Subaru WRX 2026 News

Are we headed for a world where petrol is only the fuel of the rich, powering their hypercars and luxury super SUVs? It certainly appears that way. And I don’t like it…This week the car world achieved a major milestone - the average global price of electric vehicles fell below that of hybrids for the first time. And before too long we’ll see the average price of EVs drop lower than the price of petrol cars.There’s nothing wrong with that - we’re watching the evolution of the motor car, and a change in buying habits and taste in real time.What could supercharge this process and fundamentally change what fuel we use, however, is the volatility of petrol prices which have spiked dramatically due to the conflict in the Middle East. Covering car news each day is revealing a trend and I’m not too sure I like it. High-performance and luxury car brands are doubling down on their fossil fuel focus, while mainstream brands are pushing the limits to make the most affordable electric cars.At the start of this year BMW announced it would reverse its decision to pivot away from petrol and return to producing V8 and V12 units due to their customer demands.Rival brand Mercedes-Benz did the same thing and scrapped its plan to go completely electric by 2030 and dived back into making V8s.Porsche, too, changed its mind after receiving a walloping from customers who made it very clear that Porsche to them meant power from petrol, not power from the electricity grid.Lamborghini also did an about face on EVs at the start of this year and went back to petrol, adding a hybrid system but only to make more mumbo.Yep, Lamborghini replaced its V10 Huracan which made 470kW with the V8 Temerario which makes 588kW plus another 220kW from its electric motors.Then there’s the mysterious case of Ferrari giving us the breathtaking 12Cilindri with yes a V12, which was closely followed by the even more gorgeous V8 Amalfi, before giving us the all-electric Luce which hurts to look at directly. It’s as if the brand was sending us some kind of message coded in ugliness about being asked to do something against its will. Of course the super high end brands appear completely unconcerned by prohibitively high petrol prices affecting sales or the climate.Bugatti announced an end to the reign of its enormous 8.0-litre quad-turbo W16 engines in its cars like the Veyron and Chiron, but before we could even think it was going green trumpeted in almost the same breath that it was doing V16s instead.Which it did with its current Tourbillon hypercar that houses a monstrous 8.3-litre V16 engine. Yes it has a hybrid system with electric motors but it’s not to save fuel, it’s to make more power. If you were to ask bespoke high performance vehicle maker Hennessey if it had electric cars the response would almost certainly be, “never heard of her." The brand just unveiled its US spy plane-inspired Blackbird hypercar with a naturally aspirated V8 and positioned it as the kind of vehicle that allows drivers to cover 1300km a day.Just days ago Aston Martin ran into the room boasting it was delaying its EV plans because it had found a loop hole which meant it could keep making V12s. The loop hole being that the brand had to keep V12 sales under 1000 a year.Low volume sales aren’t a worry for brands like these - not when an Aston Martin Vanquish costs more than $700,000. And unlike you and me, that's not the owner's only car… it joins a garage with five other cars in it… at least. Yes we’re talking millions of dollars and all petrol-powered.Meanwhile, the rest of us are trying to work out how we can get into an electric car for less than $40,000 because chaotic fuel prices are hurting us and we’re worried about the future resale value of petrol cars. I’m also highly concerned about the air that my children breathe and the thought of having a car powered by burning oil that just to drives to shops, school and work sounds more and more preposterous to me. It’s like having kerosene lanterns in every room of your house rather than light bulbsTo be completely clear, though, I love petrol performance cars and detest electric performance ones. Petrol has a place.My fear is that petrol’s happy place in performance cars will eventually exclude me as the fuel becomes more expensive, rarer and the food of exotic beasts I can’t afford.So what’s left? There’s the Cupra Leon VZx, Ford Mustang, Honda Civic Type R and Prelude, Hyundai i30N, Mazda MX-5, Nissan Z, Subaru WRX, Toyota GR Yaris and GR Corolla and VW Golf R.Watch these models closely, because they are the final 'affordable' petrol performance cars and they are all now endangered.    

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.

With Subaru having shown off its new Performance-E and Performance-B STI concepts at the Japan Mobility Show 2025, its five-model showcase appears to now represent something of a future outlook for the brand.

Subaru to reveal performance duo in Tokyo