The Freelander banks on a premium design

The all-new Freelander - Land Rover's most important vehicle since the original took the SUV market by storm in 1997 - has been…

The all-new Freelander - Land Rover's most important vehicle since the original took the SUV market by storm in 1997 - has been revealed.

The British-based manufacturer hopes that Freelander 2, which will be built at Liverpool's award winning Halewood plant, will match the success of its predecessor, which was Europe's best selling SUV for the first five years of its life.

While early examples of the original were troubled by quality issues, Land Rover's managing director, Phil Popham, assures that there will be no such problems with this second-generation model thanks to engineering and quality assurance practices learnt from the company's owner, Ford.

While Land Rover would like to pit the new Freelander against BMW's X3, in reality it will battle against Toyota's Rav 4 and Nissan's X-Trail, both of which are accomplished SUVs.

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Expected to retail at just above €40k (exact prices and specifications will be announced at the British Motor Show on July 17th) for the entry-level 2.2-litre diesel, which has higher equipment levels than the current S+ Freelander, the new model may be priced at the top end of the sector when it arrives here at the end of the year, but its new diesel engine, which was developed by Ford in conjunction with Peugeot/Citroën, is significantly more powerful both in torque (400Nm) and horse power (160bhp) than both the 2.2-litre diesel-powered Nissan and Toyotas.

Joining this diesel at launch will be a transversally mounted 3.2-litre in-line six-cylinder petrol, which was primarily developed by Volvo - another member of Ford's Premier Automotive Group - and then tweaked by Land Rover. This 233bhp unit will allow Land Rover to further penetrate the US and Far Eastern markets where petrol still dominates. It also means that here virtually 100 per cent of Freelander 2 sales will be diesel.

Both engines are mated to a six-speed auto box, although the diesel will initially only be available with a six-speed manual. The new model, which is only available as a five-door and will come in three specification levels - S, SE and HSE - will win praise for its looks.

Freelander's designer, Earl Beckles, picked cues from the hugely successful Range Rover Sport - the high chrome air intakes and the distinctive grille - and transplanted them onto the Freelander. While clearly still the company's entry-level model, this new compact SUV has so many of the hallmarks of its costlier stablemates that the premium look Beckles was striving for has been achieved.

The interior, which always disappointed in the original, also receives that premium touch. Even on early pre-production models, the quality of fittings, right down to the use of eucalyptus wood, and the level of equipment, assures that drivers of executive vehicles will feel at home.

But as with all Land Rovers, it is under the skin that the truly exciting work is found. For the first time, Land Rover uses a Haldex electronic centre coupling, which continuously alters the torque split.

While still respecting Land Rover's unbroken tradition of manufacturing only four-wheel drive vehicles, this coupling sends almost 100 per cent of power to the front wheels when on the road to reduce running costs. However, if traction is compromised, torque is instantly transferred between the front and rear axles. Added to this is a host of traction, hill descent and ascent, braking and stability controls that mean the new Freelander is about to raise the bar for off-road capability in the sector.

Indeed, for those planning to venture off-road, Land Rover has also installed a version of its Terrain Response system that premiered in the Discovery 3 on all but the entry-level Freelander. While having four rather than the Discovery's five settings, the system optimises throttle, engine and braking response to suit the terrain. First gear also has a longer range to overcome the lack of low-ratio.

As Land Rover's most important vehicle, Freelander must succeed. Since the original arrived almost a decade ago, its competitors have met and then exceeded the standards it set. But with Freelander 2, Land Rover looks set to regain the higher ground.