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Everyone knows “bigger is better,” especially in America. It’s practically our national slogan; the founding fathers should have included it in the Bill of Rights as the 10.5th Amendment. Here in the land of the free and the home of the brave there may be a compelling case for all things large and in charge, but that doesn’t mean there isn’t a place for small.

There’s nothing wrong with going compact, especially when it comes to cars. With high fuel prices and environmental concerns on the minds of more drivers than ever, people are looking to downsize, but they don’t necessarily want to sacrifice luxury accoutrements. Luckily the industry is responding to this demand, particularly high-end German brands.

BMW has offered its 1 Series in the U.S. for a few years now, Mercedes-Benz is poised to introduce its much-anticipated CLA-Class compact sedan in September and Audi is cooking up a brand-new version of its popular A3. This 2015 model promises drivers a mountain of premium features in a deliciously right-sized package. Here’s everything you need to know about this new product from Ingolstadt.

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Audi is known for its elegant, tasteful styling. Where other companies add swoops, angles and chrome trim designers at the four-ring brand know when it’s time to put the pencil down. They’re keenly aware that more isn’t necessarily better. Thankfully they’ve maintained this restraint with the 2015 A3 sedan.

All of the signature Audi elements are there, just on a smaller scale. There’s a chrome-outlined single-frame grill, LED lights, a familiar side profile and pert rear-end. It looks like the much larger – and more expensive – A6 but on a smaller scale. Mimicking its bigger stable mates the A3 also features superb fit and finish. The car’s assembly quality is faultless, with body-panel gaps that are so tight you’d be hard-pressed to fit a gum wrapper in them.

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The A3’s exterior is a winner, and in typical Audi fashion so is its interior. There’s a reason they’re the industry benchmark for cabin design and construction. The materials are first-rate, the built quality is superb and everything feels premium, whether it’s the dashboard plastic, circular air vents or climate-control switchgear. None of these parts would look out of place in the company’s flagship A8 sedan, and that’s an impressive accomplishment for a small, relatively low-cost car. Audi is practically synonymous with interior quality and that’s as true as ever with the new A3.

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The 2015 Audi A3 will offer global customers at least seven different engines. The base powerplant is an efficient and surprisingly capable 1.4-liter gasoline unit that delivers 125 horsepower. There’s also another version of this unit that features the company’s “Cylinder on Demand” system, COD for short. It basically shuts down half of the engine when full-power isn’t needed, enhancing fuel economy. On top of that there are two 1.8-liter units, some diesels and a couple range-topping 2.0-liter gasoline engines.

American buyers will have four powerplants on the menu, still plenty to choose from. The base unit is a 1.8-liter TFSI turbo four with 180 horsepower. There’s also a 2.0-liter TDI clean diesel that puts out 150 horses and enough torque to dislodge the state of Connecticut from the Eastern Seaboard and drag it clear across the country. Then there’s a 2.0-liter gasoline turbo that’s offered in both low- and high-output flavors, the latter of which will serve aboard Audi’s high-performance S3. It’s expected deliver around 300 horsepower! Of course all of this excludes the plug-in hybrid e-tron model, in case you needed yet another choice.

Harnessing all that power is a seven-speed, dual-clutch S tronic automatic gearbox. Sorry enthusiasts, it’s the only transmission offered in the U.S., but global customers will be able to opt for something with three pedals, a proper six-speed manual.

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Thanks to advanced engines and cutting-edge transmissions, the new Audi A3 should sip fuel like a disinterested toddler drinking from a juice box full of vinegar. Further improving efficiency is a lightweight structure. The latest compact Audi will ride atop the Volkswagen Group’s versatile Modularen Querbaukasten platform, also referred to as MQB by non-pedants. This is the same architecture that’s used by the new VW Golf. Thanks to the liberal use of high-strength steel, aluminum and magnesium the 2015 A3 should weigh less than 2,800 pounds, which is an admirable accomplishment in today’s safety-obsessed and very heavy world.

For a little perspective it’s worth comparing the A3 to its big brother, the A4. Consider the following: A 2008 A4 sedan has a wheelbase of 104.3 inches. Today’s version is considerably longer at 110.6. For comparison the A3 features a span of 103.8 inches, so it’s nearly as large as an A4 from just one generation ago! The A3’s overall length is 14.62 feet; an ’08 A4 stretches just a few inches more. Surprisingly the A3 is also about an inch wider. This is one large compact car!

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So, the new A3 features a range of fuel-sipping engines, an advanced transmission and a lightweight body. What does all that cutting-edge technology ultimately mean? How efficient is it? Well, official EPA numbers have not been published at this time but according to Audi representatives, cars powered by the 1.8 turbo are estimated to deliver 33 miles per gallon in city driving and 49 on the highway. Combined they should average around 42 MPG in mixed driving. Again, these numbers are estimates; expect them to change… probably by A LOT.

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The A3 was introduced way back in 1996, barely half a decade after the Berlin Wall came a-tumblin’ down and Germany was united as a single nation once again. Since then more than 3.5 million have been sold in some 117 countries across this small, wet planet we call earth. With such showroom success the car accounts for a whopping 20 percent of Audi’s sales! That’s something that should continue with the 2015 model, after all, it’s the best A3 ever. It’s stylish, sporty and luxurious. What’s not to love?

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Despite its small size and relatively light curb weight the new A3 drives like a much larger car. Its on-road manners and overall refinement are reminiscent of the larger A6, a model that’s at least two vehicle classes up the Audi product ladder.

One potential downside is the A3’s stiff suspension. Bumps, cracks and other road imperfections are readily felt through the springs, though its structure is about as solid as a block of granite. There are no squeaks, rattles or unwanted shudders to report. Of course the trade off for starchy suspenders is typically precise handling and the A3 is suitably sharp. It’ll carve corners like a butcher going to town on a side of beef, yet at parking-lot speeds the tiller is light and easy to manipulate.

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What luxury car is complete without a Best Buy worth of technology? Right, none; appropriately the 2015 Audi A3 is loaded with circuits and is ready for battle. One of its coolest features is a retractable seven-inch navigation display. It silently tucks away into the top of the dashboard when not in use, sliding out of sight like a dollar bill into a vending machine. There’s also in-car WiFi as well as available lane-keeping assist and adaptive cruise control, to name but a few of its many features. And of course it’s equipped with the latest-generation MMI system, which includes an integrated touch pad on top of the central control knob.

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Perhaps best known for goulash, Tokaji wine and the Hapsburg Dynasty, Hungary is actually home of the Audi A3. Believe it or not the former Eastern-Bloc country is where almost every one of them will be born; examples sold in China are the exception. They’ll be assembled locally due to exorbitant tariffs on imported vehicles.

Audi claims its factory in the city of Győr (GEE-yuer), located about an hour west of the capital Budapest is the largest engine plant in the world. Last year it delivered more than 1.9 million powerplants, everything from small gasoline units to diesels to 12-cylinder monsters are built there, along with, of course, the A3. How’s that for international flair?

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American customers should be able to pick up a 2015 Audi A3 sedan sometime in the first quarter of next year; it’s launching as an early ’15 model. Pricing has not been announced at this time but company representatives have hinted that it will start around $30,000, which is all over another promising luxury compact, the Mercedes-Benz CLA-Class.

Things in the premium compact segment are getting hot and it’ll be interesting to see which car or cars resonate with consumers. As it stands the A3 makes a host of compelling arguments and will be hard to beat.

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