What's the difference?
A number of established small cars are becoming more expensive and less popular. The Toyota Yaris, Mazda2 and Suzuki Swift were once the go-to first car, but now start at around $25,000.
This repositioning was great for MG and its sub-$20,000 MG3, which has spent much of the last few years as Australia's most popular light car. It’s hard to deny a low price will open many wallets.
But now in its new generation, the MG3 is thousands of dollars more expensive than before, starting in the mid-$20K range and headed even further up with a new hybrid drivetrain option. We jump in the base petrol Excite to find out if the value is still there for this British-branded, Chinese-built hatchback.
MG has a knack for bucking market trends. The MG3 hatch currently makes up more than a quarter of the brand’s sales at a time when the ‘light car’ category is in gradual decline. Electric cars are too expensive? Here comes the MG4 for less than $40K.
So is this, the MG5, here to resuscitate the sedan? A market segment that’s on the way to flatline here in Australia (aside from the Tesla Model 3's relatively niche appeal)?
If it does, it’s going to do it the same way MG has before. Low pricing. Both MG5 variants come in at less than $30K drive-away and convincingly undercut rivals… but at what cost?
MG delivers a strong value proposition with its small sedan, but it largely only comes with the essential safety features needed to be sold in Australia.
Does the MG5 bring enough to the table to be worth considering without common active safety features like lane-keep assist or rear cross-traffic alert? Let’s find out.
The MG3 still makes a strong argument for a low-cost, low-fuss option just like the models it now beats on price (Yaris, Mazda2, etc) used to.
While it also falls short in some areas like dynamics when pushed, the improvements to interior tech and comfort mean the MG3 should be considered if you're looking for a city runabout.
However, with the MG3’s price jump, rivals from Japanese and Korean brands are closer in cost than they were for the sub-$20K first-gen MG3, and their ability to handle Australia’s conditions outside the city mean they’ll prove a more useful long-term companion for many.
The MG3 nails its brief as a convincing option for first-car buyers or as a second runabout when there’s another option for long trips. It has taken a big step up from the ‘budget-friendly’ vibe of the original.
The MG5 works well as a budget-friendly small car, and it’s genuinely good to drive.
Some small let-downs in terms of packaging don’t detract from this car in any major way, but the lack of active safety is a concern considering the features most of its rivals offer.
If it’s on your shopping list, make sure you know what else is on offer in terms of safety before you lock in the MG5 for the savings.
Following the new design language pioneered here by the MG5 sedan and MG4 electric hatch, the MG3 looks like it’s trying for a sportier vibe than its predecessor, and maybe even a hint of European flair.
A grinning front grille and pointed set of headlights are followed around the side by a couple of body creases that give the hatchback a sweeping look, an attempt perhaps to seem longer than it is.
It doesn’t look like any of its rivals, unlike the MG5 which is easily mistaken for a small Mercedes CLA at glance.
Here on our Dover White test car, some angles are unflattering (it's giving 'hire car'), though the model’s available Diamond Red or Brighton Blue are fairly distinctive. Yes, some of the colours reference the brand’s UK heritage, despite being built in China.
Inside, the cabin benefits from a fairly tidy layout, with some genuinely thoughtful attempts at making the otherwise budget-focused model feel a little nice. A cross-hatch design through the dash mirrors, the seat stitching and the steering wheel and its buttons are nicely angular.
The MG5’s styling might be a little divisive, with the overall shape and look of the small sedan sitting somewhere between its direct rivals, like the Hyundai i30 Sedan, and aspirational models like the Mercedes CLA.
In this Essence variant, the grey insert for the grille gives the front a darker, more aggressive look, though the way the grille mesh weaves makes it look a little like moustache hair.
The large ‘intake-style’ design at the sides gives it a sportier look than its outputs have perhaps earned - not to say the MG5 is sluggish - and following those around to the side of the car leads to a fairly minimalistic and tidy silhouette.
Here, probably most notable is the rather tall gap between the tyres and wheel arches.
The rear, with that sloped-up roofline, transitioning into a gentle lip spoiler, flanked by those lights, is where CLA fans might have the most to say about the MG5’s design.
Notably, the exhaust vents at the bottom are fake. The real exhaust exit is hidden well underneath.
That tidy design inside helps when it comes to making use of the space, as well as offering some generous storage spaces.
For starters, while the clean layout means the screen looks like the main point of access for much of the car’s function, there’s an all-important shortcut button for the climate control which means you don't waste time navigating to the vent and temperature controls.
The only issue is that while my phone was connected to the system for Android Auto, I had to navigate away from the mirroring screen back to the MG3’s home screen before being able to shortcut to the climate settings.
Demister and volume control buttons are also present, but the screen itself has an easy-to-navigate menu.
The steering wheel controls are similarly straightforward and clearly labelled, while the driver display is tidy and shows important information clearly.
While the steering wheel isn’t telescopically adjustable, it's easy to find a comfortable seating position thanks to the adjustability of the seats. The material on the seats doesn't feel rough or cheap.
Behind that, there is enough space for my 178cm frame in the second row for the most part, but headroom isn’t incredibly generous.
The rear pew is a single unit, rather than a 60/40 split, so the whole backrest folds down if you need to load anything long through the boot. There’s not even an armrest or little ski hatch for long, thin items.
Its 293-litre boot isn’t small, and there’s a space-saver spare tyre in both petrol variants, but the hybrids are stuck with repair kits.
Some newer brands to Australia, often MG’s compatriots from China, get some of the ergonomic or tech basics wrong as they focus more on an impactful first impression. Fortunately, MG doesn’t do that, for the most part.
Inside the MG5 is a cabin that looks more expensive than it is, but has some useful features to back it up without the superfluous add-ons.
Aside from the lack of physical climate controls - an annoying cost-saving or interior-tidying trend embraced by brands from budget to bougie - the MG5’s interfaces and ergonomics are pretty sensible.
Accessibility ticks for the steering wheel buttons being few and large enough to use without needing to look, as well as the lack of a panel of buttons and switches in the centre console. Looking at you, BMW.
The screen is also functionally sound, with obvious menu layouts and fairly large buttons as touch points, so it doesn’t feel like trying to operate a tablet while you’re driving.
It does, again, lose points for the climate control situation, which weirdly features a temperature slider as a colour gradient rather than numerical temperatures.
No wireless phone charger means needing space for a plugged-in phone, which the MG5 has just enough of, though similarly ‘just enough’ is the size of the cupholders, which won’t fit a big water bottle.
In the rear, there’s space enough for an adult to sit comfortably behind another adult, though it’s not the place for long journeys.
Strangely, there’s only one central vent control in the rear so only one passenger gets cool air or heat, plus there isn’t a great deal of storage. No armrest or cupholders for rear passengers, either.
Also noteworthy is the single-piece rear seat, which means if longer items need to be transported in the 401-litre boot, the whole rear seat must be folded down and the MG5 temporarily becomes a two-seater.
Under the boot floor is a space-saver spare, though, so bonus points for a more useful addition than a simple repair kit.
Even though it’s now more expensive with its $23,990 before on-roads price, it’s hard to deny the petrol-only MG3 Excite is a compelling offering when it comes to inexpensive runabouts.
Not only has the price been bumped up, but so has the apparent interior quality and features list.
A new 13.25-inch multimedia touchscreen is paired with a 7.0-inch driver display and both look pretty slick for the price point and operate well.
Apple CarPlay and Android Auto are both available, but are wired only and can’t be accessed with a Bluetooth connection, while a six-speaker sound system handles entertainment duties.
In terms of seating and material, the Excite gets cloth pews with some contrast stitching.
On the outside, folding mirrors and a set of 16-inch alloy wheels join the new MG3’s design, while this base model Excite is left with halogen headlights like it’s 2015.
The Essence scores a set of LED units and is otherwise distinguishable by its sunroof, though it shares the same wheels as our base car, so it won’t feel like you’re missing out on heaps.
MG has managed to cram quite a bit into the MG5 for less than $25K drive-away in its Vibe entry-level variant.
More specifically, you’re forking out $24,990 to head off from the dealership in one, even with its missing active safety features, but we’ll come back to that.
In Vibe specification, the MG5 comes with 16-inch alloy wheels, auto LED headlights, a reversing camera and a tyre pressure monitor, while inside you’ll find a 10.0-inch touchscreen with Apple CarPlay and Android Auto capability (both wired) with four speakers for the sound system, as well as a push-button start, synthetic leather seats and three different selectable steering modes.
Stepping up to the Essence, which we’re testing here, costs $28,990 drive-away and adds a sunroof, a six-speaker sound system, electric seat adjustment for the driver, steering wheel paddle shifters - for a reason we’ll return to - and turns the rear-view camera into a surround-view parking camera.
The Essence is also visibly different on the outside thanks to slightly larger 17-inch alloys, auto-fold (when locked) side mirrors, and a grey grille insert rather than body-coloured.
On that, you can have white or yellow as no-cost paint colours in either MG5 variant, but metallic red, blue, black or grey are all $700 options.
On paper, the MG3’s 1.5-litre four-cylinder engine is fairly underwhelming with its 81kW (peaking at 6000rpm) and 142Nm (at 4500rpm).
But these figures, including the engine size and even peak RPMs are not far off the likes of the Mazda2, which is a fairly peppy and fun car despite its lack of grunt.
Keen drivers will, however, be disappointed to hear the MG3 drives the front wheels via a continuously variable transmission (CVT) rather than a traditional torque-converter auto, taking much of the pep out of its power unit.
You can expect to hit 100km/h in a bit over 10 seconds.
Both versions of the MG5 come with a 1.5-litre four-cylinder engine that drives the front wheels, but the similarities mostly end there.
In the entry-level Vibe, that engine is naturally aspirated and makes 84kW and 150Nm - similar to the MG3. Power is transferred to the front wheels via a continuously variable transmission (CVT).
In our Essence variant the engine is turbocharged and makes a suitably higher 119kW and 250Nm, driving the front wheels via a seven-speed dual-clutch automatic transmission.
MG claims the MG3 uses just 6.0 litres of 91 RON petrol every 100km on the combined fuel cycle, so with its 45-litre tank you can hypothetically bank on a 750km range.
Of course, that might be achievable in lab conditions, but on test we found the trip computer’s estimates looking closer to 500km on a tank for the kind of urban driving it was undertaking with us.
On a dynamic test drive route, the trip computer settled at a displayed consumption figure of 7.7L/100km, but stop-start driving was not great for efficiency, as you'd expect.
The naturally aspirated Vibe's official combined cycle fuel economy figure is 5.7 litres per 100km, while the turbocharged Essence drinks a little more at 5.9L/100km.
For comparison, Toyota claims its non-hybrid Corolla Sedan will sip 6.0L/100km, while a Mazda3 Sedan claims 6.1L/100km. Not bad, then, if you can keep it near MG’s claim.
During our testing, with a mix of city, suburban, highway, and rural driving, the MG5 Essence burned through 95 RON premium fuel at a rate of 9.1L/100km, checked at the pump, though I wouldn't expect this to be representative of normal, calmer day-to-day driving.
The higher quality look and feel of the new MG3 carries through to its day-to-day driving. Some of the car’s Chinese compatriots seem to fall down when it comes to the on-road part, which for some is the most important part of a car.
But for a small city car the MG3 is very user friendly, with light and direct steering, good visibility, and just enough power and torque to not feel like everyone’s getting the green light a couple of seconds earlier than you.
It’s comfortable at urban speeds when it comes to the suspension, and doesn't get rattled too much in the front end by tram tracks or other road imperfections.
In narrow streets, three-point turns aren’t a hassle and the car’s size means it’s easy to reverse parallel park, although the reversing camera takes a second to appear when using phone mirroring.
On the highway, however, and when it comes to high-speed cornering, the MG3 can feel a little uneasy.
The road noise becomes more and more obvious. Driving on well-maintained metro freeways at around 80km/h or above produces unpleasant noise, and a during a particularly breezy week the car felt susceptible to swaying in high wind.
Its power delivery starts to feel lacking out of town, too, and taking corners on fast back roads means plenty of slowing down to avoid the front-end sliding or the feeling of the MG3 leaning unsettlingly around corners.
If you’re considering the MG3 but you need to head out of town regularly, take a proper long test drive before opening your wallet.
But if you just need it as an urban runabout, the MG3 does a fine job.
Perhaps the biggest surprise about the MG5 is that it’s quite good to drive. And not just ‘for an MG’ or ‘for a car from China’. It’s actually good.
The turbocharged engine takes a moment to get going, and the dual-clutch can be a little hesitant off the mark.
The combo of the two means sometimes you need to plan your take off ahead of time - but in its above-3000rpm sweet spot, the Essence has a good bit of urgency to it.
That’s fortunately paired with a combination of comfortable suspension and a composed chassis, with well-weighted steering.
On urban roads and with a little awareness of the slow take-off, the MG5 is capable and well-suited to small roads, though it can be a little frustrating in stop-start traffic.
On the other hand, outside the confines of city driving, the small sedan is more dynamic than you might expect, able to get up to speed and comfortably overtake on highways, as well as handle corners on twisty roads confidently.
Potholes and rough sections of road don’t rattle the MG5 as much as you might expect from a car in this segment, though road noise can be a intrusive on coarse roads - of which Australia has many.
Dare I say it - the MG5 is rather fun.
ANCAP hasn’t tested the MG3 yet, so there’s no crash safety information available. It’s worth noting ANCAP gave the MG5 a zero star score for its lack of active safety equipment, but the MG3 comes with more under its belt than its sedan stablemate.
Six airbags, two front, two side and two curtain, are joined by adaptive cruise control, blind spot detection, rear cross-traffic assist, forward collision warning, lane departure warning, lane keeping assist and speed limit assist.
None of these systems were intrusive on test, though lane-keep assist feels like it could do with some more fine tuning.
Here’s the bit that might turn potential owners off the MG5. Or here aren’t the bits, more accurately.
The MG5 comes with a short list of safety features that amount to the minimum standard for a car to be sold in Australia.
That is, six airbags, autonomous emergency braking (AEB), anti-lock brakes (ABS) and electronic stability control (ESC).
MG also lists hill-hold under its safety features, as well as its active cornering brake control and auto door unlock and activation of hazard lights in case of an accident.
There are also ISOFIX and seat tether points for the outer rear seats.
The reverse camera in the Vibe is replaced by a surround-view camera in the Essence, though the visual quality of the feed leaves a bit to be desired.
Crucially, it’s missing a host of safety features that would be standard, or at least optional on a rival like the Toyota Corolla Sedan or Mazda3 Sedan, like steering assist, a pre-collision safety system, pedestrian detection, active cruise control and even lane departure alert.
Rear cross-traffic alert and blind-spot monitoring? Nope.
MG Australia CEO Peter Ciao told CarsGuide not long ago it’s about keeping the price of the car accessible for more customers, which means you’ll have to make your own call regarding whether it’s safe enough for you.
To that, ANCAP hasn’t crash tested the MG5, but if it did we wouldn’t expect it to score any higher than three stars.
While we don’t know how it would hold up in the area of crash protection, it lacks too much of the active safety gear that ANCAP expects of a maximum five- or even four-star car.
MG has a 10-year/250,000km warranty which is unmatched in the small-car market.
Servicing is scheduled at every 10,000km or 12-month intervals, with the first seven services averaging out at a fairly hefty $360 - the cheapest being $234 and the priciest $536.
MG offers a seven-year/unlimited kilometre warranty on the MG5 as with all its models - even electric cars. That also comes with roadside assist for the duration of the warranty, though only 160,000km is covered by the warranty if the car is used for commercial purposes.
Servicing prices for the MG5 range from $266 or $272 for the Vibe or Essence, respectively, up to $581 or $661 for the most expensive of the seven 10,000km/12-month scheduled services.
The total cost of servicing the Vibe over its seven years under capped-price servicing comes to $2661, or about $380 average per service. For the Essence, that bumps up to $2764 or an average of about $394 per service.