What's the difference?
Far from just another mid-size SUV offering, the Lexus RZ bares the burden of much of the Japanese premium brand’s future.
While Lexus has been a trailblazer in the past, offering a wide range of hybrid luxury vehicles before every other brand, it’s a little late to the party with this car; it’s first ground-up electric vehicle.
The question is, has all this extra time given Lexus the luxury of perspective, or is it too little too late for the RZ to make a meaningful impact on the mid-size luxury SUV space? Stick with us as we find out.
MG needs a win, and the MG4 Urban may be the right car at the right time to give the Chinese brand a major boost.
It has been a rough few years for MG, with sales in decline for the past two years, which has seen it tumble from Australia’s favourite Chinese car maker to a distant fourth place behind BYD, GWM and Chery.
Part of that could be because of its rapid expansion, both in terms of its total number of models but also the size of the vehicles it’s offering. The larger QS SUV and U9 ute have both received underwhelming responses from the car-buying public.
So, MG has returned to its roots - small, affordable cars. The MG4 Urban, not to be confused with the MG4 Hatch, is its new price-leading electric car and the company’s new management hopes it leads a sales revival.
There are sportier EVs out there, there are more tech-savvy EVs out there, but few adhere to the luxury promise quite like the Lexus RZ, particularly at its price point.
It’s this primary characteristic which sets the RZ apart from the pack for me, and while it might not be for every first-time EV adopter, it nails the brief for the existing Lexus buyer while providing a ‘luxurious’ alternative to many of its firmer, sportier and less approachable rivals.
The MG4 Urban is not only the right car at the right time, perfectly catering to buyers looking to avoid rising petrol prices, it’s also a welcome return-to-form for MG as a brand.
MG is seemingly at its best when it sticks to small cars. It has traditionally excelled with the MG3 and ZS, smaller, more affordable products that keep expectations in check and can win over customers looking for the best bang-for-their-buck rather than simply the best car.
That’s not to say the MG4 Urban isn’t a good car. It offers tremendous value for money, excellent interior space and drives nicely, so anyone who has been considering making the switch to an EV should seriously consider this new arrival.
Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.
I don’t think the RZ will be for everyone, but it has some very cool details and interesting angles, regardless.
It maintains the signature Lexus face, but this time has sunk the ‘spindle’ pattern deep into its plastic grille, making for a clean nose, but perhaps one which is a little too blank for some. No doubt it needs this smooth look to maintain as low a drag coefficient as possible.
Closer inspection reveals clever detailing, like the way the spindle pattern fades into the corners, and the whole look is lifted by how wide the car is.
Sports Luxury versions are lifted further with contrast panels accentuating the width and shape.
My favourite angle of the RZ is the rear three-quarter. The coupe window line, split spoiler design, and cool strip tail-light, complete with three-dimensional Lexus branding, looks as contemporary as it gets, not to mention sportier and more intriguing than even some of its rivals.
Savvy EV buyers might know the RZ shares its platform and overall shape with the upcoming Toyota bZ4X and its Subaru Solterra spin-off, and while those two cars look near-identical from the outside, Lexus has clearly had a lot more creative licence with the design of its take on the formula.
Inside is perhaps where this car feels the most Lexus, however. The interior design is almost entirely unrecognisable when compared to the bZ4X, with Lexus going to town with its curvy, intricate design language, and plush detailing throughout.
Padded synthetic leather trims, which match the seats, adorn the doors, which are swapped out for ultrasuede in the case of the higher-grade Sports Luxury.
And Lexus has opted for a deep-set digital dash and massive touchscreen in place of the small column-mounted screen and tablet multimedia of its Toyota and Subaru relations.
Everywhere you look, though, there’s attention to detail, with interesting material choices from the wacky carpet to the detailing on the centre console and in the door cards. It’s unmistakably Lexus, and feels premium.
MG says the design inspiration for the MG4 Urban came from the $100,000 Cyberster. While there are certainly a lot of differences between that roadster and this hatchback, the air-intakes and wheel design are indeed very similar. And I guess the badge is the same too, so there’s that…
But, comparing it to the Cyberster misses the point. What makes the MG4 Urban’s design more interesting is the bits you can’t see. While it shares the same name as the MG4 Hatch, this car has almost nothing in common with it. That’s because this new MG4 Urban is based on the brand’s newer EV underpinnings that debuted on the MGS5 EV.
That means the MG4 Urban is front-wheel drive, whereas the hatch is rear-wheel drive, and because of the way the battery is integrated into the chassis, it creates not only a bigger hatchback but also one with a different shape.
The Urban is more ‘cab forward’ (to use design parlance) meaning a shorter bonnet, which creates more cabin room. It also means there is more boot space because the powertrain is located up front.
MG does a good job with cabin presentation too. It’s another step forward for the brand, improving the overall level of fit and finish from its earlier models, to create a cabin that looks modern and doesn’t feel like it has been built to a price.
The RZ benefits from its electric-from-the-ground-up 'e-TNGA' platform, which offers an almost flat floor, wide, spacious cabin (despite its coupe-look rear) and there are plenty of clever touches throughout to enhance practicality.
The doors each offer a pocket with integrated bottle holder up front, there’s a wide centre console with a set of large bottle holders, and the clever dual-hinged armrest console which appears in other Lexus products, and a large bay under the multimedia unit which houses additional storage alongside the wireless charger.
Interestingly, the RZ doesn’t have a glove box on the passenger side, as this area is reserved for the infra-red projector in the Sports Luxury grade.
Instead, the car has a cutaway underneath the bridge-design centre console for additional storage. It’s a welcome and surprisingly large area which also houses a 12V power outlet. However it’s a little tricky to reach when seated up front.
Adjustability feels good for the driver with decent leg and headroom, alongside a tilt and telescopic steering column.
There are dials for the climate controls and a centre dial for the volume adjustment, although there are still many functions - from drive mode to essential safety toggles - that are buried more than one menu deep in the touchscreen, and therefore a little clumsy to jab at while you’re driving.
The back seat offers excellent space for someone my size. At 182cm tall I had leagues of knee room and decent headroom, and of course all the soft trims continue.
Bottle holders appear in the doors and drop-down centre armrest, and rear passengers score dual adjustable air vents and two USB-C power outlets.
There are map pockets on the back of the front seats, and the higher-end Sports Luxury grade offers dual heated seats and a separate fixed sunroof panel for the enjoyment of rear passengers.
One interesting piece, however, is the high floor. Designed to facilitate the batteries, the high floor means you feel tilted back in the rear seats, like your knees are far off the ground.
The boot, meanwhile, is also surprisingly spacious given the raked rear window. At 522 litres it outranks most mid-size SUVs, and while it seems deeper than it is tall, it should be more than sufficient for the airport run or trips to the local Golf course.
An underfloor storage area is convenient for the stowage of your charging cables.
As I just mentioned, the cabin is bigger than the other MG4, which creates good space in both seating rows.
Up front they’ve placed the gear selector on the steering column to create space for more storage in the centre of the car. That means there’s plenty of shelves, cubbies and cup holders to take care of your small (and not so small) items, spread across the cabin.
As for the boot, the switch to a front motor and a smaller rear suspension means a 382-litre boot with all seats up and 1266L if you drop the back seats. Plus there’s a 98L underfloor storage spot, in place of a spare wheel (with a puncture repair kit included instead).
The design of the key controls are simple and easy to use, with a digital display for the instruments ahead of the driver and a 12.8-inch multimedia screen in the centre of the dashboard.
Navigating the menus is relatively straightforward but in a victory for user-friendliness, MG has listened to feedback (and incoming Chinese government regulations) and added some physical controls. There are buttons and a dial for the air-conditioning system and a volume knob for the sound system.
The RZ arrives in Australia in just one 450e all-wheel drive variant, with two trim levels to pick from. Either the entry-point Luxury grade ($123,000, before on-road costs), or the top-spec Sports Luxury ($135,000, before on-roads).
It’s entering a hot market, which every luxury brand wants a slice of. Rivals include the outgoing Audi e-tron, ($138,323) which is set to be replaced by the presumably more expensive Q8 e-tron imminently, base BMW iX ($135,900), Genesis GV70 Electrified ($127,800) or the smaller GV60 ($107,700).
Soon it will also have to duke it out with the Polestar 3 which is higher performance, starting from $132,900, and there’s always the spectre of the Tesla Model Y, which is a comparative bargain at $98,415 for the go-fast Performance version.
In terms of premium-badged rivals, though, it’s at the lower end of the price-scale, following the Lexus model of providing relative value in its space.
The entry-level Luxury grade comes standard with 18-inch alloy wheels, LED headlights and tail-lights, a massive 14.0-inch multimedia touchscreen with Apple CarPlay and Android Auto connectivity, built-in sat-nav, connected services, wireless charging, a digital instrument cluster, synthetic leather interior trim, dual-zone climate control, push-start ignition with keyless entry, a 360-degree parking camera, a 10-speaker premium audio system, and the full safety suite. More on that later.
For the extra spend to get into the Sports Luxury grade, the wheels are upgraded to massive 20-inch units, then you can count on adaptive headlights, acoustic glass, contrast styling panels on the exterior (with a two-tone paint option), ‘ultrasuede’ interior trim with ‘Tsuyasumi’ ornamentation, interior LED ambient lighting, an electrochromatic sunroof, ventilated and heated front seats with infra-red ambient heating for front passengers, rear outboard heated seats, memory driver’s seat, a head-up display, touch-sensitive wheel controls, and a 13-speaker Mark Levinson audio system.
Some of these features are very cool. The sunroof and ultrasuede interior trim options with the detailed ornamentation, and even wacky carpet trim in the Sports Luxury grade, are enough to take you aback, helping this Lexus make its mark on the luxury mid-size EV market.
Will it be enough to offset some notable omissions like the lack of vehicle-to-load systems or household power outlets on the interior?
This will depend on the buyer, but I think objectively this Lexus is playing into its existing loyal customer base more than it is the new-age tech savvy buyer.
MG made its reputation in Australia by selling some of the most-affordable models on the market, filling the hole left by mainstream brands like Toyota, Hyundai and Mazda as they increased the entry-level prices in their respective line-ups. Something MG itself tried with the HS, QS and U9, as it expanded beyond the once-popular MG3, MG5 and ZS.
The MG4 Urban is a return to form in that sense for MG, with this new small car starting at just $31,990 drive-away. For context, the MG4 Hatch starts at $37,990 drive-away, so this is a much cheaper proposition. That starting price is for the MG4 Urban Standard Range, the Extended Range variant is priced from $34,990 drive-away.
That pricing does not feel accidental from MG Australia, despite what they may suggest when pressed. That’s because the new BYD Atto 2, the direct rival to the Urban, starts at $31,990 plus on-road costs. Even so, BYD has the last laugh, because it offers both the BYD Atto 1, which starts at $23,990, and the Dolphin, which is priced from $29,990 - to undercut the MG4 Urban, even if neither are considered direct competitors.
In terms of specification, both the Standard Range and Extended Range have the same equipment with the exception of the obvious - a bigger battery, and more power from the motor.
Standard equipment highlights include 17-inch alloy wheels, LED headlights and tail-lights, a leather-wrapped steering wheel, PVC seat upholstery, heated front seats, Bluetooth connectivity with wireless Apple CarPlay and Android Auto, in-built navigation and a six-speaker stereo.
The RZ is only available with one powertrain choice, a dual-motor all-wheel drive set-up dubbed the 450e.
Unlike some systems, this dual-motor arrangement is far from symmetrical, with by far the majority of power sent to the front wheels.
Total system output is rated at 230kW/435Nm, consisting of 150kW/266Nm from the front, and just 80kW/169Nm from the rear.
Interestingly, this is significantly more punch than the Toyota bZ4X, further setting this Lexus apart.
The RZ uses a clever torque-vectoring system to make the most of this set-up when cornering, and debuts some interesting new tech like computer-balanced brakes to keep the car level under heavy deceleration as well as new adaptive pistons in the suspension to help the car adjust to different surfaces.
The MG4 Urban Standard Range is powered by a 110kW/250Nm electric motor that drives the front-wheels via a single-speed transmission. The Extended Range has slightly more performance, 118kW and 250Nm, but aside from that they are the same motor.
Quoted range for the RZ is 470km, however this is to the more lenient NEDC testing cycle, as accepted by the Australian Design Rules.
However, its real-world range is more like 400km, which is as it is more accurately measured to the WLTP standard.
The 71.4kWh battery pack is supported by a 150kW max DC charging speed, allowing a 10-80 per cent top-up in 30 minutes.
On a slower public AC charger, the RZ can pull a maximum speed of 11kW for charging in around six and a half hours, while single-phase charging, as you might get from a home wallbox system, at a rate of 7.0kW allows a charge time in around 10 hours.
Lexus throws in a public Type 2 charging cable, home wallbox installation, and a three-year Chargefox subscription (covering free fast charging) as part of an RZ purchase. Clever.
Officially the RZ consumes 18.7kWh/100km on the combined cycle according to the WLTP standard and I was surprised to find our car consumed 18.6kWh/100km during the test drive loop.
For context, anything under 20kWh/100km is reasonably impressive in the premium EV space.
The biggest difference between the two MG4 Urban variants is the battery. The Standard Range has a 43kWh battery good for 316km of driving between charging, while the Extended Range gets a bigger 54kWh battery to make it capable of up to 405km.
We didn’t drive the car long enough to get a clear indication of real-world efficiency and range, but it performed well during our drive in suburban Sydney. The steady stop-start traffic gave the battery its best chance to perform well and the early indications are its range is close to claim, at least under the right circumstances. We’ll have to reserve definitive judgement until we’ve had a longer test drive.
What MG was very keen to highlight are the cost savings of buying an EV at a time of sky-high petrol prices. The company made a point that using off-peak electricity, which can be had for just 6c per kW from certain providers, means you can replenish the battery of the MG4 Urban Standard for just $3.44.
Usually EVs, even premium ones, have a particular formula to the way they drive.
Hefty, firm, and usually break-neck fast is the default position, with seemingly every manufacturer trying to remind buyers they too can be as fast as a Tesla.
However, the RZ breaks with the premium pack, offering a car which leans more into the luxury promise than maybe any other right now.
It’s a relatively serene space in the cabin, with notably limited wind or tyre noise, and a gentle steering tune which makes the car effortless to pivot into corners.
This combines with the clever torque vectoring system, and lenient suspension to have the RZ simply wafting through corners.
The ride is interesting in that it is so far from the norm for the EV space. It is the opposite of firm and aggressive, with the car gently leaning into bends and barely feeling the texture of the road.
Small, rough bumps and high-frequency corrugations are dispatched with ease, the car simply floating over them, even when loaded up in corners, although, on the flip-side, longer undulations have it bouncing up and down a bit after-the-fact, perhaps a consequence of the doughy ride having to deal with the well-hidden weight of its batteries.
Despite efforts to deal with body-roll, there’s a notable amount, a consequence of the forgiving ride.
While these characteristics make the RZ a far more luxurious proposition on the road than many of its rivals, it is notable in how much it lacks a feel for the road.
The steering is so electrically augmented it feels almost simulated, no matter which drive mode you select, and little of the road surface is communicated well to the driver.
Even the brake pedal feels lifeless and distant, as it combines regenerative braking with the actual discs in a purely digitised progression.
The steering, acceleration and regenerative braking are all heavily altered by drive mode, with the car lacking a single-pedal drive setting, instead being fairly hands-off with the system.
Some, looking for a particular EV drive experience, may be happy with this, others will appreciate how ‘normal’ the RZ feels in this department.
While the car feels disconnected in a sense, there’s no doubt the brakes work, the steering is effective, and it is deceptively quick.
Its soft character might have you assuming it's slow, but a hot-hatch baiting 5.3 second 0-100km/h sprint time seems alarmingly achievable in the Sport mode.
One thing is for sure - everything described here is deliberate. Lexus has made a choice to go against the grain and do something different when it comes to the way this mid-size EV feels.
To many existing Lexus loyalists, there will be a lot which is familiar, while providing a slice of the future, yet it might be far from the most engaging EV to drive. It certainly provides a gentler and more luxurious - if a little lifeless - alternative to the sporty status quo.
What really stood out about the MG4 Hatch is its rear-motor, rear-wheel-drive layout, which made it a very dynamic and almost sporty car. In my 2023 review I called it “a genuinely enjoyable small car to drive".
The MG4 Urban doesn’t quite leave the same impression. Again, we had only a brief and (appropriately) urban test drive around Sydney’s beachside suburbs, but the MG4 Urban proved competent rather than commendable.
But, let’s be honest, unless you’re looking for driving thrills in the wrong place (affordable, city-focused hatchbacks) the MG4 Urban does the job it is required to do. It’s as nice as any other mainstream hatch to drive from Point A to Point B.
The ride could be a little softer and more compliant, with the suspension feeling too firm at times, but with its electric motor it’s a quiet and relaxed driving experience. The electric motor provides adequate performance too, certainly more torque in less time than you’ll get in a petrol-powered hatch.
Curiously, MG Australia executives said the MG4 Urban was locally evaluated and tuned but could only offer a vague mention of ‘holistic’ changes to better suit it to local conditions, rather than pointing to any specific Australia-developed changes to the suspension, steering or powertrain.
Safety comes standard on the Lexus RZ, with even the base Luxury trim-level scoring high-speed radar-based auto emergency braking (which detects vulnerable road users at night), lane keep assist (with lane departure warning), blind-spot monitoring (with rear cross-traffic alert), as well as driver attention alert, adaptive cruise control, and a tyre-pressure monitoring system as standard.
The only item reserved for the higher-grade Sports Luxury is the advanced adaptive high-beam suite.
The RZ also scores an impressive complement of 10 airbags, as well as the most recent crash structures in its fresh e-TNGA frame, however the EV mid-sizer is yet to be rated by either ANCAP or Euro NCAP.
It may be small and cheap, but that doesn’t mean MG has cut corners on safety. The MG4 Urban comes equipped with the MG Pilot and a suite of active safety features, including adaptive cruise control, autonomous emergency braking, lane keep assist, blind spot monitoring, driver attention monitoring and speed limit notification.
The latter two are the most evident, as they provide a steady soundtrack of beeps as you drive along. Take your eyes off the road for more than a few seconds as the driver attention system fires up, while the speed sign recognition gets busy in Australia’s ever-changing speed limits.
While MG has undoubtedly improved the sensitivity of some of these systems compared to other models, they are still more active than rival products. Perhaps more concerning, the speed limit recognition repeatedly beeped to tell me I was in a ‘25km/h’ zone, which is simply not a recognised speed limit on Sydney roads.
Like so many other brands, MG needs to further refine these active safety systems in order to make the driving experience more relaxed and less distracting.
MG says the MG4 Urban has secured a five-star rating from Euro NCAP, which is expected to be carried over by ANCAP.
One of the key Lexus selling points is its ‘Encore’ ownership promise, which is at its best on its EV models.
For the RZ this includes a complementary 7.0kW home wallbox charger installation for those with garages, the inclusion of a wall socket and public Type 2 charging cables, a three-year Chargefox subscription keeping even your high-speed charging free for the duration.
The warranty is five years, unlimited kilometres, with roadside assist included.
Capped price servicing is available over five years, weighing in at $395 per 12 month or 15,000km interval, whichever comes first.
Lexus will also organise to pick up and drop off a loan vehicle at service time, while the high-voltage battery is covered by up to 10 years of warranty if the logbook is adhered to at an authorised Lexus workshop.
The brand also offers extra benefits through its ownership program, like deals at hotels and restaurants, as well as invites to events like track or golf days.
This is an impressive above-and-beyond suite of offerings befitting a premium brand, although it should be pointed out some premium EV rivals offer service intervals which are twice as long, and even free servicing for the entire warranty period.
The MG4 Urban is covered by the brand’s 10-year/250,000km warranty, as long as you service it at an official MG service centre. If you don’t get your car serviced with the company directly, your warranty reverts to seven-year/unlimited km coverage.
Servicing intervals are every 12 months or 25,000km and will cost you $1366 over the first five years. The cheapest visit is just $149 but the major service, after four years, is a pricey $472, which does push against the idea that EVs are cheaper to service due to less moving parts.