Hatchback News
The cheap new cars we bought in 2025
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By James Cleary · 24 Jan 2026
Only a few years ago a budget-focused new car story like this would have well and truly dipped under the magical $20,000 threshold.But, the sad news is there’s just a single new car option left standing in the Aussie market wearing a five figure price tag that starts with a one.And that’s the entry-grade Kia Picanto Sport with a five-speed manual gearbox at $19,190, before on-road costs. Tick the box for the four-speed automatic transmission and all of a sudden you’re at $20,790, BOC.So, we’ve raised the new car budget bar to $25,000 and looked at the five most popular models with an entry-price under $25K from 2025 full-year sales.1) Chery Tiggo 4 Pro - From $23,990, before on-road costsTalk about an impressive entrance. Chery lobbed a hand grenade into the budget end of the small SUV segment in late 2024, with the Tiggo 4 Pro’s first full year sales exceeding 20,000 units in 2025.Two versions of the compact five-seater are offered locally, the Urban and Ultimate, each available in pure-combustion and petrol-electric hybrid form.2) MG MG3 - From $21,990, drive-awayWith competition from new challenger brands intensifying and the MG model line-up growing, the MG3 dipped in terms of year-on-year sales but still did enough to grab second spot under $25K with more than 8000 examples finding a new home.Three grades are offered here - Vibe, Excite & Essence - pure-petrol in all three with the option of hybrid in the upper two. 3) Hyundai Venue - From 23,000, before on-road costsNow a veteran of the ‘light’ SUV category the city-sized Venue remains a strong seller in Hyundai’s small car portfolio.In fact, sales were up a solid 14.1 per cent in 2025 to 7927. The range starts with the entry-grade at $23K, before on-road costs, with the Active and Elite above it. 4) Kia Picanto - From $19,190, before on-road costsA popular choice among city dwellers, the diminutive Picanto also ticked up in total year-on-year sales for 2025 to 7166.Sadly for micro car Verstappen wannabes the 1.0L turbo GT is a thing of the past, but the top-tier GT-Line Picanto brings some of its racy personality to the party. 5) Suzuki Swift Hybrid - From 24,490, drive-awayThe fourth-generation Swift has taken mild-hybrid form with its 1.2-litre three-cylinder engine featuring an enhanced starter/generator/electric motor picking up some of the slack in terms of powering the stop-start system and adding 60Nm of torque.Sales were down in 2025 to 3446, but there were still enough buyers to land the latest version of the city car icon in fifth spot. Australian Top 5 sellers under $25,000:
New Toyota Corolla takes shape
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By Dom Tripolone · 24 Jan 2026
The current Toyota Corolla is almost done for, it is eight years old now and a new version is just around the corner.Toyota previewed the next-generation small car at the 2025 Tokyo Mobility Show, with a head-turning concept car.A production version will feature watered down looks from the edgy and wild looking concept — as is the case with most concept to production transitions.New digital renders from KDesign AG on Instagram shows the next-gen Corolla adopting the company’s hammerhead design with its distinct C-shaped headlights, wide mouth frill and pinched front end.There aren't many concrete details on the new Corolla, but we know there will be something for everyone.It will be the new people’s car, available with the option petrol hybrid, plug-in hybrid, electric and even hydrogen power in the future.Toyota is working on a new series of turbocharged petrol engines, which could be installed in the petrol, hybrid and plug-in hybrid versions of the Corolla. These engines are supposed to be high output units that are compatible with carbon neutral fuels.The most obvious one would be the 1.5-litre four-cylinder unit, with the 2.0-litre motor rumoured to make up to 300kW when paired with hybrid power.The final look isn’t known but it will likely follow a similar design path as the Camry and C-HR, which is shown in the digital renders.The renders show the Corolla in a sedan shape, but it has a softer shaped rear end with the sloping rear roofline better integrated into the boot, giving it more of a liftback than sedan appeal.This new look also ties into recent images of a new Corolla-sized sedan in China.There is a good chance the Chinese version is different from the one we will see, as it is built by the company’s joint venture with FAW.It is not unusual for China to get unique looking vehicles compared to the rest of the world.Expect to learn more about the next-gen Corolla over the course of 2026.
This brand looks to China to speed things up
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By Tom White · 23 Jan 2026
The Renault/Nissan alliance will lean deeper into their ties in China for ultra-rapid vehicle development, according to a new report from industry source Automotive News.While Nissan has been open about its need to lean into its Chinese joint-ventures for rapid global vehicle development off the back of a range of successful models in China, its alliance partner Renault has started the process of decoupling from its Chinese ventures.However, the French giant maintains a development centre in Shanghai, established in 2019, from which it leverages the Chinese market’s speed and competitiveness to develop next-gen electric cars and hybrids.According to Automotive News the development cycle of these new models is just 16 months from concept to production, as part of a push by Renault to be more competitive with Chinese brands making rapid inroads into Europe.Brands like GWM, BYD, and Chery have ultra-rapid design cycles that often shorten generational changes to well below the usual seven-to-10 year mark that traditional automakers often stick to, with updates and facelifts regularly rolled out.The first models to benefit from the knowhow of the Shanghai development centre are a range of new city cars based on the upcoming Renault Twingo E-Tech. The electrified city car will spawn an equivalent Nissan (the next-generation Micra) and a low-cost spin-off for the Dacia brand.It will mean the Twingo is designed in France, built in Slovenia, with spin-offs developed in Shanghai.The model is the company’s most affordable mainstream electric car, with the equivalent of an AU$33,446 starting price in Europe. In the same vein as a BYD Atto 1, the Twingo is equipped with a 60kW electric motor, features 263km of driving range and has a relatively impressive 360-litre boot.Part of Renault’s mission with the retro Twingo was to reduce weight for an electric car, thereby having a lower rate of energy consumption and requiring smaller batteries which form a bit part of the cost. To that end, the city hatch has an LFP battery with just 27.5kWh capacity, which is smaller than some plug-in hybrids.The battery is so small the car doesn't even come with DC charging capability, but a 50kW DC port can be optionally equipped, reducing charge time to just 30 minutes. It can also optionally be equipped with a vehicle-to-load (V2L) function, allowing a power output of up to 3700W for external devices.It is unclear whether Renault’s Australian importer has designs on the Twingo, although it has previously stated it plans for Renault to be primarily an electric car brand going forward, earmarking re-badged Dacia models (like the recently-launched Duster) as the future of its combustion cars.Meanwhile, Renault has effectively exited the Chinese domestic market, wrapping up its joint-venture with Dongfeng. It has various strategic interests in Asia, including a partnership with Geely on a spin-off combustion engine business, Horse Powertrain, and it has re-configured its South Korean manufacturing base.Formerly Renault Samsung Motors, the Korean factory is now also a joint-venture with Geely, which produces new Renault models for the global market, as well as vehicles under the Geely umbrella, like the Polestar 4.Horse Powertrain, meanwhile, will build engines in Europe and China for Renault and Geely models, as well as for Dacia, Nissan, Mercedes-Benz, Volvo, Lynk & Co, Proton and even Mitsubishi.French brands have struggled to compete in Australia's new-car landscape that's being re-defined by aggressive Chinese carmakers.Renault sales were down 17.8 per cent by the end of 2025 compared with 2024, while arch-rival Peugeot fared even worse, down 28.8 per cent in the same period.Citroen, meanwhile, exited Australia in November 2024 after 102 years following a long period of slow sales.
Your next Toyota could be up to 30 per cent garbage
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By Tom White · 21 Jan 2026
Toyota is aiming to have its range of vehicles be at least 30 per cent built from recycled materials by 2030, as new EU regulations are expected to target more than just tailpipe emissions in the next decade.Toyota is focusing on recycled metals, such as re-forged steel used from crushed or deconstructed vehicles as part of an extensive ‘circular economy’ push and to reduce waste.A strategy document shows various initiatives Toyota will be undertaking, which includes up to 25 per cent recycled plastics used in new vehicles by 2030, a declaration on the content of recycled metals (including steel, aluminium and magnesium) for its vehicles by 2028, and future designs will be easier to deconstruct when they reach end of life.The brand flags 19 parts including catalytic converters, bumpers, EV batteries and motors to be designed to be easily removed from scrap vehicles and deconstructed future range of vehicles.Part of this push is to comply with existing and incoming European regulations on materials use and recycling for cars. Regulations around end-of-life products require 25 per cent of plastics used in cars to be from recycled materials, while battery regulations require “recycled usage rate” targets for key materials like lithium, cobalt, nickel and lead.In total, Toyota is “aiming to achieve a recycled material rate in its vehicles sold in Japan and Europe of 30 per cent or more by 2030”. The 30 per cent figure is not by number of parts but by total weight of the vehicle.The report notes there are easier gains to be made toward this goal in the recycling of steel in order to reduce new raw materials used, plastics, meanwhile, are much more difficult to process due to the differences in materials used, and volatile components within them which make them expensive to re-process into new materials.Thanks to this new initiative, Toyota’s Gosei plastics manufacturing subsidiary has developed materials with a 50 per cent recycled plastic content and performance equivalent to newly-made plastics, which it says is a world-first. Examples of this material being used are in the glovebox and grille-backing material in the new Euro-market Camry.Other new Toyotas using recycled plastics include the incoming new-generation RAV4 and the Crown Sport SUV.As the majority of Toyota models sold in Australia are built in Japan, we can expect at least some of its more popular vehicles the RAV4, Corolla, and Camry to be made of this 30 per cent-by-weight recycled materials.While the goals seem to apply at a global level for the brand, it is unclear at this stage whether the targets for vehicles built in Europe and Japan will also apply to vehicles built in Thailand, like the ever-popular HiLux ute.Other brands will have to have similar targets for materials recycling in order to continue to sell vehicles in Europe, with regulators also expected to come after other non-exhaust particulate matter, like tyre waste and brake dust.As a result, many manufacturers are experimenting with re-introducing drum brakes, which capture waste, or using brake systems that heavily rely on regenerative braking via electric motors with back-up friction brakes contained in the motor assembly (inboard brakes), rather than discs on the wheel hub.One of the leaders in the sustainability space, Polestar, issues a sustainability report claiming its new Polestar 4 has the lowest lifecycle emissions in its entire range, despite it wielding a massive 100kWh battery pack. The brand says this is largely due to advances made in using recycled aluminium and steel in the car’s frame, as well as renewable energy power used in its factory and by suppliers.Nissan is also aiming for a 30 per cent recycled material target, while BMW is aiming for a 50 per cent recycled material content by 2030.
New Mazda takes shape
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By Dom Tripolone · 18 Jan 2026
Big things come in small packages, and they don’t get much bigger than a new Mazda2.
Big brand's BYD hunter under consideration
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By Jack Quick · 16 Jan 2026
Kia only just revealed the production version of its EV2 light SUV, but it could soon be announcing details of something even smaller.As reported by Autocar, the South Korean carmaker is still continuing to study the possibility of a Picanto-sized electric vehicle (EV), likely to be dubbed EV1.“The whole industry is looking at how they make EVs more accessible. Of course we're doing that as well,” said Kia Europe Marketing Director David Hilbert to Autocar at the reveal of the Kia EV2.“We will continue to look at where the opportunities are and, obviously, it's called EV2 for a reason.“Longer-term, we continue to study the A-segment. Picanto is still an important model for us, and we continue to have a very important volume from that.”Last year Kia President and CEO Ho Sung Song told Autocar it’s doing its “homework” on an EV with a starting price under €25,000 (~A$43,300) to rival the likes of the forthcoming Renault Twingo and Volkswagen ID.1 city cars in Europe.If the EV1 does come to fruition it will likely go into production before the end of the decade.Hilbert’s comments also hint at this potential electric model being offered alongside the Picanto light hatchback. The current model dates back to 2017 and has now received two facelifts so it’s unclear whether a new-generation model is also in the works.At this stage it’s unclear whether Kia is pitching the EV1 as a European-only model or if it’ll be offered in its home market or other export markets, like Australia.Initially the Kia EV2 was alluded to as a European-only model, however it’s set to come to Australia in the second half of 2026.It’s produced at Kia’s Slovakian facility alongside the EV4, which is set to launch imminently in Australia in both sedan and hatchback body styles.If Kia does decide to bring the EV1 to Australia it will come up against stiff competition. BYD has just launched its new, entry-level Atto 1 electric hatchback which starts at $23,990 before on-roads, plus MG is soon launching the new, entry-level MG4 Urban.
CarsGuide's favourite premium small cars
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By Jack Quick · 16 Jan 2026
The small car segment, especially on the premium and luxury end of the spectrum, has been very tumultuous over the last few years with hatchback and sedan sales plummeting, while SUV sales have climbed astronomically.In order to combat this, as part of our ongoing 2026 CarsGuide Car of the Year awards, we’ve combined small premium passenger cars and SUVs into this segment.It’s worth noting that each shortlisted small premium car mentioned below is inclusive of the entire line-up, though its entry price must be under $80,000 before on-road costs for this particular category.The following is a rundown of our top 10 sub-$80K small cars in alphabetical order and why they made the cut. Our top three, including the category winner, will be announced on February 6.Note Mercedes-Benz's current A-Class, CLA and GLA were ineligible as they were unavailable for review.While many brands are fleeing this segment of the car market, this German small hatch and sedan is still offered in Australia in a wide range of trim levels and variants. Beyond the normal A3 variants, there’s the sporty S3 and the fire-breathing RS3.It notably made this shortlist due to the latter which is still offered with an iconic five-cylinder engine. However, we do wish it made just a bit more noise like the older models did.Beyond this, CarsGuide reviewers praised the A3 line-up for its capable and engaging driving dynamics, as well as its luxuriously equipped and premium-presenting interior.While the A3 hatch and sedan may be newer, the Audi Q3 small SUV has been soldiering on for a couple of years now without any major updates.The current model is reaching the end of its lifecycle and is set to be replaced by a new-generation model during 2026.Despite this, CarsGuide reviewers liked how the Q3’s exterior design is ageing, even in the polarising Sportback body style, plus the on-road manners are both elegant and fun.The new-generation version of the BMW 1 Series hatchback launched locally late in 2024, offering everything from everyday commuter trims to the M135 xDrive hot hatch.CarsGuide reviewers were impressed with its driving dynamics and outright performance, though fuel efficiency took a hit as a result.Additionally we liked the new and modern front-row layout, however the exterior design, especially at the front, likely isn’t for everyone.The X1 small SUV is the most popular BMW in Australia currently and for good reason.It launched locally in new-generation guise in 2022 to popular fanfare, then the all-electric iX1 variants joined the line-up in 2023, cementing its status as a benchmark small SUV.CarsGuide reviewers praised X1/iX1’s on-road manners, as well as the modern and high-tech exterior and interior designs. However, common European quibbles like tyre roar and suspension bumps can intrude into the cabin.The X2 is a swoopy ‘coupe’ SUV counterpart to the X1 small SUV and still notably offers both petrol and electric (iX2) powertrain options.While its exterior design is polarising and not for everyone, CarsGuide reviewers appreciated how polished the drivetrains feel from behind the wheel. The X2/iX2 is also affordable when compared to premium rivals from the likes of Mercedes-Benz and Volvo.The few dislikes were centred around the X2 M35i xDrive’s firm ride due to its large (and thankfully optional) 21-inch alloy wheels, as well as the slight reduction in boot capacity over the X1/iX1.This spicy Spanish small crossover SUV is the clear front-runner for Cupra in Australia. Arriving in 2022, the Formentor is offered in a range of variants from warm to hot, plus even a plug-in hybrid (PHEV) offering.CarsGuide reviewers appreciated the lifted hatchback looks and the smile-inducing driving dynamics, however some found the multimedia system to be a little finicky and the ride a little too far on the firm side.An oft-forgotten entrant in the small SUV segment, this quirky French electric SUV impresses with its sleek design, maximised interior space and reactive driving feel.There is currently only one trim level of the Megane E-Tech offered in Australia, the Techno EV60, and it’s limited by its 7.4kW maximum AC charging rate, plus the lack of features like connected services that are available overseas.A huge step away from the iconic Fortwo of the early ‘00s and ‘10s, the Smart #3 is the brand’s largest car in Australia to date.With unique looks and a premium cabin feel, the #3 impresses though the driver-assist features can be a little overbearing and the panoramic glass sunroof has no sunshade.More sore points are the average warranty coverage of five years or 150,000km, as well as the hefty servicing costs for an electric vehicle.While a number of these shortlisted vehicles are high-tech or electrified offerings, the Subaru WRX stands out as a purist sports car.Still featuring a turbocharged four-cylinder boxer engine and a manual transmission in certain trim levels, the WRX is offered in sedan and wagon body styles.CarsGuide reviewers praised the WRX’s dynamism, practicality and even value when compared to rivals with similar amounts of power. However, the WRX Sportswagon only comes with a continuously variable transmission (CVT) and doesn’t look as sporty as the standard WRX sedan.This vibrant and quirky Volvo electric SUV stands out on the road thanks to its stunning exterior design with boxy proportions.The interior also stands out, but sometimes not in the best of ways. CarsGuide reviewers found too many of the key features are tucked into menus on the central touchscreen, plus the lack of a proper instrument cluster was grating.
Australia’s best small cars under $50K
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By Chris Thompson · 16 Jan 2026
While utes and family SUVs dominate the top ranks of the sales charts, small, affordable cars remain extremely important to anyone who doesn’t need so much car.That’s why it’s one of the key categories we’re paying attention to in the 2026 CarsGuide Car of the Year (COTY) awards, in this case specifically those models with entry prices below $50,000.Rather than just hatchbacks and small sedans, we’re including small SUVs in the category given the dwindling number of hatches on sale, and consumer tendencies to opt for a small SUV, even as a first car.Based on review data from our team of journalists, our shortlist of 10 finalists below (in alphabetical order) is a broad group with some interesting variety in their offerings.And, as you’ll notice, the cars eligible for the award don’t necessarily have to be new as of this year - they just need to be on-sale as of January 1, 2026, with a variant under the $50K mark.This category's winner and two runners-up will be announced on February 6, 2026. The Hyundai i30 has been a favourite for years, with its current-generation hatch nearing a decade old. From first cars to fleet cars and hire cars and even sports cars, the offering is broad.But there’s a recent development that judges have strongly considered, and that’s the discontinuation of the standard i30 hatchback in Australia. The well-liked but less popular sedan and the spicy N versions in both hatch and sedan have all been enough to secure the i30 a place amongst the finalists, though.We’re fans of the i30 Sedan, formerly the Elantra, for its packaging and its efficiency in its hybrid form, and the N version has been widely regarded as one of the best-value hot hatches in the world. With pricing from $29,250 before on-roads and the hybrid only $4000 more expensive, the i30 Sedan offers up decent value for money. Even the N only just sits over the $50K mark with its $52,000 starting price. Extremely strong points for the judges to consider.Well-loved by the CarsGuide team, the Kia EV3 is as good as we wish the larger and better-selling EV5 was. But Kia’s small electric SUV faces strong competition from cheaper entrants from China that offer strong showroom presence.Starting from $47,600 before on-roads, the EV3’s line-up stretches to a hefty $63,950, but most agree the base model is the smartest buy as well as the nicest to drive. Key points that have drawn judges to the EV3 are its cute (but not tacky) styling, its clever packaging, and the useful but not extravagant features.It’s one of the more expensive competitors in our finalists, and it’s being outsold by rivals quite convincingly, but the CarsGuide COTY doesn’t reward showroom figures. Game on.Like the i30 earlier in this list, the Mazda3 is a veteran of the new small car market, with its current generation having been unveiled in 2018.Once seen as pricey compared to rivals, the Mazda3 is now a rather budget-friendly option as cheaper cars have disappeared over the years - and its sleek styling has held up nicely to boot.Starting from $31,310 before on-roads, the Mazda3 has gradually changed with the times, having been through a couple of tech and line-up changes. The hatch and sedan both offer up a competitive front-row environment and engaging dynamics, and despite its age is still one of the best-selling small cars alongside the i30, both trailing the ever-popular Toyota Corolla.Judges have always noted its small boot and lacklustre rear seat, but the former still beats the Corolla and there aren’t many truly spacious second rows in hatches. Is standing out where it matters enough for the judges?Furthering the mix of old and new in the finalists for the category, the MG S5 EV has found favour with judges for backing up its excellent first impressions.Newcomers in the field of budget small SUVs have tended to disappoint, especially dynamically, but the CarsGuide team was impressed by not only how the MG S5 fares compared to the brand’s earlier efforts, but also how it performs even without comparing it to other MGs.Available from $40,490 drive-away and costing just $47,990 for its top-spec variant, its extremely competitive price and solid list of features bolster an already strong offering.Scoring highly in every category across CarsGuide’s review format, the MG S5 EV shouldn’t be considered an underdog in the COTY fight. Mini, even with its less traditional models, is near-universally loved. So it should be little surprise that one of its new models sits in this list.The Countryman is now available in both petrol and electric, though its starting price is a hefty $49,990 before on-roads for the base Countryman Core. That means it just sneaks into this COTY category, even if getting into its EV version starts from $64,990.Still, Minis are rarely on shopping lists for their value offering, and the Countryman offers impressive tech and features, plus dynamic driving and of course that fun Mini styling.In a category where value and convenience are key, it’ll be a hard sell, but the current Countryman is essentially a BMW for less money, and arguably more interesting. Take that into consideration, and things are looking up.It’s been a big couple of years for the Qashqai, with Nissan’s small SUV scoring a big facelift quite quickly after its current third generation showed up. In early 2026, the Qashqai will go hybrid-only and start from $45,640 before on-roads with its front-wheel-drive-only, 140kW e-Power hybrid the only option. But its petrol offerings fell within the bounds of the COTY judging timeline, and so are also part of the consideration.Attractive styling, smooth power delivery and handling, and a now up-to-date interior with practical features all contribute to a convincing package, but the imminent loss of its petrol-only models will mean the Qashqai is set to become around $10,000 more expensive than before at its base level.Nissan’s extremely competitive ownership offering (the warranty is 10 years and 300,000km if you service with Nissan, five-year/unlimited kilometres otherwise) makes the Qashqai even more tempting. Ticking a lot of boxes there.Stylish, niche, quirky… French. The Peugeot 308 in its current generation leans in hard to all of these things, not least because it’s only available in a single, high-spec hybrid variant for $48,990 before on-roads.It’s gorgeous inside, outside, and to drive, but it’s cursed with limited commercial and perceived value appeal - only 88 were sold in 2025.The 308’s features list is strong enough to rival much more expensive alternatives, and its strongest points in terms of dynamics are most likely to appeal specifically to driving enthusiasts.There’s a lot to like about the Pug 308, it’s just that most people forget it exists. A CarsGuide COTY trophy in the cabinet would surely help with the latter issue…Toyota’s baby icon has gone through some changes lately. In the last few years, we’ve seen it grow up from the simple, affordable ‘first-car’ option it once was to be a simple, much less affordable option. Oh, and now there’s a version of it that’s basically a rally car for the road.A Yaris used to be something you could reasonably buy new as a teenager if you were thrifty, now it’s a $28,990 (before on-roads) option at its entry level thanks to its increased level of safety kit and having gone hybrid-only,Fortunately, it’s still an excellent light car, and even though it’s outsold by all its rivals it still does exactly what a city car should do - getting you around efficiently and with no fuss.In terms of how it snagged a spot in the finals for this category, it helps that the GR Yaris hot hatch is one of the two best drivers’ cars Toyota currently builds.Getting into a German SUV doesn’t have to be an expensive operation, and the $34,990 starting price (before on-roads) for the VW T-Cross is proof. Even the top-spec R-Line comes in at $41,490, and the features list is healthy.To boot, the T-Cross is fun to drive, and judges enjoy its practicality inside, plus the sharp styling outside.While not as efficient as some in its class, nor as cheap to own in terms of servicing, the T-Cross offers a step-up from rivals in the class that are seen as practical budget offerings.Still, its last update was in 2024, so it’ll have some work to do to convince judges it’s still up to date.Alphabetically, and probably in terms of public familiarity, the last to make the shortlist is the Zeekr X, a small electric SUV designed in Sweden but built in China.Cousin to the Volvo EX30 and Smart #1, the Zeekr X has good pedigree and the performance to back it up.Liked by judges for its value, bold style and on-road performance, the Zeekr X is one of the bigger unknown quantities in this COTY category.A recent price cut makes it a $49,900 offering before on-roads, meaning it only just slips into the sub-$50K contest, but with its list of features it should prove a compelling contender.
Sleek new variant for 2026 Kia K4 revealed!
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By Chris Thompson · 15 Jan 2026
Kia has unveiled a wagon version of one of its newer small cars to provide a more spacious option.If a hatchback is too small, the 2026 Kia K4 Sportswagon is here as a sleek new long-roof, with the stretched hatchback now revealed globally.Two powertrains (one with a manual gearbox!) and a range of features from the other bodystyles appear in the European specifications for the new baby wagon, but there are some clues as to whether the Sportswagon is likely to come to Australia.The small car is now 4695mm long in its new form, and there’s 166 litres more storage space in the rear (now up to 406L), though plenty is shared with the hatch and sedan versions.In Europe, a turbo 1.0-litre petrol engine will be available paired with a six-speed manual - unlikely to launch here given a lack of love for three-pedal driving in Oz - while a more powerful 1.6-litre turbocharged four-cylinder engine is paired with a seven-speed dual-clutch automatic, the same as available in the hatch or sedan GT-Line in Australia.Kia says a hybrid variant is also on the way, which could mean the 2.0-litre four with a CVT auto available on lower grades in Australia is unlikely to feature in the EU.“With the K4 Sportswagon, we are extending the appeal of the K4 to customers who value space and versatility as much as they are interested in design and technology,” said Sjoerd Knipping, Chief Operating Officer of Kia Europe.Other elements confirmed for the K4 Sportswagon are unsurprisingly similar to existing body styles with a trio of screens comprising a 12.3-inch driver display, a 5.3-inch climate display, and a 12.3-inch multimedia touchscreen dominating the cabin.There’s no word on local availability yet, but given the limited appeal of wagons for most Aussie car-buyers, the chances seem relatively slim.Kia only recently introduced the K4 hatchback to Australia in November 2025, bolstering the model range that was previously only available in sedan variants.For those, the Kia K4 starts from $32,090, before on-roads, regardless of body style.
Australia's favourite EVs released
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By Tim Gibson · 15 Jan 2026
Uptake of electric vehicles stepped up again in 2025.