg variant has always offered is excess with a modest exterior wrapper.
On the other hand, the Touareg R is great value when you consider you’re getting much the same hardware as a Porsche Cayenne S E-Hybrid ($188,600) with a Volkswagen badge.
In its size and price-bracket, the Touareg R directly rivals the Land Rover Defender 110 PHEV ($126,184), Lexus RX HEV ($127,434), Range Rover Velar PHEV ($131,536) and Volvo XC90 Ultra T8 PHEV ($128,390).
I see two problems with this. Firstly, all of those price rivals are premium brands, and secondly, at the circa-$130K price-tag there’s also the awkward reality you could be choosing one of a few very appealing fully-electric options, from the Kia EV9 GT-Line ($121,000), to the Polestar 3 ($131,054), Mercedes-Benz EQE ($134,900) and BMW iX ($136,900).
So, it’s great value from one perspective, but not so much from a few others. Then again, this is the biggest, baddest Volkswagen you can currently buy, so whether you’re in the market for an R-badged car or a PHEV of this size, you’re likely familiar with a six-figure price-tag.
Do you at least score good equipment for the money? Aside from all the complex drivetrain hardware, this VW is an impressive place to be, with extensive plush leather interior trim in the seats and doors, power adjust for the front two positions with heating and ventilation, a 12.0-inch digital dash with Volkswagen’s slick-as-ever digital cockpit software, a head-up display, a massive 15.0-inch multimedia touchscreen (with wireless Apple CarPlay and Android Auto), matching wireless phone charger and quad-zone climate control.
Outside, there’s the brand’s signature matrix LED headlights, massive gloss black 22-inch alloy wheels, enormous ventilated disc brakes and a sports exhaust with air suspension hiding below.
It’s a lot of kit for a mainstream SUV, and performance, which we’ll talk about later, is impressive (with a few caveats).
BYD has taken this opportunity with the major update to make some tweaks to its price and positioning. The line-up has been changed with the Dynamic name replacing Essential on the entry-level model, while the flagship remains the Premium.
The Dynamic starts at $41,990 and the Premium at $46,990, both prices exclude on-road costs. Notably, both of those are a jump up from the out-going model, which started at just $39,990 for the Essential and $44,990 for the Premium.
However, there are some good reasons for the jump, which we’ll detail in a moment. But the overall level of standard equipment is good, so the value proposition remains appealing.
2026 BYD Atto 3 Evo Dynamic standard equipment
2026 BYD Atto 3 Evo Premium standard equipment
The Touareg offers a performance-focused plug-in hybrid (PHEV) drivetrain. Usually this means a little turbo four-cylinder engine and an electric motor, but instead this big SUV offers a 100kW electric motor and a 3.0-litre V6 turbo-petrol engine which combine for a whomping “total system power” of 340kW/700Nm.
This allows a 0-100km/h sprint time of just 5.1 seconds. Power is sent to all four wheels via an eight-speed automatic transmission and Torsen central differential. Up to 70 per cent of power can be sent to the front wheels, with up to 80 per cent of power going to the rear.
It is capable of driving at up to 135km/h under electric power alone, with the V6 kicking in beyond that speed.
It’s a rare set-up for two reasons. Firstly, it’s a plug in which maintains a large six-cylinder engine, and it runs even electric power through the transmission to all four wheels.
Some PHEV rivals, for example, use front combustion-drive only with no mechanical connection between the engine and the rear axle, which is driven purely electrically.
When it comes to towing specs, the Touareg offers solid official figures of 750kg for an unbraked trailer and 3500kg braked, although the maximum towball download is 220kg.
The Dynamic retains the same front-mounted, front-wheel drive electric motor as the Essential, which provides 150kW/310Nm of performance.
The Premium, on the other hand, gets an entirely new underpinning, with BYD’s new ‘e-Platform 3.0’ chassis, which introduces 800V electrical architecture (compared to 400V for the Dynamic). This includes a larger battery but also a switch to a rear-mounted, rear-wheel drive motor that makes 230kW/380Nm, which is a sizeable bump from the Dynamic.
Like other plug-in hybrids, the official combined (urban/extra-urban) cycle fuel efficiency number for the Touareg R is an eyebrow-raisingly low figure which you know won’t be achievable in the real world, but is probably technically feasible in lab-style conditions.
In this case, it’s 3.3L/100km. When I picked up the car it had a low charge level, and the next day I was able to top it up to just 50 per cent because I don’t have a power point in my garage, and the achingly slow 3.6kW maximum AC charging speed is severely limiting if you need to rely on the public network, as the 17.9kWh battery is relatively large.
This should bring you to the obvious conclusion the Touareg R is not a good hybrid if you can’t charge at home, as you’ll never extract the full benefit of the electric set-up. Perhaps adding evidence to this is its official energy consumption which comes in at a painful 21.1kWh/100km.
As for hydrocarbons, in my week of driving (in which I tried to pick up charge wherever I could) I saw over 14L/100km. Makes sense for a heavy petrol V6 SUV. I’d say you’re likely to see a figure like this on a longer journey or if you drive it with enthusiasm as the R badge encourages. To add additional pain, it requires 98RON premium unleaded fuel.
With a realistic maximum pure-electric range of closer to 40km compared to the official WLTP-rated 51km (more on this in the driving section of the review), the R is also best for people whose daily commute is relatively short.
I can’t imagine, for example, the best benefit of this car will be extracted from someone who lives in the urban sprawl and commutes to the city every day with distances in excess of 50km for a return journey.
Additionally, the hybrid mode is very EV-heavy, draining the battery relatively quickly unless you manually put it in preservation mode.
For nerds who could be bothered, this mode is potentially a nifty feature allowing retention of some EV range at the end of a long freeway journey. But it takes a certain buyer to even be bothered with this.
Can you see why plug-less hybrids are the Australian new car buyer’s electrification configuration of choice?
Naturally, the changes to the motors and platform also mean some major changes to the batteries and driving range.
The Premium now features a 74.8kWh lithium iron phosphate (LFP) battery, which allows for a claimed range of 510km, up from the 420km previously offered by the pre-updated model.
The Dynamic, however, has the 420km range, as it now uses the same 60.4kWh LFP battery as the old Essential Extended Range.
The previously available 49.9kWh battery, that had 325km of range, is now dropped. So, while the Dynamic technically costs more than the previous Essential, it comes with a bigger battery so you’re getting a higher specification vehicle.
BYD claims the charging speed has been increased thanks to the new 800V architecture. The Premium is now capable of taking up to 220kW of DC charging, which means it can get to 80 per cent capacity in as little as 25 minutes.
The Atto 3 Evo also features vehicle-to-load (V2L) functionality, which means you can draw power from the car’s battery to power small electronic devices if needed.
Here’s where things get a bit frustrating, and your experience will vary dramatically depending on how you use this car.
One thing we can get out of the way immediately is the Touareg is deeply technically impressive when you attack a few corners. Its immediate electric thrust is capable of propelling this large object forward with eye-widening speed, and the air suspension, wide grippy tyres, Torsen centre differential and tidy steering tune conspire to make it mind-bending to carve corners in.
It’s flat, stable, and far more accurate and agile than expected. The only hint as to the sheer physics of wrangling the Touareg around bends is the tyres screaming out in agony as the suspension and all-wheel drive system work their magic to keep it all under control.
Once the electric torque pushes you out from the corner, the deep satisfying thrum of the 3.0-litre petrol V6 quickly takes over as you lurch forward on the almost fluid-feeling suspension. It’s laugh-out-loud satisfying and certainly enough to capture passengers' attention.
In this sense, the R fulfils its mission of transforming the big Touareg into a handling and acceleration hero, but despite all the cleverness it doesn’t feel as sharp or lean as the Golf R, T-Roc R or Tiguan R.
There’s still a massive battery, as well as huge complexity and weight to deal with, no matter how technically fast it is. There’s always the unsettling feeling of this amount of weight moving around, and the occasional slight delay from the transmission as it figures out what’s going on between the electric motor and big engine.
Then there are the compromises. Normally, I’m a huge fan of how plush and luxurious the Touareg feels. It’s usually such a step above its station in the VW Group, occasionally even feeling preferable to its platform relations, but the R has some issues.
For a start, the enormous 22-inch wheels and low-profile tyres ruin the day-to-day ride quality, crashing over bumps and road imperfections, despite the fact there’s also air suspension supposedly providing a buffer between you and the tarmac.
Even in the more comfort-oriented drive settings you can hear and feel every bit the moment the wheels contact a pothole or bump. Clearly, it’s tuned more toward handling than maintaining the same luxury feel as the rest of the range.
The transmission is also occasionally hesitant, either from a standing start or when switching between electric thrust and the engine. This is much better when the battery is charged up from the reserve level, as there isn’t enough charge when driving around as a hybrid to push a big, heavy (and always) all-wheel drive very far.
But hybrid driving is also frustrating, for reasons mainly related to the software. With the battery charged, the 51km of claimed driving range feels a tad ambitious. I was able to charge it to about 50 per cent (the battery is huge, at 17.9kWh, and I could only pull about 3.5kW from a local AC charging unit) and scored about 20km of driving range.
It drains quickly, even in the hybrid driving mode, as it relies on the electric motor a lot for initial take-off.
This means unless you set the battery preserve mode manually in the hybrid settings screen, it will likely run the battery dry before you’re even able to get it somewhere where it can take full advantage of the extra electric thrust.
As an electric vehicle it’s also only alright. The short time I was able to spend in full EV mode proved the battery will drain faster than advertised, and the regen is so-so for assisting in braking.
Other more performance-focused PHEVs suffer the same issue. For example, I felt largely the same way about the much-maligned four-cylinder PHEV Mercedes-AMG C63.
While hybrids like this may be impressive when conditions are ideal, they’re ultimately frustrating to use in reality. It’s a shame, because I wanted to like it more but it doesn’t quite capture the same magic of its R-badged forebears and siblings.
BYD didn’t have any examples of the Dynamic for us to drive, which makes sense given the significance of the changes to the Premium.
Previous experience with the front-wheel drive version of the Atto 3 didn’t leave much of an impression. It’s a perfectly acceptable mid-size SUV in terms of how it drives and rides, but it didn’t do anything special that made it stand out in a very competitive field.
This new Premium model, however, is a different story. The switch to the rear-wheel drive layout unsurprisingly has a dramatic impact on the way it drives.
Around town, at urban speed, it feels good but where it shines is on the open road. It’s not wildly fast when you put your foot down, like some other EVs, but it has excellent composure and feels responsive.
It’s not what you’d call a sporty or ‘hot SUV’ but it certainly leaves a good impression, one that will last longer than the front-wheel drive version.
Certainly the steering could be tuned better, it doesn’t offer much feeling, particularly just off-centre. And the ride can be noticeably firm at times, hitting bumps with a sharpness that you can feel in the cabin. It’s another example of where the Chinese brands could benefit from local suspension and chassis tuning to help it better suit Australia’s unique conditions.
All of the safety kit is standard and present on the Touareg R, including autobahn-speed auto emergency braking, lane keep assist with lane departure warning, front and rear cross-traffic alert, blind spot monitoring, road sign recognition, driver fatigue detection, a surround view camera and adaptive cruise control.
The best part is these systems not only work, but they’re well calibrated so they generally don’t interfere with the core driving experience.
Additionally, the Touareg has a suite of eight airbags and maintains a maximum five-star ANCAP safety rating achieved in 2018.
In addition to the other changes underneath, BYD has also taken this opportunity to include some additional safety. The Advanced Driver Assistance System (ADAS) gets a new Child Presence Detection function with an in‑cabin sensor that can alert you if someone is left in the vehicle after it is locked. There’s also a new Driver Monitoring System for both models.
The Atto 3 still has a maximum five-star ANCAP rating from a 2022 crash test.
Other standard safety equipment includes:
In addition the Premium adds:
The standard five year, unlimited kilometre warranty features with one year of complimentary roadside assistance provided (renewed for another year with each service at an authorised dealer).
Servicing is required once every 12 months or 15,000km and the most affordable way to do it is with pre-packaged service plans bundled in with purchase. These come in at $3400 for five years (a saving of $668 over the a-la-carte program) or $2050 for the three year plan (a saving of $222).
Even in its most affordable form this makes servicing average $680 a year which is a far cry from most affordable brands, but it could be worse considering the complexity of the powertrain.
One of my ‘dislikes’ when I drove the Atto 3 in 2024 was “long-term BYD prospects still unclear” - driven by the fact it was still a relatively small brand with a limited line-up (the Shark 6 wouldn’t launch until two months later). Well, as I write this in September of 2026 it’s safe to say BYD’s long-term prospects look as good as any brand.
It is sitting in second spot on the year-to-date sales charts, behind only Toyota but surpassing the likes of Kia, Ford and Mazda. There can be no question BYD has cemented its place in the Australian market.
It already has more than 100 dealer and service locations, with plans to grow that to 150 by the end of 2026.
As for the Atto 3’s specific ownership credentials, it’s covered by the brand’s standard six-year/150,000km warranty. The battery has a separate eight-year/160,000km warranty and the Drive Unit (the motor) is covered for eight years and 150,000km.
Service intervals are every 12 months or 20,000km, and with capped price servicing the Dynamic should cost you $1410 and the Premium $1670 for the first five years.