The head of Audi’s dealer council has revealed further information about the upcoming Q5 crossover. Stating that the Q7 is a larger vehicle that competes primarily with the Lexus RX, he doesn’t fear that the Q5 will steal sales away from its larger sibling. Rather he sees the Q5’s main competition as BMW’s X3 and Acura’s RDX, although by the time the Q5 reaches the market, the Mercedes GLK and Cadillac BRX shouldn’t be far behind.

Unlike the Q7 which intends to be offered with a diesel engine in the near future, Audi will first be offering a hybrid powertrain in the Q5. The problem with offering a diesel engine in the Q5 is that it would cost $4000, effectively pricing it out of the segment unless Audi is willing to cut the premium they would charge for the diesel.