Toyota's secret super sedan! Did Toyota just confirm a new fire-breathing Subaru WRX rival?

Toyota in the USA has set the GR rumour wheel spinning, seemingly confirming a true Subaru WRX rival.

Yes, it seems Japanese reports of a GR Corolla Sedan arriving next year were on the money, with Toyota USA's executive vice president of sales, Bob Carter, telling MotorTrend to "stay tuned" when pressed on if a high-performance sedan would be joining the GR lineup.

While US media are speculating that the Toyota executive could have been referring to a go-fast Camry, a GR Corolla Sedan seems the more likely option, with reports out of Japan suggesting the model would be released next year, primarily to satisfy the American market.

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Toyota has already unveiled the GR Corolla hatch (which will arrive in Australia this year) which is powered by the brand's awesome 1.6-litre turbo-petrol three-cylinder engine that also appears in the GR Yaris.

But unlike its smaller sibling, the Corolla has had the power dialled up even further, producing a total output of 220kW/370Nm, fed to all four wheels via Toyota’s GR-Four all-wheel-drive system and a six-speed manual gearbox.

The GR Corolla Sedan, which is expected to debut in 2023, will receive the same fire-breathing power plant, which would put it well and truly in the league of the WRX – and even the now-defunct WRX STi.

The new WRX, for example, produces 202kW and 350Nm, while the outgoing STi was good for 221kW and 407Nm – which isn't too far off the Corolla's outputs.

In the same MotorTrend chat, Toyota also explained that electrification would soon arrive in GR products, suggesting the company was working on how to deliver "lightweight, track performance" in the EV space.

"Electrification coming to GR is something we're talking about. In the long term, what is the best way to deliver what GR is and what does electrification have to do with that," said Toyota USA's group vice president of product planning and strategy, Cooper Ericksen.

"The key is fun to drive, lightweight, track performance, so if we can deliver that with an EV, we might look into that."