What's the difference?
When the Lexus RZ launched in Australia just over two years ago CarsGuide questioned the Japanese luxury brand’s relatively late arrival to the EV party.
And since then, this large, premium, battery-electric, five-seat SUV has proved something of a niche player with less than 100 sold in 2024 and a similar number in prospect for 2025.
But there’s been movement at the RZ station. This comprehensively updated model features a revised powertrain, retuned suspension, tweaked AWD system and the availability of things like steer-by-wire and a tricky manual mode in the auto transmission.
And yes, Lexus claims it’s more refined than its already smooth and near-silent predecessor.
Scheduled to hit local showrooms in the first half of 2026, we were invited to take a first drive at its global launch. So, read on to see if this could be your next electrically propelled, performance luxury, family favourite.
Honda's Jazz is like the little engine that could.
It occupies a shrinking part of the market but has seen off a bevy of once-were competitors (most notably the Hyundai i20) and continues to battle gamely with the Mazda2.
Honda gave the range a little tweak in late 2017 to hand us the MY18 Honda Jazz. Some features were lost, and a few gained in an effort to keep up with Mazda's finest.
Smooth, quiet, quality sums up this new and improved Lexus RZ. But will tricky new tech like steer-by-wire and a manual mode in the F Sport's auto transmission be enough to sway more premium electric SUV buyers its way? Fold in this car’s value proposition as well as the brand’s spectacular ownership package and it just might be.
Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.
The Honda Jazz is an extremely capable small car, with an ace card of virtually unbeatable interior space. While it's hardly an excitement machine, or the best looking or equipped in its class (it is missing out on some useful safety gear), the Jazz deserves its status as a well-loved hatchback.
The best in the range is probably the VTi. There isn't anything compelling further up the variants unless you're keen on bigger wheels or leather trim. Its entry-level offering is a good-value, sturdy car that is packed with its best qualities, no matter which one you buy.
Not a tremendous amount of change in terms of exterior design for this update with the brand’s signature angular treatment retained including a prominent snub nose and 20-inch rims on both variants of the car.
The top-spec F Sport picks up extra aero-focused elements, particularly around the lower bumper at the front, as well as aero covers on the wheels and at the back a spoiler on the tailgate as well as a faux diffuser at the bottom of the lower bumper.
Not much has changed inside either except for a steering wheel-shaped elephant in the room in the form of a yoke that goes with the steer-by-wire function on the 550e F Sport. A significant, eyebrow-raising departure.
However, the curved instrument binnacle, central 14-inch multimedia screen as well as the design of the centre console remain unchanged.
Having said that, there are new ‘laser-patterned’ designs in the door card trims and dynamic lighting graphics in the doors, as well.
The functionality of the touch-dimmable panoramic roof has also been improved and it works beautifully.
The Jazz's exterior design is instantly recognisable. The shape has been roughly the same since the car's 2002 debut, with the mildest evolution over the years. The 2018 Jazz leads with the chin a bit, with a pronounced underbite and when fitted with a chrome grille, it looks a bit like the giant Jaws from James Bond after whacking his head.
Apart from that, the slimmed headlights and one-box body shape are almost entirely inoffensive, save for the chunky, stacked rear lights.
When you head inside it's a simple, basic interior. Well put together, it's easy to find your way around and, because there isn't much happening in here, it's unlikely you'll need the owner's manual, unless you want to identify and use every single deployment of the excellent Magic Seats in the back.
As you climb the range, you'll start to see body-kit additions like a rear spoiler and side skirts, but nothing particularly racy.
At a fraction over 4.8m long, close to 1.9m wide and a bit more than 1.6m tall, with a 2850mm wheelbase, the ZR is a sizeable machine.
There’s plenty of breathing space in the front and in terms of practicality the first thing that jumps out, or rather it doesn’t, is the lack of a conventional glove box.
But there is a large box between the front seats to take its place, with the lid (which doubles as a centre armrest) performing the Lexus party trick of being able to open towards the driver or passenger.
There are two cupholders in the centre console with a wireless charging pad ahead of them, plus decent bins in the doors for bottles and other bits and pieces. An additional tray sits under the main, flying buttress-style upper console.
For power and connectivity, there are USB-C sockets for charging and media as well as a 12-volt socket in the lower console section.
Getting into the back is easy thanks to wide-opening doors and a large entry aperture and seated behind the driver’s seat set for my 183cm position I’ve got hectares of leg- and headroom. Shoulder room is best for two full-size adults rather than three, which would be a short-journey squeeze. Three up to mid-teenage kids will be fine.
In terms of storage there are pockets on the front seatbacks, bins able to hold a large bottle in the doors and two cupholders in the fold-down centre armrest. Individual ventilation control for rear seat passengers is always welcome.
Then for power, there are two USB-C outlets and a ‘house-power’ socket underneath them. The 550e F Sport also includes heating controls for the two outer rear positions.
Lower rear axle packaging enhances boot space with a generous 522 litres on offer, expanding to 1451L with the 60/40 split-folding second row lowered. Tie-down anchors and bag hooks are a thoughtful touch and there are handy storage boxes under the flat floor, ideal for charging cables.
The standard power tailgate is nice, while a repair-inflator kit instead of a proper spare isn’t. Braked trailer towing capacity is a handy 1.5 tonnes.
The interior is full of cleverness packed into a small space. The centre console has two cup holders, a space for your phone and a compartmentalised open tray reachable by both front and rear-seat passengers. A third cupholder folds out of the dash on the driver's side. The back seat doesn't have any cupholders, unfortunately, and nor is there a centre armrest.
Rear legroom is impressive for such a small car - it's no wonder the HR-V compact SUV was spun off the Jazz platform. Added to that are the excellent 'Magic Seats', which fold in a variety of ways to increase the boot space dimensions from 354 litres to 1314 litres.
Luggage capacity is not bad for such a small car and with the flexible interior, the boot size goes up by four times in volume. This is one area in which it really does outdo the Mazda2. The removable cargo cover means you can get a decent chest of drawers in, however there's a bit of a drop once you get things over the loading lip.
You can also fold the seat bases up and out of the way to provide space for shrubbery, or a dog, or an awkward flat pack.
The basic VTi misses out on a bit of storage, namely the centre console storage box and driver's side seatback pocket, but the rest of the range has them both.
Lexus says final price and specification for the new RZ will be confirmed closer to its local arrival in the first part of next year. But as a guide, the current entry-level RZ450e in Luxury spec costs around $120,000 before on-road costs. Go for the full-fat Sports Luxury and you can add $10,000 for a $130K MSRP.
Let’s take an educated guess and add a not outrageous five per cent price increase for this update which would bump the new RZ500e (to be offered in Luxury and Sports Luxury grades) past a $125K entry point and move the new RZ550e F Sport flagship close to $140K.
If that was the case, rivals will include the Audi Q8 e-tron (from $153,984), BMW iX (from $136,900), Genesis GV70 Electrified Signature ($125,858) and Polestar 3 (from $118,420).
Worth noting you could buy two examples of the Tesla Model Y Dual motor Long Range ($68,900) for the same money.
In this part of the market it’s fair to expect a healthy list of included features and the RZ doesn’t disappoint.
Aside from the performance and safety tech we’ll get to shortly, standard specification highlights include a 14-inch multimedia touchscreen, a digital instrument display, a dimmable panoramic roof, 14-colour ambient cabin lighting, 20-inch alloy rims, LED headlights, cornering lights and a 360-degree camera system.
There’s also synthetic leather trim (synthetic suede on F Sport), built-in nav, power-adjustable heated front seats, multi-zone climate control and more. Not bad.
The Jazz range is made up of three models. As with any car, how much you get is dependent on how far up the price list you go. Honda occasionaly offers drive-away deals, but we're using RRP as a guide. We've done an exhaustive model comparison as well as snapshots to help you decide between the three trim levels - VTi, VTi-S and VTi-L.
Our American cousins score a Sport edition, but sadly we miss out on that one.
The VTi opens the price range at $14,990 for the five-speed manual, rising to $16,990 for the CVT auto. Standard features include a four-speaker stereo, air-conditioning, reverse camera, remote central locking, projector style halogen headlights, 15-inch steel wheels, cruise control power windows and mirrors, black cloth trim, trip computer and hill-start assist.
The inclusion of the reversing camera is good but the lack of rear parking sensors is mystifying, a problem shared with the VTi-S, although they are optional on both specifications.
While the spare tyre is a space-saver, it's better than a tyre-repair kit, should trouble strike. A small tool kit is also supplied for just such an occasion.
Even with the 2018 update, there is no Apple CarPlay or Android Auto, although you can plug in your iPhone or Android device via the USB port. Irritatingly, the USB port is under a cover next to the 7.0-inch touchscreen itself, so you have a cable poking out of the dashboard. You might prefer Bluetooth in that case.
Step up to the CVT-only VTi-S ($19,990) and you pick up foglights, 16-inch alloy wheels, LED headlights, 'premium' cloth trim, leather-wrapped steering wheel, a centre console with storage box and GPS sat nav.
There is no improvement to the multimedia system.
The VTi-L ($22,990) adds LED daytime running lights, climate control, navigation system (hooray!), smart key keyless entry, push-button start, leather seats, paddle shift for the CVT gearbox, an alarm, bi-LED headlights, LED daytime running lights, heated front seats and two extra speakers,
Missing from the accessories list are a CD changer, DVD player, DAB or MP3, panoramic sunroof, sport pack, black pack, city pack, subwoofer, improved sound system, HID headlights, tonneau cover, roof rack, different rims and even floor mats.
You're stuck with the same infotainment head unit right across the range - its not even a radio/CD player arrangement, just radio and your phone. At least the VTi-L has more speakers for its sound system.
Dealers will no doubt sell you darker tinted windows and an extended warranty.
The Jazz is available in seven colours, with Rally Red the only freebie. For $495 you can have one of six shades of mettallic paint - Crystal Black, Brilliant Sporty Blue, Modern steel (gunmetal grey), Phoenix Orange, Lunar Silver and White Orchid. If you're after pink or yellow, you're out of luck. Not very Jazzy.
Both versions of the new RZ are powered by dual permanent magnet synchronous motors, one in the front, one at the back, each producing 167kW and 269Nm.
Total output is 280kW for the 500e (up from 230kW in the 450e), with a little more juice released from the motor combination for the 550e at 300kW.
A single-speed transmission sends drive to both axles and the RZ550e F Sport features ‘Interactive Manual Drive’ designed to give the sensation of manual gear shifts in a BEV. More on that in the Driving section.
All Jazzes are powered by Honda's 1.5-litre single-cam four-cylinder. The engine specs don't make for inspiring reading, with just 88kW and 145Nm. That's not a lot of horsepower, but when you consider the weight of the car, the figures don't look so weedy.
Power goes to the front wheels, so the Jazz is definitely not an off-road proposition.
Only the base model VTi has a choice of manual vs automatic, with a five-speed manual transmission and a CVT auto to choose from.
As to the question of timing belt or chain, the Jazz has the latter, so you don't have to worry about a belt change. The oil type is 5W-30
There is no diesel option, so there'll be no diesel vs petrol argument. Nor is there an EV or plug-in hybrid - with a battery, it's unlikely you'd have much boot space left. There isn't an LPG, 4x4, or AWD version either.
If you can be bothered fitting a towbar, the manual's towing capacity is 1000kg braked while the CVT's load capacity drops to 850kg. Both transmissions will haul 450kg unbraked.
The RZ500e and 550e are fitted with a 77kWh lithium-ion battery delivering a claimed (WLTP) range of 450 and 456km, respectively.
Claimed 10-80 per cent charge time, using its full 150kW DC fast-charge capacity, is 30 minutes or a handy three and half hours at maximum 22kW AC capacity.
Energy consumption on the combined (urban/extra-urban) cycle is 18.2kWh/100km (WLTP) for the RZ500e and 18.4 for the 550e.
Over several hundred kilometres of B-road and freeway running as well as pottering through slow-speed villages on the launch we saw an average of 19.3kWh/100km in the 500e and 20.1 in the 550e F Sport, which is pretty handy.
And the (very) good news is two AC charging cables, installation of a home charger and three years’ complimentary charging across the Chargefox network is included. Nice!
Fuel figures are slightly different, depending on the gearbox you've chosen. Honda claims you'll get 6.5L/100km on the combined cycle in a manual while the CVT uses a bit less, coming in at 5.9L/100km. So fuel consumption km/L works out at about 15km/L for the five speed and 17.km/L in the CVT.
Real-world consumption is a little different, however. Our most recent test with the manual yielded 8.0L/100km while the CVT chugged down 8.2L/100km. Having said that, you'll see better fuel economy figures in the manual if, as I admitted in my VTi review, you don't drive it enthusiastically. The CVT was a bit disappointing because I was a lot more sedate in that one and it didn't deliver better mileage than the manual.
Fuel-tank capacity is 40 litres.
It’s a hefty machine at 2.1 tonnes, but Lexus says the RZ550e F Sport will accelerate from 0-100km/h in 4.4 seconds, with the 500e only marginally slower at 4.6sec.
In straight-line acceleration Lexus says front to rear power distribution varies between 60:40 to 100 per cent rear to suppress pitching and “produce a more direct acceleration feel”.
And the RZ is indeed quick. Apply your right foot at just about any speed and the car rockets ahead with satisfying enthusiasm.
The F Sport’s ‘manual’ mode allows you to shift through eight virtual ‘ratios’. Press the ‘M’ button on the console and bingo, you have slim steering wheel-mounted paddles to control them.
At anything above a light accelerator application you’ll feel a jolt on upshifts, but it’s rather unpleasant. Sure, you want some sense of a gear change, but you feel it in your core. Check out the video review to see how much it can shake you around.
A synthetic soundtrack Lexus refers to as the “BEV Sound”, vaguely echoing an internal combustion engine, is fed through the F- Sport’s audio system and it feels thin and brittle to our ears. Again, check out the audio sample in our video review to see if you agree.
You’ll hear the ‘revs’ rising on up and downshifts but there’s no physical accompaniment with the latter as far as we could sense.
Suspension is strut front with double wishbones at the rear and it’s been given a thorough revision in terms of dampers, springs and bushings in both the 500e and 550e F Sport, with the latter copping some additional fine-tuning in each of those areas.
We sampled 500e and 550e F Sport versions of the RZ on the launch drive in Southern Portugal, covering mostly Aussie-compliant roads with lots of bumps and ruts to deal with. And despite its hefty kerb weight the car copes with these imperfections well.
There’s also been some extra attention paid to body rigidity in this updated RZ, specifically reinforcement of upper sections of the nose and around the boot to keep the car more torsionally stiff.
In cornering the drive distribution ratio is between 80:20 front to rear to RWD-only, according to vehicle speed and steering angle, and the car feels composed and predictable.
The F Sport features the steer-by-wire system, using a yoke rather than a conventional steering wheel and the ratio is such that all you have to do is turn the wheel slightly to generate a response.
It’s smooth and progressive but quick at the same time. You soon become used to it.
While it's unusual to see a small yoke in your hands rather than a steering wheel, it means you have an uninterrupted view through to the instruments, which is a nice side benefit.
However, much like the Infiniti Q50’s system before it, there is no mechanical link between the driver’s hands and front wheels. Steering inputs are relayed by electric signals from a torque actuator to a control actuator.
So, while Lexus says “important feedback filters through without the unpleasant vibration effects of a mechanical connection”, and that’s true, by definition there is no road feel and the wheel feels numb from that point-of-view. Worth noting the mechanically steered 500e feels much the same.
Tyres are Dunlop SP Sport Maxx (235/50 fr - 255/45 rr) which grip hard and remain relatively comfy despite their short sidewall running on 20-inch rims.
One price you pay for the steer-by-wire system’s set-up is a substantial turning circle, so be ready for that.
Braking is by ventilated discs all around, which work nicely, and when you’re not using the manual mode in F Sport the steering wheel paddles allow movement through four levels of regenerative braking.
The most aggressive setting will slow you quite markedly but not to the level of ‘single-pedal’ operation.
Additional sound insulation includes an under-seat rear floor silencer, soundproofing in the door trims as well liberal use of damping sheets, foam, silencer pads, insulators and extra seals. And the car is super-quiet, even for an EV.
In terms of miscellaneous observations, the front seats on both versions remained comfortable and supportive over long stints behind the wheel (and yoke!).
Slow speed manoeuvring is assisted by a 360-degree overhead camera view with a translucent trace of the car in the centre, as well as a high-quality reversing camera. Vision across the car and through to the back is good, anyway, but the extra tech helps in the slow speed stuff.
There’s also a sensible mix of physical dials and on-screen controls and the touchscreen menus are easy to use. Especially handy when you’re racing to the function that turns off the intensely annoying over-speed warning.
The Jazz has always been a comfortable, easygoing car with performance figures to match. Its 0-100km/h acceleration is best described as leisurely, so if it's speed your after, this car isn't for you.
That said, the manual VTi is terrific fun to drive. Switch to the CVT, however, and the Jazz's reputation is restored. A good ride for front-seat passengers comes from McPherson struts up front while the rear suspension is by torsion beams, meaning rear-seat occupants can get a few shocks over bumps.
Road noise is a little higher than you might expect, but that's probably a combination of tyres and a commitment to lightness.
Obviously, being such a small car, manouverability is a key advantage. The turning radius is 5.2m, which is good but not super tight and the light, electric power steering makes dodging about easy. It certainly doesn't feel like it's on rails, but that's hardly what a car with a such a small engine size is about.
Ground clearance is 137mm, which is reasonable but jumping gutters is not advised.
In the base manual, you have a five-speed with a light clutch and an easy shift. For a motor missing out on a second cam, let alone a turbo, progress is swift rather than exciting, the engine droning away with a relaxed air. The CVT has an eco mode, which further blunts performance, but a ring of light around speedo glows green if you're behaving yourself.
The RZ received a maximum five-star ANCAP assessment in 2022 scoring 80 per cent-plus results in all areas.
As you’d expect, a full suite of driver-assistance tech is onboard including auto emergency braking (AEB) with car-to-car junction, crossing and head-on functionality as well as pedestrian and cyclist detection, adaptive cruise, lane keeping assist, lane-departure warning, blind-spot monitoring, rear cross-traffic alert, driver fatigue monitoring, tyre pressure monitoring and more.
The airbag count runs to nine, including side curtains, knee bags for the driver and front passenger as well as a front centre airbag. There’s also multi-collision brake to minimise the chances of subsequent impacts after an initial crash and an auto emergency call function.
There are three top tethers for child restraints across the second row with ISOFIX anchors in the two outer positions. That’s a comprehensive safety package.
The safety specifications include six airbags, ABS, stability and traction controls, brake assist and brake-force distribution. The Jazz was awarded a five-star ANCAP safety rating in January 2015.
Baby car seat security is offered with either three top-tether anchors but there are no ISOFIX points.
Missing is the more comprehensive safety equipment of its key rival, the Mazda2, which has forward AEB as standard, and its mid-range adds reverse AEB and at the top of the range scores reverse cross traffic alert and blind -spot monitoring. The airbag count is competitive, however.
The RZ is covered by Lexus Australia’s five-year/unlimited km warranty and there’s an eight-year/160,000km warranty on the drive battery, which is in line with the RZ’s key competitors.
Recommended maintenance interval is 12 months/15,000km, which is relatively brief for an EV.
Capped-price servicing is yet to be confirmed, but for reference the outgoing 450e runs to $395 for each workshop visit up to a maximum of five years/75,000km. That’s sharp pricing in this part of the market.
The RZ also qualifies its owner for ‘Platinum Electrified’ benefits under the ‘Lexus Encore’ ownership program. That means everything from access to “exclusive offers and events” to a complimentary service loan car, five years’ roadside assistance, valet parking at selected locations, airport lounge access and (heaps) more, including the charging benefits mentioned earlier. Hard to argue with that.
Honda's standard five year/unlimited kilometre warranty also comes with capped-price servicing for the first five years or 10 services, whichever comes first. Service intervals are every 10,000km or six months.
Up to 30,000km you won't have any extras but once you hit 40,000km you'll have to do the brake fluid, which is a reaonable $144 extra. Your service cost structure is otherwise simple - $259 for odd numbers and $297 for even.
Many people ask where the Honda Jazz is built, and the answer to that is "not Japan", or in Honda's Thailand plant.
Second-hand values appear strong, with around 60 percent of value retained after three years. Resale value is something of a Honda strength, which is probably to do with a lack of high-profile reliability issues.
A dip into the usual internet forums yields little in the way of common faults, problems, complaints or issues for the Jazz. Some look for automatic transmission problems, others for manual gearbox problems, but the current Jazz seems quite clear of defects in Australian-delivered cars.