A control system for a vehicle having first and second axles is provided that includes a coupling apparatus adapted to distribute torque between the first and second axles and a traction controller for controlling operation of the differential apparatus from vehicle launch up to a predetermined vehicle speed. The traction controller is configured to engage the coupling apparatus in a first operating state according to at least one vehicle operating parameter indicative of a low traction operating condition and to further control engagement of the coupling apparatus in a second vehicle operating state during the low traction operating condition according to a difference between an actual vehicle yaw rate and a predetermined target vehicle yaw rate.