Despite a lack of variety, there is still plenty to appreciate under the 2006 Audi A3’s hood. The A3’s 2.0-liter, turbocharged, four-cylinder engine was first used in the 2005.5 A4. Thanks to direct fuel injection, which squirts just the right amount of fuel directly into the combustion chambers instead of mixing it in a manifold, this engine creates an impressive 200 horsepower at 5,100 rpm and 207 lb.-ft. of torque between 1,800 and 5,000 rpm. By comparison, the Subaru WRX and Saab 9-2X Aero come with 2.0-liter, turbocharged four-cylinders producing 227 horsepower at 6,000 rpm and 217 lb.-ft. of torque at 4,000 rpm.

Two six-speed transmissions bolt to the A3’s sophisticated engine, driving power to the front wheels. The standard offering is a conventional six-speed manual operated with a clutch pedal, and the optional unit is a Direct Shift Gearbox (DSG) that features automatic or clutchless manual shifting. In terms of fuel economy, the Audi A3 remains competitive at 25-mpg city/31-mpg highway with the optional DSG and 24/32 with the standard manual, proving another benefit of direct fuel injection – the elimination of wasted fuel that conventional manifold mixing often creates.

Seventeen-inch aluminum wheels, wrapped in 225/45R17 all-season tires, come standard and the brakes are four-wheel discs with ABS, although only the front discs are vented. Rotor diameters measure 12.3 inches up front and 11 inches in the back. Audi uses MacPherson struts up front and a four-link independent setup for the rear suspension. Cornering ability starts in the driver's hands, as the power assistance in the steering is variable depending on the vehicle's speed. Sometime after the initial launch, a 3.2-liter V6 model will be available, wearing 18-inch alloy wheels and featuring Audi’s quattro all-wheel-drive system. A higher-performance S3 model is also planned.