The first generation of the premium compact hatchback from Audi was introduced in 1996 as a three-door only.
In 1999, a 5-door version was introduced on the market.

The A3 Sportback was the first compact-hatchback on the premium segment. It was built on the Volkswagen Golf IV platform (PQ34), shared with the Seat Leon, and Skoda Octavia. It was the first Audi with a transverse engine. On the same platform, several years later, Audi launched the TT range.

The Sportback was a five-door bodywork and, unlike most of the compact hatchbacks on the market, it featured an additional side window behind the rear doors. The raked tailgate took some space from the trunk but added some points to the image factor.

Inside, the premium materials used were similar to those from its bigger brother, the A4. The instrument cluster featured a clear, four dial design, with an LCD installed between the speedometer and tachometer. Due to the short, 2.5 m (98.9”) wheelbase, the rear seats offered limited legroom for passengers. The trunk was not the biggest in its class, but the split 60/40 rear bench backseat was standard.

The Audi A3 Sportback was available with a wide choice of diesel and gasoline engines, with front or all-wheel-drive. All the gasoline units were mated as standard with a 5-speed gearbox while the top, 130 hp, diesel unit featured a 6-speed manual. A 4- or 5-speed automatic was available as an option.