Audi is taking the fight to arch-rival BMW with the launch of its new A5 and S5 four-seater coupes. The cars are pitched squarely against BMW’s 3-series coupe – and its M3 performance derivative.

Audi’s is looking to have a model in every car segment – A5 is the third new coupe to be launched in the past 6 months, following the all-new TT and R8 models. Audi’s UK dealers have already taken more than 1000 orders for the £77,000 R8, a direct rival to the Porsche 911.

When A5 and S5 go on sale in July, it will be available with the 3.2-litre V6 FSI petrol, 4.2-litre V8 FSI petrol, 2.7 TDI and 3.0 TDI.

Pricing will start from around £30,000 for the A5 2.7 TDI and go all the way up to £40,000 OTR for the Quattro version. Smaller-engined models, including the base 1.8 version, will follow in 2008. An ultra-high performance RS5 is also under development – and it could have a version of Audi’s extraordinary V10 engine.