What's the difference?
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.
Some VW models, like the Golf, are household names. No doubt about it. But this? Well, it's probably not one of them. Or not yet.
This is the Arteon, the German's brand's flagship passenger vehicle. Put it this way, if VW's tag line is premium for the people, then this is the most premium. And the people? Well, they're the ones who might normally be shopping for a BMW, Mercedes or Audi.
The name, by the way, comes from the the Latin word for art, and it's a nod to the design focus that's been employed here. It comes in a shooting brake, or wagon, body shape, as well as this, the Liftback. And a quick spoiler alert, it looks pretty good, right?
But we'll get to all that. As well as the big question - can it mix it with the premium-brand big boys?
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.
The value, driving dynamics and appearance are on point for a premium play here. If you can forgo the badge snobbery attached to the German big three, then you'll find lots to like about Volkswagen's Arteon.
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.
It's really all about the looks here, and while the Shooting Brake is particularly handsome, the regular Arteon looks premium and polished, too.
VW tells us injecting a bit of sportiness was a key aim here, both inside and outside, and that's particularly true of the R-Line model, which rides on bigger 20-inch alloys, compared to the 19s on the Elegance, with their own bespoke design.
The body styling is more aggressive, too, but both trims get lashings of chrome along the body work, and a sleek, swept-back style that looks more premium than overtly sporty.
In the cabin, though, you can see that this is an important car to VW. The touchpoints are almost all soft to the touch, and it's both understated and tech-saturated at the same time, including the swipe-to-adjust function for the stereo and climate, with new touch-sensitive sections added to the centre console and steering wheel.
It feels, dare we say it, premium. Which is likely exactly what VW was going for...
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.
Interestingly, both body styles share near identical dimensions, with the Arteon stretching 4866mm in length, 1871 in width, and 1442mm in height (or 1447mm for the Shooting Brake).
Those numbers translate to a seriously spacious and practical cabin space, with an acreage of room for backseat riders. Sitting behind my own 175cm driving position, I had heaps of space between my knees and the seat in front, and even with the sloping roofline, plenty of headroom, too.
You'll find two cupholders in a pull-down divider that separates the back seat, and a bottle holder in each the four doors. Backseat riders also get their own air vents with temp controls, as well as USB connections, and phone or tablet pockets on the rear of each front seat.
Up front, the theme of space continues, with storage and cubbies sprinkled throughout the cabin, as well as USB-C connections for your phone or devices.
All that space means a sizeable boot area, too, with the Arteon serving up 563L with the rear seats in place, and 1557L with the back pews folded. The Shooting Brake ups those numbers - thought not any as much as you might think - to 565L and 1632L.
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 Arteon carries an unsurprisingly premium price tag in the VW family, but it can still be cheaper than an entry-level equivalent from some of the German premium brands.
Or, in the words of VW, the Arteon "challenges the luxury car makers without becoming one ourselves."
And you do get a lot of stuff. In fact, a panoramic sunroof, and some metallic paints, are the only cost options here.
The range is offered in 140TSI Elegance ($61,740 Liftback, $63,740 Shooting Brake) and 206TSI R-Line trims ($68,740/$70,740), and the former is offered with VW's Virtual Cockpit digital instrument cluster, along with a head-up display and a central 9.2-inch touchscreen that pairs wirelessly with your mobile phone.
Outside, you get 19-inch alloy wheels and full LED headlights and tail-lights. Inside, you'll find ambient interior lighting, multi-zone climate control, keyless entry and push-start ignition, as well as full leather interior trim with heated and ventilated front seats.
Also worth calling our here are the digital buttons on the dash or steering that control everything from the stereo to the climate, and work a bit like a mobile might, you can swipe left or right to control the volume or switch tracks, or change the temperature.
The R-Line model is the sportier-feeling option, and adds 'carbon' leather interior trim with bespoke bucket-style sports seats, 20-inch alloy wheels, and a more aggressive set of R-Line bodywork.
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.
There are two drivetrains on offer here — the 140TSI with front-wheel drive in the Elegance, or the 206TSI with all-wheel drive in the R-Line.
The former's 2.0-litre turbo-petrol produces 140kW and 320Nm, which is enough for a sprint to 100km/h in around 7.9 seconds.
But the lust-worthy engine tune is definitely the R-Line, in which the 2.0-litre turbo-petrol ups the grunt to 206kW and 400Nm, and drops the sprint time to a brisk 5.5 seconds.
Both pair with VW's seven-speed DSG automatic.
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.
Volkswagen says the Arteon Elegance will need 6.2L per hundred kilometres on the combined cycle, and will emit 142g/km of C02. The R-Line needs 7.7L/100km on the same cycle, with emissions pegged at 177g/km.
The Arteon is fitted with a 66-litre tank, and a PPF or petrol particulate filter, which strips some of the nasties out of the vehicle's emissions. But, VW says, it's “very important" that you only fill your Arteon with premium feel (95RON for the Elegance, 98RON for the R-Line) or you risk shortening the life of the PPF.
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.
Full disclosure: we only spent time behind the wheel off the R-Line variant for this test, but even still, I feel pretty comfortable suggesting that it's the punchy powertrain you want.
Surely the very first hurdle any company hoping to play with the premium-brand big boys must clear is that of easy, effortless momentum? It's difficult to feel like you've made the premium choice when you're engine is straining and striving under acceleration, right?
And on this, the Arteon R-Line shines, with plenty of power underfoot whenever you need it, and a delivery style which means you rarely, if ever, fall into a hole waiting for the power to arrive.
For mine, the suspension might be a touch too firm for those seeking a truly wafting drive experience. For the record, it doesn't bother me — I always prefer to know what's happening underneath the tyres than be entirely removed from the experience — but a result of this sporty-feeling ride is the occasional registering of bigger bumps and road imperfections in the cabin.
The flip side of the firm(ish) ride is the ability for the Arteon - in R-Line guise - to swap personalities when you engage its sportier settings. Suddenly there's a snarl to the exhaust that's absent in its comfortable drive modes, and you're left with a vehicle that tempts you to head for a twisting back road to see what it's about.
But in the interests of science we instead headed for the freeway to put the Arteon's autonomous systems through their paces, with the brand promising Level 2 Autonomy on the highway.
While the technology still isn't perfect — some braking can occur when the vehicle's not entirely sure what's happening ahead of it — it's also pretty impressive, taking care of the steering, accelerating and braking for you, at least until you're reminded its time to put your hands back on the wheel.
It's also bloody big, the Arteon, with more space in the cabin - and especially the backseat - than you might be thinking. If you have kids, they'll be positively lost back there. But if you cart adults on the regular, then you'll hear no complaints.
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.
Essentially, if VW makes it, the Arteon gets it. Think front, side, full-length curtain and driver's knee airbags, as well as VW's complete IQ.Drive safety suite, which includes a Fatigue Detection system, AEB with pedestrian detection, Park Assist, parking sensors, rear traffic assist, lane change assist, adaptive cruise control with lane guidance - which is essentially a level 2 autonomous system for highways - and an around view monitor.
The new model is yet to be crash-tested, but the last model scored a five-star rating in 2017.
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.
The Arteon is covered by VW's five-year, unlimited-kilometre warranty, and will require servicing every 12 months or 15,000kms. It will also get VW's capped price servicing offer.