Honda City vs Kia Picanto

What's the difference?

Small sedan sales are on the wane, and as a result, the cars that remain in the market often aren’t the best in a brand’s lineup.

This is the case with the Honda City. While it’s got plenty of space for passengers and it’s economical, the performance of the drivetrain in terms of composure leaves a lot to be desired.

The underdone steering, too, makes the car uncomfortable for passengers more often than not, while the buggy, hard-to-use multimedia system is unforgivable in an almost-$22,000 car.

Put it this way… the larger, newer, more refined base model Honda Civic is tantalisingly close in price to the top-spec City, and we know which side of the dealership we’d be walking towards.

Australians are moving into ever-larger vehicles when really we should be embracing the small car now more than ever. It's great Kia is still here, with its Picanto showing what can be offered in such a compact form-factor.

While it's not as affordable as it once was, it looks like it won't be long before Kia is the last torchbearer of sub-$20k starter cars. Even so, this is a great choice for buyers on strict budgets.

The City does a good job of disguising the fact that it’s a micro-sized sedan; at first glance, the revised front bar and grille that’s meant to mimic the one on the new Civic does such a good job that some people will need to look at the bootlid badge to find out it’s not a Civic.

A high waistline and a solid yet stylish sweep over the roof keep the City from looking overly twee, and even though the 16-inch wheels look a bit narrow, the overall impression is one of a larger car.

The interior, too, is spacious and airy, while the controls and steering wheel give the City an upmarket feel. There’s a little too much grey plastic inside, and hard plastics aren’t difficult to spot, but the City presents well, on the whole.

You wouldn't know it in Australia, where our collective tastes are orienting toward larger and larger vehicles, but city cars are experiencing something of a golden age overseas.

Cars like the Nissan Sakura, Honda N One, and Hyundai Casper join a long list of others which are design leaders in the city-car segment, and this is why the Picanto needs to look sharper than ever to compete.

Particularly in the GT-Line form we tested for this review, the 2024 car has adopted a dramatic facelift which complies to Kia's incoming and much more science-fiction look, complete with an extremely angular design and frowny LED light fittings.

Around the rear, there's a reworked set of tail-lights with a contemporary strip which almost reaches the whole way across the boot lid, and the new alloy wheels round out the whole aesthetic.

Given this, it's a little disappointing to see how few elements have changed on the interior. From the inside, this Picanto feels basically the same as the pre-update version.

I like the D-shaped steering wheel the GT now gets, and the multimedia screen is great for such a small and affordable car, but all the other switchgear, including the steering wheel is from previous-generation Kia products, and not the shiny new design-led stuff which appears in cars like the Sportage, Sorento, or Niro.

Also, while it's feature-laden all things considered, the interior plastics are mainly the harsh, hollow, scratchy kind. The new digital instrument cluster isn't one big screen, instead it's constructed of a few basic sectors which aren't customisable outside of the background colour. At least the central portion shows some useful information.

Up front, the City is a great fit even for taller drivers, and its height-adjustable seat also means that the, err, less vertically inclined pilot can find a comfortable position behind the tilt-and-reach adjustable wheel.

A regular gear shifter and manual handbrake means the two cupholders are squashed under the centre console, but there are bottle holders in all four doors, as well as two more cupholders in the rear centre armrest in the VTi-L.

The VTi-L also gains two extra 12-volt accessory power points in the rear to complement the USB and a third 12V point up front, while the keyless entry system is not something you’d usually find on a car at this price point.

Sadly, the City’s multimedia system lets the side down - big time. Try as we might, we couldn’t connect a phone to our tester, no matter what we did, and it’s just utterly unintuitive to use in most situations.

It’s a bit of a rude shock, actually; most manufacturers have media systems sorted, but there’s simply not a even a half-decent one in any Honda that’s currently on sale. And there's no Apple CarPlay or Android Auto, though you can find those mirroring systems in the larger Civic.

Rear seating has adequate headroom – just – for taller teens, and there isn’t a lot of compromise required from front seaters to comfortably accommodate four people. Five? That’s getting crowded, but it can be done.

Two ISOFIX baby seat fixtures are present, along with three top-tether mounts. Boot space measures 536 litres - which is actually 12 litres bigger than that of the new Camry - while both rear seats fold flat(ish) to increase load capacity further.

A good point; the seats can be unlatched via boot-mounted buttons. A bad point; you still have to reach in and push the seats down by hand. A space saver spare nestles under the boot floor, as well.

Feeling a little old or not, the Picanto has a clever interior which makes the most of its limited dimensions.

There are huge bottle holders in the front doors, a further two with little flip-out sectors which sit below the air-con controls. These holders can be folded away to turn this space into a tray for the storage of large objects. There's even a centre armrest console box, but it's tiny.

On the topic of air-conditioning controls, these are, refreshingly, physical dials, which are increasingly going missing as manufacturers move such functions to touchscreens. The Picanto keeps things manual though, even including a volume and tuning knob for the touchscreen, with physical shortcut buttons adorning the bottom section of the frame.

Physical controls is something Hyundai Group has committed to, and it's not until you use a vehicle without them you realise how essential they can be.

Despite its tiny footprint, there's also plenty of room in the cabin for an adult my size (I'm 182cm tall). I felt as though there was massive airspace between my head and the roof, as the Picanto's seats let you sit nice and low to the ground, and while it's limited in its width, it feels like I had enough room and adjustability for my legs.

Only one area brought me discomfort and it was the elbow-rest in the door. Sounds silly, but while the GT-Line has a little synthetic leather strip here, for some reason it has no padding, so it's seemingly for aesthetic purposes only and is still an uncomfortable place to rest your elbow on longer journeys.

It sounds unlikely, but I fit behind my own driving position in the back seat, with my knees almost up against the back of the front seat. Thankfully, the seat backings are softly-clad so even if you were slightly taller than me it might be ok.

Again, headroom is sufficient, and the seats are reasonably comfortable in the outer two positions. There are no amenities in the back seat. Rear passengers don't get air vents, door pockets, or a drop-down armrest in the centre position. There is only a small pocket on the back of the passenger seat. Can't say it would be the best space for longer journeys, but it fits adults for short city trips.

The boot measures 255 litres. It's small enough it may rule the Picanto out for some family buyers who need to wrestle with a pram or some such. The boot is large enough to fit either the largest CarsGuide luggage case on its own, or the two smaller ones, but absolutely not all three. It may surprise you to learn there is enough room under the floor for a space-saver spare wheel.

Every dollar counts here, which is why it is disappointing to see the Picanto continue to claw up the price-scale for this update, but it's not in a major way, and it's still one of few options left in this price-bracket at all.

In fact, it is the only option aside from the MG3 Core, which can be had in automatic form at $19,990 drive-away and even then this car is set to be replaced later this year with a bigger and more expensive new-generation, so the Picanto may well be the last bastion of sub-$20k affordability in Australia.

Now keep in mind, these are before-on-road costs, so it's likely if you can have any Picanto under $20k by the time you get it on the road, it's probably going to be the base model Sport Manual, which starts from $17,890.

From there, you can add an automatic gearbox, pushing it to $19,490, or you can upgrade to the GT-Line which is the car we have for this review, which costs from $19,690 for the manual as-tested, or $21,290 for the automatic.

A small spread of relatively affordable prices in this market then, but what's in the box? As it happens, more than you might expect.

Standard stuff in 2024 has increased on the base Sport grade to include 14-inch alloy wheels (in place of the previous steel wheels with hubcaps), as well as a leatherbound steering wheel and shifter (up from the previous plastic-clad ones), and a 4.2-inch digital instrument cluster replaces the analogue dials.

Meanwhile, the GT-Line scores a D-shaped steering wheel and new 16-inch alloy wheel designs, and the updated and more aggressive face is highlighted by LED light clusters. In addition, the GT-Line scores USB-C outlets on the inside, synthetic leather seat trim, and both grades maintain the 8.0-inch multimedia touchscreen with wireless Apple CarPlay connectivity.

Feels like a lot more car than it appears from the inside, especially since it comes with most of today's expected active safety tech, too, which its main rivals, the MG3 and Suzuki Ignis, have never been able to claim.

The i-VTEC four-cylinder 1.5-litre single cam engine is naturally aspirated, and it makes its 88kW at a high 6600rpm, while its modest 145Nm of torque peaks at 4600rpm.

It means the CVT gearbox needs to work pretty hard to get the best from the engine, which has been superseded by a twin-cam version in other markets.

This is another area where the Picanto is feeling in need of a little innovation. It has the same very dated 1.2-litre four-cylinder petrol engine as the previous car, producing a sufficient but not exciting 62kW/122Nm.

It drives the front wheels via an equally old four-speed automatic transmission, or as tested, a five-speed manual transmission.

It's better with the manual if you can drive one, and a bit of a win for first time or young buyers who will still have the option to learn to drive one, so points there.

The underdone performance does offer a benefit at the petrol pump, with the City returning a claimed 5.9 litres per 100km on the combined fuel economy cycle.

A 320km test loop netted us a dash-indicated figure of 6.3 litres per 100km, which is impressively close.

The 40-litre fuel tank is happy to accept standard unleaded petrol, too.

An older engine and transmission combination makes for a less than impressive fuel consumption figure in today's market, but then the Picanto is a very light car, so it has lower fuel consumption than most of its contemporaries regardless.

The official fuel consumption on the combined-cycle test of the five-speed manual we tested is 5.4L/100km, and in our week of what I would consider fairly combined usage our GT-Line drank 6.0L/100km. Not great when you consider a much larger hybrid Corolla can use less fuel, but pretty close to the claim nonetheless.

The Picanto has a 35-litre fuel tank – enabling a theoretical driving range of 648km – and happily drinks base-grade 91RON unleaded fuel.

Weighing just 1100kg, you’d expect the 1.5-litre powered City to have a bit of get up and go… but unfortunately it’s already gotten up and left by the time you drive off.

The 1.5-litre naturally aspirated engine is a carryover unit from the previous generation, and it feels like it, too. It’s also teamed with a CVT gearbox that isn’t a patch on more up-to-date trannies from the likes of Subaru and Toyota.

On any sort of incline, the CVT ups the revs of the engine to a point between bloody annoying and mildly painful, too. The VTi can be ordered with a manual gearbox, which has to be better than the CVT in this example.

The underdamped suspension tune is adequate for light duties around town, but the electric steering feel very odd underhand, especially at the very beginning of a turn.

There’s a big initial motion at the front wheels when you start to turn which then quickly tapers off, meaning that you have to be ultra precise with your steering to prevent the City from lurching into the corner and falling over its soft suspension.

On light throttle, with no hills and few corners, though, the City is just fine…

You've got low power, a pretty low-tech engine and transmission, but this little Kia is still great fun to drive.

For a start, you can have it as a manual that lets you wring the best out of the little engine, which is easygoing but lacklustre with the four-speed auto.

To be clear, it's not a great manual - usually when you get a brand new manual in 2024 it's one of those fancy performance ones with nice damping and notchy gates, but as simple as it is, it also gives the car a raw mechanical nature which keeps it engaging to drive. There are real consequences for choosing the wrong gear and it takes a touch of skill to get used to, a lost art of the all-encompassing drive which is a welcome change of pace compared to a lot of cars today.

The Picanto also has keen steering helping the organic feel, and it has a firm ride, too, which makes it surprisingly sporty in the corners, but it's lightweight nature and firm suspension gave it a crashy and bouncy feel on some of the inconsistent Sydney streets I exposed it to.

It's also a bit noisy in the cabin, both in terms of engine noise (you have to rev the thing to get it going) and tyre roar on anything but the finest tarmac. This issue increases with your speed, and reminds you of its city-car intention when you're on the freeway.

Still, the city is where it's best suited to, and it's a joy to easily dart down alleyways which take a degree of caution in the usual mid-size SUVs you see around the place, and the fact you can park it anywhere can be a real blessing.

The visibility is great, too, which means multi-lane situations aren't a nightmare, and the full suite of manual adjustment for the stereo and air conditioning are super easy to use when you're on the go (who has time to adjust a touchscreen when you have a manual transmission to worry about?)

In conclusion then, the Picanto isn't to be underestimated. This is a spritely fun little thing which makes the most of its limited hardware, but it truly is best suited for the confines of a city, and gets less impressive as you get it out on the open road.

The other great thing about this Picanto is its surprisingly thorough suite of active safety items. It gets auto emergency braking, lane-keep assist and lane departure warning, as well as blind-spot monitoring and rear cross-traffic alert.

Again, its limited array of rivals like the MG3 and Suzuki Ignis can't compare.

The Picanto has an array of six airbags (dual front, side, and curtain), although it is not currently rated by ANCAP.

Honda sells the City with a five-year, unlimited kilometre warranty, while a no-catch seven-year, unlimited kilometre warranty is occasionally offered with its cars, along with premium roadside assistance for the life of the longer warranty.

Both warranties are also transferable to the next owner, should you sell your car before the warranty expires.

A fixed-price servicing regime is in place for the City, too, starting at $259 and peaking at $297. But Honda asks for the City to be serviced every six months or 10,000km, which does add to the cost of running the car.

Kia's stand-out seven-year/unlimited-kilometre warranty isn't as stand-out as it once was, but is still the standard to beat for this segment, and is especially impressive considering the up-front cost of the Picanto.

You also get seven years of roadside assist included and a seven-year capped-price servicing program.

Over those seven years the price averages out to $438 annually, which is not as cheap as it could be, especially considering many Toyotas cost about $250 a year to keep on the road for their (shorter) warranty period.

The Picanto needs to visit a workshop once every 12 months or 15,000km, whichever occurs first.