What's the difference?
If you're feeling the cost of living sting, there's a good chance you've scaled back your ambitions for your next new car. You may have even looked at some of Australia's most affordable brand-new vehicles and the Kia Picanto is one of them.
It's one of the few brand-new options left with a before-on-roads starting price of under $20,000 and it's one of the few non-performance models left which can still be chosen as a manual.
It's one thing to be affordable, though, and quite another to be good value - so does the freshly updated 2024 Picanto have what it takes to stack up against more expensive options? Let's take a look.
Thank the automotive gods cars like the GR Yaris still exist.
Not only are hot hatches the funnest way to drive, but in a world that’s obsessed with electric vehicles, these combustion-powered beasties remind us what we’ve got before it's gone.
The GR Yaris arrived in 2020 and won praise for its rally-car-for-the-road feel with Toyota’s high-performance division Gazoo Racing heavily modifying the docile Yaris hatch - while adding a bit of Corolla - to create this little monster.
In early 2025 Toyota added more power and torque, along with an automatic transmission for the GR Yaris and now a new variant has been launched - the GTS Aero Performance Package and this is what we are testing.
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 GR Yaris GTS with the Aero Performance Package is a so wonderfully special with its brilliant engineering, mind-blowing dynamics and fun-to-drive nature. The new aero package makes an already angry beastie look furious, making it the perfect enhancement that's also functional.
The only lower marks here are for warranty, fuel use and practicality. But if there was a score for fun it'd be a 10/10.
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.
The GR Yaris exists so that Toyota could go racing in the World Rally Championship. As with many racing series it required Toyota to build a road-going version of their Yaris race car, also known as a homologation vehicle. It’s a good deal, they get to race, you get a race car for the road. And so the GR Yaris was born.
Wildly different from a regular five-door garden variety Yaris, the GR Yaris is a hand-built three-door hatch with a wider track, wider and lower body and the use of forged carbon and aluminium for lightweight construction.
The GR Yaris already looks very angry, but the GTS Aero Performance Pack makes it look furious. It adds a huge adjustable rear wing, fender ducts that channel air, a front spoiler lip that aids stability, a giant bonnet scoop to help release air, and rear bumper ducts to reduce drag.
The GR Yaris’s cabin was redesigned for the 2025 update and that saw the dashboard angled more to the driver much like in a race car, but it's more functional than fancy and it’s all very plain.
Still, we’re not complaining. The seats are lovely and the red stitching is a nice touch but this isn’t a Lexus. It’s supposed to favour function over form and so the design is absolutely fitting. And by function I mean dynamics and not practicality.
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.
The regular Yaris is small, the GR Yaris is smaller at 3995mm end-to-end and with two fewer doors. As a tall person (I’m 1890mm end-to-end) the space on board is adequate up front with just enough knee, head and elbow room.
The GR Yaris is a four seater with the two rear seats accessed through the front doors. There’s not much room in there for adults and not even my lanky 11-year old would be happy in there. Still if you need to carry three other people, technically you can.
Cabin storage is limited to fairly large door pockets and two cupholders between the front seats. There is a little shelf carved into the dashboard which is great and a small glovebox below it.
Boot space is tiny at 174 litres but again this is a small car with other priorities.
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 GR Yaris GTS Aero Performance Pack sits at the top of the model range with the six-speed manual version listing for $64,990 before on-road costs, while the automatic is $67,490. That’s $4500 more than the standard GTS without the aero pack
The aero pack significantly toughens up the look of the GR Yaris, and also improves its dynamics. So if you plan to use the GR Yaris as a track car and drive it hard and fast, the kit will help.
That's thanks to improved down force from the giant rear wing, air ducts in the fenders to improve steering under braking, a front splitter for stability, underbody cladding to maximise airflow and a bonnet scoop to help release hot air from the engine bay.
The rest of the high-performance equipment comes on the regular GTS including a Torsen limited slip differential, high performance suspension tune and 18-inch forged wheels with Michelin Pilot Sport 4S tyres.
Standard features are the same as the regular GTS and include heated GR sports front seats with suede leather upholstery, a 12.3-inch digital instrument cluster, leather-wrapped steering wheel, aluminium pedals, dual-zone climate control, proximity unlocking and push-button start.
There's also an eight-speaker, eight-inch media screen with Apple CarPlay and Android Auto, and an eight-speaker JBL sound system.
The value is actually great considering all the high-performance engineering around you in the GR Yaris, and it will save you money from being tempted to go down the aftermarket route and buy equipment that hasn't been designed for the car by the people who made the car.
There are some nice comforts, too, like the leather seats, although the media screen is small.
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.
It still boggles my mind how 221kW and 400Nm is extracted from a 1.6-litre three-cylinder petrol engine but here we are. The GR Yaris has this set up with this output, along with all-wheel drive.
Thanks to lightweight materials such as forged carbon and aluminium the GR Yaris weighs nothing in car terms - just 1300kg - so acceleration from 0-100km/h is a rapid 5.1 seconds.
I’ve already detailed the juicy engineering bits the GTS Aero Package is fitted with, from the limited slip diff to the adjustable rear wing, and it’s not an exaggeration to say that not many small hatches are this gifted with this kind of genius.
Our test car has an eight-speed automatic, which is easy to drive in city traffic. However, I'd opt for the six-speed manual because if you've come this far you may as well go the whole way.
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.
The GR Yaris is a hungry beastie that eats through its 50L petrol tank fairly quickly and then wants more. Toyota says you should see 9.1L/100km of 98 RON used in the automatic and 8.2L/100km with the manual over a combination of driving conditions.
Stop-start city driving in traffic saw fuel use increase dramatically to 13.0L/100km in the auto. According to our car's trip computer, my own testing used an average of 14.5L/100km after mainly suburban driving.
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.
There’s been a multitude of electric cars through the test garage over the past six months and the GR Yaris is like a diamond found in a tub of Lego when it comes to driving.
So much sound. The three cylinder snarls on start up sending vibrations into the cockpit and up through the steering wheel, the transmission can be heard engaging gears, the big brakes creak as they’re released. And we’re hardly even moving yet. There’s so much theatre. It’s all real and I love it!
I even love that in the first 10 minutes of driving, a message appears on the instrument cluster asking that excessive acceleration be avoided while the engine is cool. You don’t get that beautiful inconvenience in an electric car.
But when you can excessively accelerate (on a race track of course, right?) it's wonderful and it's loud. Lift off, and the wastegate lets out a little "weeee!" in excitement.
I don't need to tell you that the GR Yaris handles better than just about anything in this price range and while the ride is firm and speed bumps feel like you’ve hit a gutter I still drove the GR Yaris every day, even to do the school run, because it is so much fun. Meanwhile my hybrid long0term test car looked lonely in the driveaway all week...
Being an automatic makes it easy to drive in traffic and the small size makes finding parking spots quick and simple.
Visibility is good, steering is excellent, the seats are big enough to accommodate me but snug enough to offer good lateral support, too.
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.
The GR Yaris has not been crash tested by ANCAP and the score for the regular Yaris can't be applied to the GR version.
Still the GR Yaris comes equipped with an array of advanced safety tech such as auto emergency braking (AEB), lane keeping assistance and a blind spot warning.
There are six airbags, two child seat ISOFIX points and two top tether anchor mounts in the rear row.
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.
The GR Yaris is covered by Toyota's five-year/unlimited-kilometre warranty which is lacking compared to many other mainstream manufacturers’ seven-year-plus warranties. The good news is that the engine and driveline is covered by an extra two-year warranty.
Servicing is capped at about $300 for the first six visits, although services are six months apart which means that after three years you’ll run out of capped-price servicing.
Still, Toyota’s reputation for reliability does provide some peace of mind.