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.
Back in 2022 a friend asked me if they should buy the then-new BYD Atto 3. My advice was to avoid such a new brand, because despite positive first impressions of the electric SUV I couldn’t comment with any certainty on the long-term prospects for BYD.
Well, fast forward to 2026 and things could not be more different. No brand exemplifies the seismic shift in the local car industry more than BYD.
It has emerged not only as the clear leader of the pack from the Chinese car brands, but has done so by taking risks and offering some unusual products. This new Atto 3 Evo is a prime example of that, because while it looks almost-identical to the old model, it has huge changes underneath.
When I say ‘huge’ I mean major upgrades like all-new, 800-volt underpinnings, bigger batteries and even a switch to rear-wheel drive - at least for one model.
BYD is selling one model, with the same name but two very different powertrains and layouts. It highlights the radical changes brought on by the electric revolution in the car industry and demonstrates the flexibility of these platforms compared to internal combustion engine (ICE) vehicles.
And also explains why BYD is no longer just a newcomer with an uncertain future but rather a well-established member of the mainstream market.
But would I recommend buying this new Atto 3 Evo? Read on…
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.
So, would I recommend this new Atto 3 Evo to my friend, or indeed anyone in the market for a mid-size electric SUV?
While it may look largely the same as it did back in 2022, the Atto 3 is now a far more compelling proposition than it was then. Certainly BYD has established itself in the market and that means there is more certainty for buyers.
But this new Atto 3 Premium is a big leap forward when it comes to the driving experience. And while that’s not likely to be a huge factor for most mid-size electric SUV buyers, given the price has only crept up marginally (by modern standards) it remains competitively positioned.
For context, the Leapmotor C10 is another mid-size, rear-wheel drive electric SUV from China and it is even more expensive than the Atto 3 and is, to be blunt, nowhere near as good.
If BYD continues to produce cars this good there’s no reason to believe it won’t be a major player for years to come.
Note: CarsGuide attended this event as a guest of the manufacturer with accommodation and meals provided.
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.
Despite the major changes underneath, BYD hasn’t really changed much from a design point-of-view. Which is a trend for the brand, with the 2024 update also focusing primarily on improving technology rather than the looks.
Externally there is a new lower bumper, which has some subtle changes to its air-intakes, extended daytime running lights, slightly slimmer side skirts and a reshaped rear spoiler.
Inside there are a few minor differences, with the gear selector moving to the steering column to create more storage space in the centre console, and the steering wheel is a new design.
The other notable change is the driver instrument display, which has grown from five- to 8.8-inch.
There’s also a new grey interior colour trim, which looks more premium to this reviewer’s eyes than the blue/white cabin of the older model.
And, for better or worse, the Atto 3’s most memorable feature, the ‘guitar strings’ on the door, remain. While they may not be to everyone’s taste, there is an argument to be made that BYD should be acknowledged for not making the simplest/cheapest cabin possible.
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 new driver instrument display is a big improvement. Frankly, the old screen was quite small and provided limited information compared to this newer, larger display.
The 15.8-inch multimedia touchscreen came with the last update and remains a relatively straightforward system to use. However, the need to take your eyes off the road to adjust controls for the air-conditioning is unnecessary and could be fixed by the simple addition of physical controls.
The decision to move the gear selector to the steering column liberates a good amount of space between the front seats.
There is now room for two smartphones to sit side-by-side (although only one wireless charging pad), as well as two cupholders and a lidded console box.
Space inside the cabin obviously remains the same, with good room for what is a small (or at least a smaller mid-size) SUV.
Cargo space, on the other hand, is changed. The Dynamic measures 434-litres, which is almost identical to the previous model. Things are different for the Premium with the shift to the rear-mounted motor, with the rear boot measuring 490L plus there is now a 101L under bonnet storage space.
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.
BYD has taken this opportunity with the major update to make some tweaks to its price and positioning. The line-up has been changed with the Dynamic name replacing Essential on the entry-level model, while the flagship remains the Premium.
The Dynamic starts at $41,990 and the Premium at $46,990, both prices exclude on-road costs. Notably, both of those are a jump up from the out-going model, which started at just $39,990 for the Essential and $44,990 for the Premium.
However, there are some good reasons for the jump, which we’ll detail in a moment. But the overall level of standard equipment is good, so the value proposition remains appealing.
2026 BYD Atto 3 Evo Dynamic standard equipment
2026 BYD Atto 3 Evo Premium standard equipment
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.
The Dynamic retains the same front-mounted, front-wheel drive electric motor as the Essential, which provides 150kW/310Nm of performance.
The Premium, on the other hand, gets an entirely new underpinning, with BYD’s new ‘e-Platform 3.0’ chassis, which introduces 800V electrical architecture (compared to 400V for the Dynamic). This includes a larger battery but also a switch to a rear-mounted, rear-wheel drive motor that makes 230kW/380Nm, which is a sizeable bump from the Dynamic.
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.
Naturally, the changes to the motors and platform also mean some major changes to the batteries and driving range.
The Premium now features a 74.8kWh lithium iron phosphate (LFP) battery, which allows for a claimed range of 510km, up from the 420km previously offered by the pre-updated model.
The Dynamic, however, has the 420km range, as it now uses the same 60.4kWh LFP battery as the old Essential Extended Range.
The previously available 49.9kWh battery, that had 325km of range, is now dropped. So, while the Dynamic technically costs more than the previous Essential, it comes with a bigger battery so you’re getting a higher specification vehicle.
BYD claims the charging speed has been increased thanks to the new 800V architecture. The Premium is now capable of taking up to 220kW of DC charging, which means it can get to 80 per cent capacity in as little as 25 minutes.
The Atto 3 Evo also features vehicle-to-load (V2L) functionality, which means you can draw power from the car’s battery to power small electronic devices if needed.
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.
BYD didn’t have any examples of the Dynamic for us to drive, which makes sense given the significance of the changes to the Premium.
Previous experience with the front-wheel drive version of the Atto 3 didn’t leave much of an impression. It’s a perfectly acceptable mid-size SUV in terms of how it drives and rides, but it didn’t do anything special that made it stand out in a very competitive field.
This new Premium model, however, is a different story. The switch to the rear-wheel drive layout unsurprisingly has a dramatic impact on the way it drives.
Around town, at urban speed, it feels good but where it shines is on the open road. It’s not wildly fast when you put your foot down, like some other EVs, but it has excellent composure and feels responsive.
It’s not what you’d call a sporty or ‘hot SUV’ but it certainly leaves a good impression, one that will last longer than the front-wheel drive version.
Certainly the steering could be tuned better, it doesn’t offer much feeling, particularly just off-centre. And the ride can be noticeably firm at times, hitting bumps with a sharpness that you can feel in the cabin. It’s another example of where the Chinese brands could benefit from local suspension and chassis tuning to help it better suit Australia’s unique conditions.
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.
In addition to the other changes underneath, BYD has also taken this opportunity to include some additional safety. The Advanced Driver Assistance System (ADAS) gets a new Child Presence Detection function with an in‑cabin sensor that can alert you if someone is left in the vehicle after it is locked. There’s also a new Driver Monitoring System for both models.
The Atto 3 still has a maximum five-star ANCAP rating from a 2022 crash test.
Other standard safety equipment includes:
In addition the Premium adds:
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.
One of my ‘dislikes’ when I drove the Atto 3 in 2024 was “long-term BYD prospects still unclear” - driven by the fact it was still a relatively small brand with a limited line-up (the Shark 6 wouldn’t launch until two months later). Well, as I write this in September of 2026 it’s safe to say BYD’s long-term prospects look as good as any brand.
It is sitting in second spot on the year-to-date sales charts, behind only Toyota but surpassing the likes of Kia, Ford and Mazda. There can be no question BYD has cemented its place in the Australian market.
It already has more than 100 dealer and service locations, with plans to grow that to 150 by the end of 2026.
As for the Atto 3’s specific ownership credentials, it’s covered by the brand’s standard six-year/150,000km warranty. The battery has a separate eight-year/160,000km warranty and the Drive Unit (the motor) is covered for eight years and 150,000km.
Service intervals are every 12 months or 20,000km, and with capped price servicing the Dynamic should cost you $1410 and the Premium $1670 for the first five years.