What's the difference?
Back in 2010, Mitsubishi released Australia’s first mainstream electric vehicle (EV) in nearly a century.
That model, the i-MiEV, was a four-seater city-sized Kei car from Japan that cost $48,800, before on-road costs, or from roughly $70,000 in today's money. Little wonder it bombed. That was four times more than petrol-powered equivalents of the time.
Now, in 2026, the new BYD Atto 1 is the first EV sold here since the i-MiEV’s 2013 departure to be considered a four-seater city car.
It’s also the least-expensive EV money can buy, being even cheaper than many internal-combustion engine alternatives like the Mazda 2 and Toyota Yaris hybrid. The fact is, there’s nothing remotely near the Chinese supermini’s base price that’s electric.
But is the Atto 1 any good?
They're doing it again! Actually they've been doing it again for a bit now. It’s Mercedes-Benz Australia and plug-in hybrid tech.
The Ross and Rachel, or Jim and Pam of the premium automotive world.
It's been a will they, won't they for a while, and in the past Mercedes has dipped its proverbial plug into the electrons a few times and gotten cold feet.
But now it says it’s all in. There are others, the GLA and GLC SUVs, plus there’s the new C63 performance car, but this one feels like a bit of an arrival.
Yeah, the C-Class is no longer the Mercedes-Benz in terms of sales, but it might be the best way to make the most of a bit of battery power.
The BYD Atto 1 has already earned its place in history as the cheapest new EV ever sold in Australia. And the good news is that, on the strength of bigger-battery Premium version, it rarely puts a foot wrong as a city car, exceeding performance, efficiency, refinement and comfort expectations. The Atto 1 really delivers around town.
But the baby BYD’s price is too close to larger EVs with better range, while extended exposure reveals issues with seat comfort, touchscreen access/distraction, ADAS interference and nervous steering feel at speed. Australian road tuning is required to rectify these.
Still, as a cheap urban EV runabout, the Atto 1 Premium still (just) stands alone. A glimpse into the future, someday, all city cars will likely follow in the bold BYD’s footsteps.
Plug-in hybrids will probably not appeal to all buyers, but in the premium space they make sense.
Smooth electric driving paired with the potential for weekend trips outside the 100km-or-so range make the C350e a decent thing, let alone its price parity with the C300.
It still doesn’t top the charts for value or practicality, but even aside from the PHEV tech, the C350e remains a fun-to-drive sedan that holds its own in the executive space.
Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.
Fun fact. Designer Wolfgang Egger was responsible for the gorgeous Alfa Romeo 156 of 1997 among others, as well as some Audis and Lamborghinis later on. You can definitely see the latter’s influence in the Atto 1’s angular face.
Based on the Dolphin architecture and badged the Dolphin Surf elsewhere (as well as Seagull but that name wouldn’t fly here), the BYD’s boxy proportions are pure supermini and is about the size of the previous-generation Honda Jazz.
However, the designers have added some crossover cues to the styling, including plastic cladding around the wheel arches, to give it a pseudo SUV look.
Inside, though, the Atto 1 is unashamedly hatchback in layout and appearance, with a contemporary, minimalist dash, big central touchscreen with precious few buttons and loads of storage.
In other words, a typical modern small car from China.
The C350e doesn’t depart massively from the familiar visual formula that is the current ‘206’ generation C-Class and that’s no bad thing.
Call it conservative if you like, but having seen what’s possible when Mercedes takes risks (hello EQ models), the traditional Mercedes design language is put into healthy perspective.
Handsome proportions and lines without any fuss - there are no unnecessary creases or panels or materials.
The plug-in C350e comes, as mentioned, with the AMG Line pack, adding 18-inch five-spoke AMG wheels, an AMG front apron, grille insert, and of course EQ Hybrid badging.
The pack also includes AMG Line styling inside, where you’d have to be a Mercedes regular to spot the specifics. The AMG-style steering wheel and seats are the biggest giveaways.
The BYD’s boxiness sure pays dividends accessing the Atto 1's interior, aided by tall doors, a high roof and lofty seating.
Initial impressions are very positive.
Lots of space, a decent driving position (in the Premium at least; the Essential has rake-only steering adjustment), grippy little wheel and a solid look and feel impart a sense of quality. This does not seem built down to a price.
The elevated centre console/fixed armrest provides ample storage below and easy reach of USB ports, sturdy cupholders above and a raised smartphone rest that doubles as a charger (again, only on Premium), allowing for quick downward glances without having to touch the device. Helpful.
Further points are won due to the very clean and minimalist dash presentation, with an electronic instrument display ahead of the driver (not a given nowadays thanks to Tesla’s minimalism-gone-mad influence), offering all the information you need in a concise and notably colourful manner.
That 10.1-inch central touchscreen, meanwhile, is probably one of the better examples from China, possessing superficially logical operation, clear markings and a row of fast-access icons for climate, audio, vehicle function, home screen and other controls.
However, the more time you spend in the Atto 1, the more the cabin doesn’t stand up that well under scrutiny.
The shapely tombstone-style front seats, which look a million dollars, are comfortable on short journeys but disappoint during longer drives, revealing a lack of sufficient back and thigh support.
There are no regenerative braking paddle shifters for single-pedal driving, just an on/off tile requiring a distracting and time-consuming touchscreen-menu deep-dive.
In fact, most functions demand at least one or two eyes-off-the-road-ahead prods of the screen, which is annoying and potentially hazardous.
Using the climate control is a good (bad) example.
Infernally fiddly screen slide controllers that are hard to pin-point with a hovering finger while the car is moving, let alone modulate, leads to temperature-selection fury. And those vinyl seats are clammy regardless of humidity levels and their perforations don’t help. Setting the desired climate environment is an utter faff.
And why must BYD’s synthetic leather smell so pungent? The off-gas odour can be nauseating for some on warmer days.
Worse still, even a glance towards the touchscreen sets off the distraction nannies. Frustrating. So is the intrusive lane-keep assist tech, unless you keep the car perfectly centred, with its constant nudging of the wheel while it nags away. More like Aggro 1.
Inevitably, turning these and other ADAS warnings off requires several menu deep-dives, leading to more driver-distraction paranoia. It’s a circle of stupidity for tech that’s meant to protect. And every new drive defaults to ‘on’. It's an infuriating mess.
Meanwhile, the Atto 1’s (two-person-only, remember) rear seat area also starts off promisingly, with easy entry/egress, adequate space (even for long legs and big feet) and a backrest and cushion combo offering sufficient comfort and support.
Amenities include useful door storage, overhead grab handles and map pockets, while the back of the centre console provides a cubby area just wide enough hold a bottle or larger keep-cup. That’s necessary because there is no folding armrest or subsequent cupholders back there, nor reading lights or USB ports.
And while the upward sweep of the window line means the rear can seem dark, the shape of the front seats allows some vision around and even through them for rear occupants.
Further back, the boot area is larger than the BYD’s diminutive size suggests, at 308 litres with backrests erect and 1037L with them folded forward.
The deep floor hides an even deeper cavity that’s large enough for charger cables, laptops and other paraphernalia that should be out of sight. That almost negates the need for the AWOL luggage cover.
But there's also a tyre repair kit instead of a spare wheel in there, and regular readers will know how incorrect that is. Every vehicle sold in Australia should come with one. Even city cars.
Loading/unloading is easy and there are hooks to secure things to, but clearing the high lip may be an effort for some.
And, though an EV, the is no extra storage to be found under the bonnet. The Atto 1 has no front boot, or froot.
The space inside the C-Class remains straight-forward as ever. The layout and features don’t stray from convention, meaning there’s a sizable central screen, digital driver display, central cupholders, and places to put things like a phone, with wireless charging included.
The electrically adjustable seat and steering column make getting into a comfortable position easy, and the memory settings keep it that way.
While physical buttons are scarce, the key controls are easy to access via the central multimedia touchscreen and there’s a lack of complicated sub-menus. It's a refreshingly straightforward system compared to some from rivals, especially that of former category benchmark BMW.
There are fewer than a dozen main tile buttons on the menu, and they’re clear and easy to work out. The main screen also defaults to the navigation, and the climate controls are always visible on the touchscreen.
The central storage area is laid out so a phone sitting in the charging pad is slightly hidden, meaning it’s not a distraction, plus the cover means the cupholders and storage can be hidden away. Tidy!
The AMG-style steering wheel’s haptic controls can be used as regular buttons, but more than once on the test drive I nudged the volume and turned my music back on, just a minor annoyance.
In the second row, there’s generous space for a mid-size sedan, and the seats are comfortable for an adult to ride along for a lengthy trip.
There’s a centre armrest, hidden cupholders, and a generally light and open feeling thanks to the panoramic sunroof.
The battery for the hybrid system sits under the second row seats, which means there’s no uneven flooring in the 315L boot.
And… what a perfect time to release Australia's cheapest new EV!
Sat alongside the base Essential from $23,990 (all prices are before on-road costs unless otherwise stated) is the Premium as tested here, starting from $27,990 and representing a $4000 difference.
But oh, what a difference.
The cheaper Essential comes with a 30kWh battery, providing a WLTP range of just 220km. Usefully, the Premium’s battery is 44 per cent larger at 43.2kWh, boosting range to a more-comfortable 310km, while power jumps by 77 per cent.
Every Atto 1 includes synthetic leather-trimmed seats, a 10.1-inch central touchscreen, rear camera with sensors, adaptive cruise control as part of some Advanced Driver Assist Systems (ADAS) tech (more on safety later on), wireless Apple CarPlay and Android Auto and even Vehicle to Load (V2L) functionality, so you can use your hairdryer on the fly. Handy!
However, the Premium ups the ante with a surround-view monitor, powered and heated front seats, reach as well as rake adjustment for the steering wheel, a wireless charger, LEDs rather than halogen headlights and 16-inch alloy wheels instead of 15-inch steelies with hubcaps.
But… both are four-seaters only. And neither offers an exterior temperature gauge, remote keyless entry from the passenger side (you’ll always need to press a fob), a luggage cover or a spare wheel – just the totally-unsatisfactory tyre repair kit.
Plus, there’s no heat pump so, in winter, turning the temperature up will drag range down noticeably, while a lack of liquid cooling for the battery will do the same during a hot Aussie summer, since the AC has to work overtime doing that job instead.
And we’re not convinced the Atto 1 represents such great value.
Yes, that small-battery Essential undercuts every hybrid bar Suzuki’s (mild-hybrid) Swift, including the MG3 Hybrid+ and Toyota Yaris HEV, and even the ageing Mazda 2 petrol costs more, but its limited range means it’s better as an inner-urban, small-distance-only commuter proposition. Best as a second or even third car.
Meanwhile, the bigger-battery Premium is priced perilously close to significantly larger EVs with greater range, including BYD’s own Dolphin from $29,990, the MG4 Urban from $31,990 drive-away, GAC Aion UT from $32,990 drive-away and the coming Geely EX2.
And, alongside cheaper-still petrol-powered alternatives such as the Kia Picanto, MG3 and MG5 sedan, there are also smaller SUVs that slip beneath the bijou BYD, like the Chery Tiggo 4, Haval Jolion, Hyundai Venue, Mahindra XUV 3X0 and MG ZS.
What we’re saying is, unless the Atto 1’s sub-four-metre length and narrowness are paramount, it’s behind the eight-ball for value against an array of more-substantial alternatives costing not much more.
Still, we get this is that rare thing today, a truly-new city car and we’re here for that.
The Mercedes-Benz C350e kicks off from $98,200, that’s before options and on-road costs.
And there are some key options, the main one being the ability to DC fast-charge which costs $1500 and brings the total to $99,700.
Pricing sits par with the C300 non-PHEV because of its similar specification, and Mercedes Australia said it wanted to give buyers the choice of internal combustion engine (ICE) or PHEV without having to consider the costs.
There’s a decent stack of standard kit in the C350e, including power adjustable heated leather seats, a 12.3-inch multimedia touchscreen and same-size digital driver display, head-up display, and wireless Android Auto and Apple CarPlay.
The C350e also scores some more fun stuff as standard, including a Burmester surround sound system, panoramic sunroof, the Driving Assist Plus pack, augmented reality MBUX, and the AMG Line pack which adds some sportier-looking design features.
It also comes with Mercedes’ Comfort Suspension which includes self-levelling suspension, and Digital Lights with adaptive high beam.
The Atto 1's electric motor is offered in two output choices. Either way, it can be found under the bonnet and driving the front wheels via a single-speed transmission.
The Essential scores a low-power version making 65kW and 175Nm of torque, which is enough for a 0-100km/h sprint time of a still-decent 11.1 seconds, while the Premium’s high-power unit ups those to 115kW and 220Nm respectively, shaving two seconds off in the process. Top speed is said to be 135km/h.
Note that, while the latter grade’s 43.2kWh battery adds 96kg overall compared to the smaller 30kWh model, it still enjoys a way-superior power-to-weight ratio of 82.7kW/tonne versus just 50.2kW/tonne.
The C350e’s plug-in hybrid drivetrain consists of a 2.0-litre turbo-petrol four-cylinder engine and an electric motor that drives the rear wheels via a nine-speed automatic transmission.
The combustion engine’s peak outputs are 150kW and 320Nm, while the 95kW/440Nm electric motor works with it to land on a total system output of 230kW and 550Nm.
While it’s not lightning quick, the C350e has a decent claimed 0-100km/h sprint of 6.1 seconds, and from the driver’s seat it certainly feels brisk enough to get out of its own way.
The official consumption average for the Essential is 15.5kWh/100km and its 30kWh 'Blade' LFP (Lithium Iron Phosphate) battery offers a WLTP range of 220km.
The 43.2kW Premium bumps the energy use figure up to 16kWh/100km but offers 310km WLTP.
We came close to latter claim, with 263km of mixed driving and still showing about 10 per cent of range left, while the car’s consumption readout averaged 13.7kWh/100km overall. That rose to 16.5kWh/100km during a stint of harder, highway-heavy driving.
Charging times vary. With an 11kW AC capability on both grades, the Essential needs up to 16 hours and the Premium 22 hours plugged into a regular socket, and five and seven hours respectively using an optional 7.0kW Wallbox.
Meanwhile, switching to DC fast charging, the Essential’s 65kW capability means a 10-80 per cent top-up can be achieved in under 40 minutes, against the 85kW Premium’s 30 to 50-minute requirement.
Mercedes officially claims the C350e has a driving range of 104km under NEDC testing, with a 25.4kWh battery supplying the juice.
Official fuel use is just 1.5L/100km, but Mercedes says that becomes 7.6L without any battery charge to help it out.
Under standard 11kW AC charging, it’s about two hours from flat to full, but with the optional 55kW DC fast-charging, it takes about 20 minutes from flat to 80 per cent.
Sadly, we cannot comment on how the 65kW/175Nm Essential drives, but with 77 per cent more power and 25 per cent more torque, the 115kW/220Nm Premium’s performance is one of its calling cards.
Lively off the mark, even in Eco, it thrives in inner urban environments, with instant throttle response for effortlessly zippy and smooth acceleration, as you’d expect of an EV.
And it just keeps on keeping on at speed, giving the Premium a terrific breadth of performance flexibility. We’re now very curious to see how the Essential goes.
Armed with light and alert steering, the Atto 1 can weave in and out of traffic gaps with confidence and precision, and is backed up by a super-tight turning circle to boot, so parking manoeuvres around town is a doddle.
BYD’s decision to set up the chassis for a soft, long-travel suspension is appreciated, since the Premium takes most bumps and humps in its stride, making this one of the comfier city cars around.
Road and tyre noises are omnipresent, but aren’t not too bad overall by supermini standards, while the Hankook 185/55R16 tyres deliver sufficient grip, even over some rain-soaked roads we endured.
Most of these Atto 1 attributes also translate well at freeway speeds, with the Premium offering ample muscle for overtaking, slick steering responses and a planted chassis feel.
But, once you hit some faster corners, the BYD’s reactive steering, lofty seating and cushy suspension conspire to create considerable body movement, especially through tighter bends, scrubbing the front wheels as it turns wide (understeer).
Yet, press on a bit harder, the Atto 1 can instantly change its attitude to oversteer, feeling darty as weight shifts from the rear, making the steering suddenly too sharp and the car too nervous, Even experienced drivers might hesitate to carry on. And this happened on dry roads.
Of course, the BYD is a city car so not designed for sports-car handling, but it does lack the confidence and control of a hard-driven Mazda 2 or Suzuki Swift. Strangely, it seems more SUV-like than supermini, dynamically.
Most owners won't care, but they will have to live with the infuriating ADAS tune, with inexplicably sudden braking when the adaptive cruise control is on, and lane-support systems that all-too-often tug and bleat endlessly like an agitated goat, becoming too distracting, and requiring far-too-fiddly touchscreen menu diving to silence, especially as they default back on with every restart.
The driver-attention warning is also in a semi-permanent state of nerves, squawking all-too-regularly unless the driver is sat perfectly still, and will easily escalate the danger level to “take-a-break” should you dare move about in your seat. Which would be regularly, due to the latter’s lack of enduring support. A literal and metaphorical pain.
Clearly, then, the Atto 1 can really do with some Australian road tuning and on a number of fronts at that. Until this happens, these are the dark clouds blighting the blue skies that this car’s otherwise sunny disposition delivers with every urban drive on a daily basis.
Or, in other words, stick to the urban jungle.
The C350e has a few drive modes that are mostly self-explanatory, those being Battery Hold, Electric, Hybrid, Sport and Individual.
You’ll likely find yourself using Electric and Hybrid most of the time, so we’ll focus on those. Sport is fine but somewhat defeats the purpose of the plug-in system for day-to-day driving.
In electric mode, the C350e doesn’t feel like it’s lacking any power without the engine helping it along. Acceleration is smooth, brisk enough, and a 130km/h top speed means you won’t need the engine on your commute.
Realistically, its 104km range is probably somewhere closer to 80km, but covers you for a decent daily distance.
Let the car use the engine to help out via Hybrid mode and, if you’ve got music playing, you might not notice the engine starting and cutting. The system is smooth and it means a much longer life out of the battery before needing to charge. That, and there’s the benefit of more brisk acceleration thanks to the hefty 230kW/550Nm total outputs.
Everything else about the C350e is classic C-Class - the ride is controlled and the suspension does a decent job of soaking up bumps and rough roads, the comfort and self-levelling suspension makes cornering smooth and inspires confidence.
The most noticeable shortcoming for the car is its transmission hesitation if you put your foot down quickly, though the ability to use the paddles to choose your own gears in Sport mode avoids this.
In Electric or Hybrid, the paddles decide how much braking regen to apply, a useful feature that lets you recuperate some power for the battery if your drive includes a lot of downhill slopes or if you’re avoiding relying on the brake pedal.
The C530e’s extra weight doesn’t dull its driving characteristics as you might expect from a car laden with PHEV tech, so it’s a welcome surprise that you could pick up a plush plug-in for the same price as a combustion C300.
The Atto 1 debuted in China back in 2023, but this is a facelifted, international-market version evolved mainly for European consumers, so crash-tested by Euro NCAP only last year, and scoring a maximum five-star ANCAP rating.
Note, though, that while the baby BYD includes Autonomous Emergency Braking (AEB) with forward collision warning, lane-departure assist and adaptive cruise control as standard, there is no blind-spot monitor or rear cross-traffic alert. Odd for a city slicker.
Six airbags are fitted, including curtain protection for all outboard occupants, while there are two rear-seat sited ISOFIX anchorage points and child-seat tether points behind each backrest.
The C-Class has a five-star ANCAP rating, but it was tested in 2022 before the plug-in variant arrived.
Still, 10 airbags and an advanced list of safety features provides peace of mind.
The C-Class benefits from the brand’s Pre-Safe collision protection system to minimise occupant injuries from an impact, even to your hearing.
It also has emergency collision avoidance via steering input, driver monitoring, speed limit assist with adaptive cruise control, and parking sensors with surround-view cameras.
Here’s where the BYD slips up a bit.
Yes, it comes with a better-than-industry-standard six-year warranty, but many rivals offer between seven and 10-year coverages, while the Atto 1’s mileage warranty is capped at 150,000km when most others include unlimited mileage. And roadside assistance is only for one year, as well.
Service intervals are every 12 months or 20,000km. Capped-price servicing is available, but no precise figures were available at the time of publishing.
Estimates are from under $200 for the first and third annual services, and from $500 and $650 for the second and fourth yearly visits, respectively. Please check with BYD for updated figures.
Currently there are about 105 BYD service outlets throughout Australia, with 30 more expected by the middle of 2026. This should address one of this brand's biggest concerns – sufficient after-sales care.
Mercedes has a five-year, unlimited kilometre warranty which is decent for a premium brand.
Servicing is pricey, though.
A three-year pack covering a service every 12 months (or 25,000km, whichever comes first) costs $3355, that being just three services.
Four years costs $4630, or five includes a more expensive service and brings the total to $6890. That’s an average of $1378 per service.
Finding somewhere to spend that money shouldn’t be hard as there are 100 dealers listed in Australia.