Overview

WHILE ‘entry-level’ seems a manifestly inadequate descriptor for a 294kW/500Nm, turbocharged five-cylinder hot hatch, that’s what the Audi RS 3 is for buyers who seek entry to Audi Sport’s hallowed top-tier performance models.

It may be the cheapest ‘RennSport’ model, but the importance of the RS 3 to Audi is hard to overstate. It is the drug designed to keep fans hooked for life – the beginning of a journey that once culminated in the R8 but which (for now) ends at the carbon- and leather-lined $400K RS 6 GT.

A growing league of Australian performance car buyers have found an RS addiction to be an enjoyable vice, but increasing demand is just about to hit a tough-to-move wall in the form of Euro 7 emissions regulations, which will cause RS 3 sales to be stopped in Europe from mid-2027.

While Audi Sport bosses say our exemption to EU7 means that the local operation can keep importing today’s RS 3 into 2028 and beyond, Audi Australia hasn’t made a final decision on whether it will take up that live option. That raises the stakes on the variant subject to this test.

Badged Competition Limited, Australia has managed to carve 18 cars away from the 750 units mainly intended as Europe’s RS 3 swansong. Compared to the standard RS 3 (from $104,800 plus on-road costs), Audi Australia says the competition limited will hit the road at about $200K.

It’s a breathtaking premium for a trim that makes no more power and is no faster than the ‘ordinary’ RS 3 that sprints from 0-100km/h in 3.8 seconds. But it starts to make sense as the sum of the extra parts the fully specified competition limited does get begins to accumulate.

These start with things that buyers technically could option on a regular RS 3 – the only ceramic brakes in the hot hatch segment ($10,800), Audi Exclusive paint ($7600), carbon-fibre engine cover ($1200), and even more exterior carbon-fibre than the regular Carbon Package ($7400).

We’re already $27K into options before taking stock of the competition limited’s money-can’t-buy stuff. This is the only RS 3 the factory builds with manually adjustable coil-over suspension, reduced sound insulation, a louder RS exhaust system, and extended neodymium bronze trimmings.

The aftermarket can provide something like this exhaust (at moderate cost) and a hardcore new suspension (at substantial cost), but there’s a value-add to these alterations coming with the numbered plaque that only competition limited buyers will enjoy.

Other special bits include a stiffer rear stabiliser bar, manual heated bucket seats in bronze suede (replacing powered Nappa leather items in the regular car), 19-inch forged Neodymium 19-inch alloys with Pirelli P Zero R tyres, a lifted 290km/h top speed, and a sunroof delete.

Some RS 3 luxuries are retained, including matrix LED headlights (albeit with a 1-2-4-5-3 ignition animation), 10.1-inch MMI system with wireless Apple CarPlay and Android Auto, 12.3-inch Virtual Cockpit, 15-speaker 680W Sonos 3D stereo, three-zone climate, and power tailgate.

The sole competition limited options will be choosing sedan over Sportback or replacing Malachite Green paint with Glacier White matte or Daytona Grey pearl.

While the RS 3’s EA888 evo turbocharged 2.5-litre inline five-cylinder engine has been retained here, fuel consumption will increase slightly for the competition limited due to the exhaust tune, and 98-octane premium will continue to be required.

Driving Impressions

The competition limited retains the outgoing, point-and-shoot nature that has made the RS 3 such a compelling ‘getaway car’, while turning up the volume – both literally and metaphorically – on important parts of the driving experience.

At the centre of it all remains the familiar pairing of a five-cylinder engine, seven-speed ‘S tronic’ dual-clutch automatic transmission, Quattro all-wheel drive and RS torque splitter combination that makes the competition limited just as quick as a standard RS 3.

The powertrain is not the point of difference. Instead, the competition limited’s character is altered by the rest of the package: reduced sound insulation, a freer and louder RS exhaust calibration, more focussed suspension hardware, stickier tyres, and standard ceramic brakes.

Removing around 4kg of insulation between the cabin and engine bay has made a surprisingly large difference. The offbeat five-pot note is more apparent, but so too are induction sounds and occasional turbocharger blowoff typically filtered out in unmodified versions of the normal RS 3.

It’s altogether less sanitised. The same is true of the exhaust: while some will be surprised Audi didn’t opt for something fancy, like an Akrapovic titanium system, the variable flaps of the twin RS pipes open earlier in the competition limited and it’s noticeably louder on wide open throttle.

Most critical is the suspension. Audi has replaced the regular RS 3’s adaptively damped setup with a manually adjusted coil-over setup. It supplies bespoke tools to change high- and low-speed compression and rebound damping, as well as ride height.

It’s an unusually hardcore change for one of the segment’s more buttoned-down hot hatches. Audi will deliver the competition limited at the softer end of adjustment – saying this will suit 85 per cent of use cases – but even here, the extra firmness is immediately obvious.

The hard, reactive ride won’t suit all tastes, but the competition limited retains a reasonable degree of compliance, testament to the stiff chassis that means Audi hasn’t needed to dial suspension hardness to 11 to achieve its desired handling result.

Over smooth roads, the competition limited exhibits very little body roll, with the front end responding even more zealously to direction changes than the regular car – supported further by a stiffer rear stabiliser bar – but it has not become brittle or crashy in town.

We wouldn’t call it comfortable, but we ultimately prefer the balance of the competition limited to the standard RS 3. Drivers willing to seriously commit can enjoy adjustable dynamics on corner exit, with the bespoke suspension complementing the RS torque splitter particularly well.

This speaks to what the RS 3 is good at – devastating point-to-point pace that combines the punch of the engine, the more zealous cornering unlocked by the coil-over suspension, the grip of the upgraded Pirellis, near-instantaneous reaction of the AWD system.

Straight-line pace can still be brutal, the RS 3 needs to be driven hard to ensure that it feels fast. Like the Cupra Formentor VZ5 we tested recently with the same powertrain, the Audi does not like to be driven efficiently.

At low RPMs, the dual-clutch automatic can be a bit rough, with the driveline only really coming on song when you pedal it hard. Here, the engine’s distinctive firing order and forceful upshifts from the ‘S tronic’ give the RS 3 a sense of occasion four-cylinder rivals can’t match.

In the other direction, the competition limited’s standard front ceramic brakes contribute to its credibility. They deliver amazing stopping power, strong bite, and impressive fade resistance, making them appropriate for sustained fast blasts on road or track.

The sweet spot for the competition limited isn’t daily commuting but fast road driving where the engine, suspension, brakes, and tyres can work together. It feels best when driven with intent, when the hard ride and extra noise become part of the appeal.

Refinement is inevitably reduced compared with a regular RS 3. Road noise is more apparent from the sticky Pirellis, and if you only ever stay in town, we can imagine the ride becoming terse. That said, the A3’s usability means good visibility remains mostly intact.

Inside, the cabin is familiar RS 3 fare, though the competition limited’s ultra-supportive manual bucket seats won’t fit all frames comfortably. The flat-bottomed steering wheel’s 12 o’clock marker, seatbelts, and seat centres are all trimmed in neodymium Dinamica.

The A3’s cabin remains a strength. The twin screens are neatly integrated with physical climate toggles and shortcuts that make the car easier to interact with than some newer Audi interiors. That said, the door and dash trimming simply are not up to $200,000-driveaway standards.

Rear accommodation is unchanged from a regular RS 3, meaning adults can fit for shorter trips, and children are adequately catered for – this is a great second car. Rear air vents, USB ports and a fold-down armrest add to the practicality.

Boot wise, the Sportback’s 282-litre capacity (growing to 321 litres for the sedan) trails a regular A3 because the RS 3’s five-cylinder engine eats up all available engine bay space, requiring the 12-volt battery to be relocated to the cargo area. There is no spare wheel.

Adaptive safety equipment falls in line with the regular RS 3 and includes lane-keep assist, adaptive cruise control and blind spot monitoring. The systems support, rather than dominate, the driving experience.

Our tested fuel economy of between 12- and 13 litres per 100km is acceptable, given the performance on offer, though it does mean the fuel gauge needs to be watched. Combined with a 55-litre tank, driving range is 423-458km.

So, is the RS 3 competition limited worth hunting down?

The question might be moot, as Audi believes all 18 units will be snapped up rapidly by enthusiasts when Australian sales officially start.

Given this version of the RS 3 competition limited is destined to be Europe’s very last, we can’t help but wish the five-cylinder’s wick was turned up as far as it could go.

Still, to do so would arguably have been to take the easy and expected route.

The decision to concentrate instead on much more technically involved suspension and sound changes that make a meaningful difference to how the RS 3 feels every day?

That’s classic Audi, and a fitting send-off to one of the great hot hatches of our time.