The second-generation model was assembled on platform featuring a combination of aluminum and steel components (69 to 31 percent, respectively).
Initially, the Audi TT was available only in a coupe configuration and had an overall luggage capacity of 290 liters (extendable to 700 liters by folding the rear bench). This model was fitted with either a 2.0L turbocharged TFSI engine delivering 200 hp or a 250-hp naturally aspired 3.2L V6, both equipped with a standard 6-speed manual transmission (S-tronic dual-clutch gearbox was optional).
The first unit came with front-wheel-drive, while the V6 was available with standard all-wheel-drive. Other new features on the new The Audi TT Coupe included a redesigned sport-oriented suspension, a larger track (due to the introduction of wider wheels) and an optional high-tech Audi magnetic ride damper system.
Audi's new active suspension, called Audi Magnetic Ride is based on BWI Group's MagneRide, which uses magneto rheological dampers, meaning that an electronic control unit for the suspension will automatically adjust damping properties depending on the road conditions and driving style.
In 2008, Audi challenged the sport-compact coupe segment introducing the 2.0 TDI engine in the TT, delivering a power of 170 hp and 350 Nm (258 lb.-ft) of torque. It was available only in an all-wheel-drive quattro version.