What's the difference?
Honda used to be a big deal in Australia back in the 1990s and early 2000s but I wouldn’t be surprised if it’s moved off your radar in recent years.
The Japanese carmaker has seemingly fallen out of favour in the last few years following its move to an agency retail model which negates haggling on price with dealers.
However, Honda is making a resurgence and it’s putting a heavier focus on hybrid power.
The ZR-V small-to-medium SUV has been updated for 2026 and picks up new, more affordable hybrid trims, among other minor tweaks. Read on to see if this car should be on your shortlist.
There has never been a better time to be shopping for an electric SUV in Australia, with the avalanche of Chinese brands constantly smashing through the price floor as they bid for the title of Australia’s cheapest.
MG led the charge with its S5, which is $40,490, drive-away. Then Leapmotor upped (or downed?) the ante with its B10 with a $38,990, drive-away, price tag. And now BYD has knocked them both out with its Atto 2, officially Australia’s cheapest electric SUV (at least for now), with a MSRP of $31,990, which, in NSW, translates to a drive-away cost of less than $35K.
Cheap is one thing. But cheerful? Let’s find out, shall we?
The Honda ZR-V has always been an engaging and fun car that’s the right size for many people. The frugal hybrid powertrain has always been the pick too.
It’s great that Honda has finally introduced more affordable hybrid trims with this update which addresses one of my biggest criticisms of this car previously.
If you’re willing to forgo some luxury features, this entry-level hybrid trim is a fantastic car that still offers enough creature comforts to be driven daily.
Hopefully Honda has some renewed sales success with this car as I believe it’s a clear benchmark for the segment.
The BYD Atto 2 isn't just the cheapest electric SUV in Australia, it's also one that doesn't feel all that cheap, which is a hell of a magic trick. If it's easy, comfortable city motoring you're after, the Atto 2 delivers in spades. But if your blood type is high octane, there are better driving EVs out there.
Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.
Note: The author, Andrew Chesterton, is a co-owner of Smart As Media, a content agency and media distribution service with a number automotive brands among its clients. When producing content for CarsGuide, he does so in accordance with the CarsGuide Editorial Guidelines and Code of Ethics, and the views and opinions expressed in this article are solely those of the author.
The exterior of the ZR-V has always left me feeling quite… meh. It’s a mundane and generic look that doesn’t stand out from the crowd, but that's no bad thing because not everyone wants a flashy car.
That said, I’m still not a fan of the front grille, which makes it look like this car has a moustache.
The dark red paint looks nice, though when it’s paired with these generic-looking grey alloy wheels and black wheel arch cladding, it cheapens the look. The top-spec e:HEV LX looks more attractive.
Inside, it’s similarly standard and doesn’t break the mould. Everything is where you’d expect it to be, which is great for functionality.
The wildest part of the interior is the centre tunnel which features a push-button gear selector and a split console section including a small storage area underneath that’s big enough for a phone.
Looking around, it’s a sea of black finishes, which is a bit boring. However, I do like the mesh panel that spans the dashboard and houses the air vents. It’s a premium touch.
I think it’s a sharp-looking thing, this Atto 2. Kudos to BYD for not making the design look like it’s trying too hard, or like the Atto 2 is something it isn’t. It’s just smooth, sensible small SUV with styling that looks like it will age gracefully.
I like the chunky black moulding which makes it look a bit tougher than it is, plus the LED DRLs and swept back (and spoiler-equipped) roofline add a bit of visual drama.
Inside, BYD has made two pretty good choices. The first is that the cabin feels toned down from the one in the Atto 3 (which is all chunky wheel-style controls and vents).
This one feels far more sedate and conventional in its design, which I think is a win.
The other good decision is to equip the Atto 2 with soft plastics, rather than hard scratchy ones, in places like the door panels. In some cheaper cars, you feel your elbows constantly rubbing against cheap-feeling plastics, but that’s not the case here.
Too much stuff is still controlled through that central screen, and BYD has an awkward way of shortcutting functions. They call it a three-finger swipe, meaning that if you run three fingers across the screen horizontally you can adjust the climate-control’s fan speed, while swiping horizontally adjusts temp, but it feels like a weird movement.
In base-model form, it’s expected the ZR-V will have fabric upholstery. However, the seats still feel premium and are deliciously padded. They’re manually adjusted but I was still able to find a good driving position with ease.
One feature I was looking for was heated seats, especially on these brisk Melbourne mornings. It’s rare for a car with fabric seats to get heated seats, though. If you want them that badly, they’re available on higher trims.
Ahead of the driver is a leather-wrapped steering wheel which feels lovely. I particularly like the tactile feel of the buttons and switches.
The digital instrument cluster is clear and crisp. It offers multiple views to customise it, as well as a range of infographic pages to cycle through. I wish you could see the fuel consumption and hybrid system graphics at the same time, but thankfully they’re just a single scroll away from each other.
Moving across, the central touchscreen multimedia system is looking a small in 2026, measuring only 9.0 inches, although it’s still high-resolution and the colours are vibrant.
It appears computing power has been given a boost along with the integration of Google Built-in, as jumping from menu to menu has never been snappier.
Speaking of Google Built-in, it’s great to have the flexibility of using the integrated Google Maps and apps like Spotify and Apple Music, without needing your phone.
However, it’s still nice having Apple CarPlay and Android Auto, though the latter is strangely only offered in wired form. With my iPhone 15 Pro Max, the wireless connection was rock solid, though known interference points did cause CarPlay to stutter.
It’s great to see Honda retaining a physical climate control cluster as it’s intuitive to use. The dials in particular have a satisfying click when twirled.
In terms of storage there are two cupholders, two USB-C ports, a big centre console box, as well as an adequately sized glove box. It’s worth noting this trim level forgoes a wireless charger, meaning you’ll need to plug in to charge your phone.
Moving to the second row, there’s a surprising amount of space, even for adults. At a leggy 182cm, I have plenty of legroom and headroom.
You would easily be able to get two adults in the second row, though you’d be pushing it to fit three as the middle seat is narrow and raised. Kids will be fine, though.
Adding to the annoyance of the middle rear seat, the seat belt is mounted from the roof, which can obstruct rear visibility.
In terms of amenities there are air vents on the back of the front centre console, two USB-C ports, map pockets on the back of each front seat, as well as a fold-down centre armrest with cupholders.
There are also ISOFIX points on the two outboard seats, as well as top-tether child seat anchorages on all three rear seats.
Around the back it’s expected the entry-level hybrid will feature a manually operated tailgate. It’s light to open and close.
With the rear seats upright there’s 380L of boot space available, which is decent for this size of car. This figure includes a small underfloor section.
If you fold the rear seats the boot space expands to 1312L, which is cavernous for this type of car. The rear seats cleverly fold forwards and down at the same time, creating a seamless flat floor.
Boot-related amenities include a number of hooks, a 12V socket plus some lights. As is the case with many hybrids, the ZR-V e:HEV doesn’t come with any spare wheel. You need to make do with a tyre repair kit, which is nowhere near as handy if you have a proper puncture away from a tyre repair shop.
The Atto 2 measures 4310mm in length, 1830mm in width and 1675mm in height and it rides on a 2620mm wheelbase. It also sits on BYD’s fully-flat EV platform, which helps to maximise space in the back seat.
I’m 175cm tall and could get comfortable behind my own driving position, with enough knee and headroom to ensure I didn’t feel cramped.
There are two ISOFIX attachment points, one in each window seat in the back as well as USB-A and -C connection points.
Boot space is a not cavernous, but also not tiny, 380L with the rear seats in place, growing to 1320L with the rear pews folded flat. Both models also offer a V2L (Vehicle to Load) connection, too, so you can power up household devices.
Honda has shuffled the ZR-V line-up for 2026, decreasing the petrol variants to a single, entry-level trim, while increasing the hybrid grades from one to three.
On test here is the ZR-V e:HEV X, which is the cheapest hybrid. It’s priced from $43,400, drive-away, which is $3500 more than the base petrol trim and $8500 less than the top-spec hybrid option.
This is priced keenly against entry-level versions of the Hyundai Kona Hybrid and Toyota Corolla Cross Hybrid, while undercutting the Nissan Qashqai e-Power hybrid.
For the price you get standard 18-inch alloy wheels, adaptive LED headlights, a 10.2-inch digital instrument cluster, a 9.0-inch touchscreen multimedia system with wireless Apple CarPlay and wired Android Auto, dual-zone climate control and cloth upholstery.
Now standard across the ZR-V line-up is Google Built-in which allows for Google Maps integration, the Google Assistant, plus you can download a number of apps, including Spotify, from the Google Play Store.
If you’re after features like a power tailgate, premium sound system, wireless charger, leather upholstery, plus heated seats with electric adjustment, you’ll need to look higher in the line-up. These are largely all nice-to-haves than musts, anyway.
This thing really is cheap. The BYD Atto 2 arrives with a two-model range kicking off with the Dynamic, at $31,990, before on-road costs, before stepping up to the Premium at $35,990 BOC. They both get the same motor and battery, by the way, so the extra money comes down to extra kit.
The Dynamic rides on 16-inch alloys wrapped in cheaper Westlake rubber, scores LED headlights and DRLs and gets rain-sensing wipers and heated wing mirrors. Inside, there’s a 10.1-inch central touchscreen, an 8.8-inch driver display, synthetic leather seats with manual adjustment up front and wireless Apple CarPlay and Android Auto linked to a four-speaker stereo.
The Premium rides on 17-inch alloys wearing better Hankook rubber, and there’s a panoramic glass roof with a shade and roof racks. Inside, the central screen grows to 12.8 inches, and there’s an eight-speaker stereo and a wireless charge pad. Your seats are now electronically adjusted and heated and cooled. Plus there’s some extra safety stuff, but we’ll cover that off in a second.
Power in the ZR-V hybrid continues to come from a 2.0-litre four-cylinder petrol engine with two electric motors. Total system outputs are 135kW and 315Nm.
This is sent to the front wheels only via an electronic continuously variable transmission (eCVT).
The Honda hybrid system positions the engine primarily as a generator for the battery pack at lower speeds, however once you reach 60-70km/h it can couple with the front axle and directly power the wheels.
It’s a smart system that allows for an electric zippy feel at lower speeds with the backing of a petrol engine at higher speeds.
Both Atto 2 models share the same powertrain - a front-mounted electric motor producing 130kW/290Nm which is sent to the front tyres. It feels fairly sedate, even under flat-footed acceleration, though BYD reckons you can knock off the sprint to 100km/h in 7.9 seconds.
Honda claims the ZR-V hybrid consumes an average of 5.0L/100km on the combined cycle, according to ADR testing.
In practice, I’ve seen way less than this, which is fantastic. On one particular drive around the city I achieved a mind-boggling average of 3.7L/100km, but my overall average hovered around 4.5L/100km.
There is a 57L fuel tank and a minimum of 91 RON regular unleaded petrol is required.
You should easily be able to travel more than 1000km per refill, so don’t expect to be visiting servos very often.
Both models also share the same battery, a 51.1kWh LFP unit, which should unlock a WLTP driving range of 345km. AC charging is pegged at 7.0kW, so a good match for a standard home wallbox, while DC fast charging is 82kW. Using the latter, BYD says you should go from 10 to 80 per cent charged in 38 minutes.
The ZR-V’s hybrid powertrain has oodles of zip, thanks to there being two electric motors which handle a lot of the low-speed grunt.
It’s surprising how much of the driving can be done on electric power alone, provided there’s enough battery charge. Even at highway and freeway speeds the engine will switch off and coast on electric power alone.
When the petrol engine kicks on, you can barely feel it in the cabin or through the accelerator pedal. Instead you’ll only hear a familiar CVT-like drone as the engine charges the battery.
The petrol engine drone is noticeable but the note it makes more pleasant than a Toyota hybrid. Plus when you push the accelerator that bit harder it pretends to shift through gears, making the driving experience more engaging.
At higher speeds there’s plenty of oomph as the petrol engine and electric motors work in tandem. It feels like the powertrain is never stressed, making for an effortless touring feel.
There are a number of different regenerative braking modes accessed via the paddle shifters. The default is the weakest which allows you to coast more like a regular, pure-combustion car.
You can ramp up the intensity of the regenerative braking but there is no 'one-pedal' driving mode and you’re required to use the brake pedal to come to a complete stop.
From the driver’s seat you have a commanding view of the road ahead thanks to the elevated driving position. There are also large side mirrors and a big rear envelope, giving good all-around visibility.
Around town the ZR-V has a nimble feel thanks to its light-ish steering. This translates to a dynamic feel with a touch more weight out on the open road.
It’s surprising how engaging and fun this car is to drive, especially because it’s a regular SUV with no obvious sporty characteristics.
The suspension errs towards soft, but this helps soak up sharper bumps. This car never feels uncomfortable from behind the wheel which is at least partially down to the 18-inch alloy wheels being the right diameter for a car of this size.
Your drive experience in the Atto 2 very much depends on what you ask of it.
Or to put it another way, the first half of my drive route was a breezy run through the city and suburbs, then onto the freeway, before arriving at our destination.
It was probably 60 kays or so, and across it all the Atto 2 felt quiet and comfortable, with enough power at its disposal to easily get up to speed and stay there.
In the second half, though, I hunted down some twisting roads and cracks started to appear. The ride is pretty solid and there isn't huge amounts of body roll during more enthusiastic cornering.
But the steering is vague and there's plenty of slack – you can turn the wheel a fair bit without eliciting much response from the tyres.
Interestingly, turning the wheel with a bit of aggression also produced a weird sound up front, like you could hear the mechanicals shifting the tyres.
The tyres make a difference, too, with the Premium's more expensive Hankook rubber far happier to hang on without squealing than the Dynamic's Westlake tyres.
But context is key here. The Atto 2 is an accessible, affordable city-focused EV, and it performs those duties admirably. But if you're sold on a car-driver connection, there isn't much of that on offer here.
The Honda ZR-V received a four- out of five-star ANCAP safety rating based on testing conducted by Euro NCAP in 2023.
Despite this, the entire line-up is stacked with standard safety equipment. Highlights include 11 airbags, autonomous emergency braking (AEB), blind-spot monitoring, rear cross-traffic alert, lane-keep assist, adaptive cruise control, front and rear parking sensors as well as a reversing camera.
It’s worth noting a surround-view camera is reserved for the top-spec hybrid trim only, which is a little annoying.
However, the ZR-V doesn’t have any annoying beeps and bongs that play while you’re driving. All the safety systems are well calibrated and only interact or engage when required.
The Atto 2 is yet to be assessed by ANCAP but there’s no shortage of stuff. The entry-level car gets six airbags, rear parking sensors and all the usual traction tech. Then there’s active cruise, lane departure warning, blind spot monitoring, cross-traffic alert in both directions - the list goes on. In fact, the only things the Premium adds on top are a 360-degree camera and front parking sensors.
ZR-V owners receive a five-year, unlimited-kilometre warranty as standard, whereas the high-voltage battery is covered for eight years.
If you service at Honda dealers when required, however, the standard warranty coverage is extended to eight years. This is more on par with many mainstream brands.
Speaking of servicing, it’s required every 12 months or 10,000km. The latter may be troublesome if you do a lot of kilometres.
The first five services are capped at $199. This is very affordable and on par with Toyota.
There are close to 90 'Honda Centres' across the country covering state and territory capitals as well as key rural and regional centres.
BYD’s warranty is an okay six years but just 150,000km, which is underwhelming compared to the best in the business. The battery is covered for eight years or 160,000km.
BYD vehicles typically have 12 month, 20,000km service intervals with capped price servicing, but the details are yet to be confirmed for the Atto 2.