Toyota Yaris 2026 News

Toyota is in danger of being overtaken by BYD.By retreating upmarket, it also risks losing the loyalty of a generation of buyers, especially younger ones, destroying the bedrock of the brand’s success in Australia.Toyota is still the world leader and dominant force in Australia, but that could all fall apart if it gets complacent.Yes, Toyota has been number one every year since 2003, and remains the richest car company in the world after Tesla.But BYD and other Chinese brands like Chery are cutting its lunch.Toyota’s year-to-date (YTD) sales have tumbled 20 per cent, from 142,700 to 115,550 units, while market share has shrunken from 20 per cent to 16.3 per cent.In contrast, BYD’s YTD sales have jumped, from 28,000 to nearly 61,000 units while share has expanded from 3.9 per cent to 8.5 per cent.Toyota assumed its premium, hybrid-heavy strategy would prevail.But BYD’s cheaper electric vehicles (EVs) and plug-in hybrid EVs (PHEV) are both more affordable and available, while Chery, MG and others clean up in the sub-$30,000 drive-away classes that Toyota abandoned in 2024. Coincidence?Reportedly sitting on a $A96.5 billion war chest, Toyota can shore up customer loyalty by once again offering more-affordable vehicles that Australians want.Playing the long game, not the wrong game, the Japanese brand’s models already have the reputation for reliability, durability and quality required to remain number one.We understand. Today’s Yaris from $29,190 before on-road costs is measurably superior to its 2019 predecessor. But that’s a moot point for buyers who cannot stretch another $10,000-plus to own one.Here, then, are the Toyotas we reckon Australia needs right now.Although it is an all-new model in a segment Toyota has not bothered with for decades, the LandCruiser FJ is anything but ‘all-new’ underneath.Derived from the IMV architecture that is already two decades old beneath the HiLux, this compact SUV is a Thai-built body-on-frame, off-road-ready 4x4 with the Suzuki Jimny in its crosshairs.Surely that makes the LandCruiser FJ a natural for Australia?Well… no. The biggest drawback seems to be the equally ancient 2TR-FE I4 2.7-litre four-cylinder petrol engine that Toyota had to drop from the latest HiLux range due to non-compliance with our increasingly tough emissions.There is speculation galore about a hybrid alternative happening sometime in the future, and – if true – then that’s what we would expect a locally bound LandCruiser FJ to be powered by.It seems unfathomable Toyota would create an SUV with classic FJ40 retro design cues, yet not engineer a powertrain suitable for LandCruiser-obsessed Australia.As a BYD Atto 2 beater, this hybrid is a no-brainer.Japan’s second best-selling vehicle YTD after the Yaris/Yaris Cross duo on which it is based upon, Sienta is a portmanteau of siete, Spanish for ‘seven’, and ‘entertain’.And there-in lays this Toyota’s appeal.Essentially a Yaris MPV that majors on packaging, it features sliding doors and space for up to seven (hence the name), with the optional third-row seating ingeniously dropping underneath the middle bench for an instant big cavity.Along with Sienta’s eye-catching Fiat Panda-esque design and capable Yaris underpinnings, it is little wonder both hipsters and artificial-hip buyers alike have fallen for the tall-boy Toyota’s charms.Finally, a growing army of ex-Japan used imports here is further proof of concept.Developed and built by Toyota sub-brand Daihatsu (which markets it as Rocky – a tiny but tough off-roader in the style of the Suzuki Jimny), the Raize would slip in as an entry-level high-riding crossover.At round four metres long, this chunky, high-riding, monocoque-bodied urban crossover employs a unique, lower-cost architecture to help keep prices down in the South East Asian region, without scrimping on safety tech.This would make it ideal as a sub-$30,000 light SUV targeting the likes of the BYD Atto 1, Hyundai Venue and Mahindra XUV 3XO.Engine options include a 1.0-litre three-cylinder petrol or 1.2-litre hybrid version.A podium seller in Japan this year, the Raize is another used import from appearing on Australian roads, and it’s not difficult to see why.The original Prius of 2001 was a toe-in-the-water exercise in Australia. Its 2003 and 2009 successors proved to be successful brand builders as hybrid pioneers.But the 2016 redesign was so insectoid in appearance that buyers were repelled en-masse, despite being the first of the vastly-improved TNGA-platform Toyotas available here.That’s why the company passed on the fifth iteration locally, but what subsequently surfaced remains one of the most beautiful modern hatchbacks of this decade.Nowadays, with the dramatic uptake of PHEV as well as hybrid vehicles, Toyota admits it is gunning for the Prius’ return as a result, but it may take a while yet.Great design is timeless and, even from $40,000 as a BYD Seal 6 PHEV rival, the latest Prius would attract plenty of non-traditional Toyota buyers.It seems inevitable that a Grand Kluger will eventually appear in Australia, but when is the big question.Built in the USA as the Grand Highlander, this is a larger and longer take on the existing Kluger/Highlander model that it has essentially usurped.Born to battle the ultra-successful Kia Telluride and Hyundai Palisade in North America, the grandest of Toyota’s on-road SUVs is a far-roomier – and prettier – big family hauler as a consequence.It is also soon to be joined by an unrelated, all-electric SUV taking over the regular Highlander name and production line – a decision that was clearly made before the current, anti-EV US administration came into power.This mean the days of the current Kluger as we know it in Australia seem to be numbered, with no hybrid replacement in sight – except for a right-hand drive version of the Grand Highlander.The perfect foil for the BYD Sealion 8 PHEV!

We are living in an unprecedented era of automotive innovation and change that is constantly reshaping what and how we drive.For that we should be grateful, since the ongoing electrification of everyday cars, SUVs and utes means we have cleaner air, quieter streets, safer vehicles that are cheaper to run and less reliance on petrol stations.But in Australia, we’ve also lost as well as gained due to this relentless march of progress.For proof, look at any new-car guide from 10 years ago. What’s gone is shocking.Here are seven reasons why motoring in 2016 was better than it is today.In 2016, Australians could buy a handful of new small cars costing under $20,000 when converted to today’s money.Sure, we’d steer clear of the Mitsubishi Mirage from $11,990 and Holden Barina Spark from $12,890, but the Suzuki Celerio from $12,990, Nissan Micra from $13,490 and Honda Jazz VTi, Hyundai Accent Active, Mazda 2 Neo and Toyota Yaris Ascent from $14,990 apiece back then all offered comfortable, capable and reliable transport for not much money.But the only new car under $20,000 in 2026 is the Kia Picanto Sport manual from $19,190 (all prices are before on-road costs unless otherwise stated), though the MG 3 Vibe from $21,990 drive-away is actually marginally cheaper in some states after taxes.Plus, all the old entry-level small cars have vanished from Australia except for the Mazda2 (which is essentially exactly the same car) and Yaris (one generation newer), coming in at a rude $27,290 and $29,190 respectively today.It’s worth noting that a number of light SUVs do cost less than the cheapest back in 2016 (Mazda CX-3 Neo manual from $19,990, or nearly $28K today), including the Chery Tiggo 4, MG ZS, Hyundai Venue, Mahindra XUV 3XO, GAC Emzoom, Jaecoo J5 and Haval Jolion, but still cost more than the aforementioned small cars did a decade ago.At the start of 2016, there were 36 small cars of Toyota Corolla size available in Australia; that number has halved today. And they’re hanging around a lot longer than before.Toyota recently announced that it was extending the lifespan of most models from seven to nine years.We’d already noticed. The current Corolla launched in 2018 and is still going. The previous one was done in six years, while four years was common before that.Meanwhile, the Mazda 2, CX-3 and Mazda 3 arrived in 2014, 2015 and 2019 respectively and are still on-going. The Hyundai i30 hatch surfaced in 2017. As did the existing Volkswagen Polo. And even today’s VW Golf 8.5 is a reskin of the 2012 Mk7.What’s happened? Buyers have abandoned passenger cars for SUVs, so carmakers have been forced to keep their models in production longer for a better return on investment. Or, as in Ford’s case with the Fiesta, Focus and Mondeo, they drop them altogether, relying on utes and SUVs instead.In 2016, buyers could purchase a new large, rear-wheel-drive family car designed, developed and built in Australia, like the Ford Falcon or Holden Commodore from under $50,000 in today’s money, or the slightly-smaller, front-drive Toyota Camry-based Aurion as a locally-made alternative.Along with the Skoda Superb that is the only one left standing in 2026, all were defined by their size, space and power.Too large for you? There were another 16 mid-sized sedans that offered almost as much, for a little less. Camry, Honda Accord and Hyundai Sonata are the only names that are hanging on today.Chrysler, meanwhile, imported the 300 series, while in the upper-large segment, the Holden Caprice faced the Hyundai Genesis and, from the following year, the woefully underrated Kia Stinger. Such sedans are now history.Likewise, consumers can no-longer buy a monocoque-bodied workhorse/weekend-plaything ute as defined by the Holden and Ford Falcon utes, though the KGM Musso EV is the start of something new.And there’s more. Where have all the coupes gone since 2016? There were nearly 30 under $100,000. Why are there only four convertibles left under $100K? And from a dozen people movers under $60,000, that number has also plummeted to four, losing icons like Tarago, Odyssey and Stavic along the way.All have been replaced by dozens of EVs in hatchback, liftback/sedan or SUVs of differing sizes, with sleek, homogenised silhouettes, screen-heavy dashboards featuring minimised buttons, silent electric powertrains and every shade of white through black, or silvery blues, greens and browns.Just remember: 20 years ago, your Commodore could be had as a sedan, wagon, Monaro coupe, Adventra crossover wagon, ute, cab-chassis, Crewman dual-cab ute and long-wheelbase Statesman or Caprice, in regular or HSV performance upgrade guises, some with all-wheel drive and all with V8 options to the standard V6, with the latter also offering a liquid petroleum gas alternative. Today Holden is history.Besides the locally-designed and developed Falcon and Commodore, we also had the Falcon-derived Ford Territory to call Australia’s Own (and only-ever) SUV.These vehicles, along with the T6 ute-based Ford Ranger, Ford Everest and Mazda BT-50 made in Thailand and elsewhere, were created and engineered across this country, and were thus better-suited to our environment than their imported alternatives.And many supported Australian suppliers as a result. Most of all that has now since also gone.This one’s heartbreaking for car enthusiasts – or those who want to feel more connected with their vehicle.In 2016, we counted over 170 different makes and models available with a manual gearbox. Today that number is down to around 30 and falling.Both tallies include everything from Morgans to Mahindra Pik-Ups.Earlier we said the least expensive Toyota today – the Yaris – started from nearly twice as much as the 2016 Ascent manual’s $14,990. At least it’s a much better model than back then. And hybrid to boot.But that’s nothing compared to how much the least-expensive new Ford costs today.The 2016 Fiesta Ambiente kicked off from $15,825 (about $21,300 in 2026), while its cheapest passenger vehicle equivalent today is the Everest Active 4WD SUV from $58,990.And if it’s a non-commercial vehicle-based Blue Oval product you desire, that would be the Mustang Mach-E Select from $65,990.The proliferation of touchscreens, with their distracting sub-menus and absorption of buttons that would previously have controlled the climate system, drive modes, side mirrors or even the glove box, has been so widespread – and we have Tesla to thank for starting this craze – that independent safety organisations like EuroNCAP now penalise new vehicles it tests that do not offer clear and unimpeded access to important functions.You wouldn’t read a book whilst driving along a highway. Staring at a screen instead of the road is much the same thing.The 2026 Toyota RAV4, meanwhile, scores highly for its user interface but then drops the ball with an infuriating trigger-happy and never-ending driver-distraction warning. No thanks.Countless other new vehicles suffer from advanced driver assistance systems (ADAS) interference technologies. Designed to help, they also serve to harass and annoy the driver, leading to greater fatigue and further risk of distraction.Stupid electronic door handles that just do not work intuitively are another sore point, as is the deletion of a spare wheel because the electrification technology takes precedence over personal security when stranded with a blowout far away from home.Thoughtless excuses to help carmakers save money, this is not progress but the devolution of the car we never saw coming back in 2016.

Toyota has confirmed it will introduce a first-ever fully-electric Yaris hatch alongside the hybrid and petrol versions. Toyota’s European Vice President of Strategy and Marketing Andrea Carlucci said in an overseas interview the brand will look to embrace electrification in the segment.“If electrification is the direction, I think we cannot avoid having a fully electrified version ,” Carlucci told Auto Express.“The ideal path is to offer a platform where we have multi-energy options, so delivering different powertrains that are the right solution for every customer. “Let me put it to you this way: a multi-energy approach isn’t just one solution. It has to be the solution.”There is no official news yet on whether we will see the electric Yaris in Australia, but it could be a welcome addition for the brand. Toyota currently has only one all-electric vehicle on sale, which is the bZ4X, while an electric HiLux is also on the way. An electric Yaris gives Toyota a competitor in the growing electric hatch segment, and would be expected to be the brand’s cheapest EV. It would take on the likes of the recently-unveiled Volkswagen ID. Polo,  which could be on the cards for Australia, as well as Chinese rivals such as the BYD Atto 1.Toyota Australia said it was not able to confirm the arrival of the electric Yaris yet. Starting at under $30,000, the current hybrid-only Yaris is the cheapest car for Toyota in Australia, but any electric version is expected to be a decent step up in price.One potential roadblock for the Yaris EV getting to Australia is where it will be sourced.It will first launch in Europe and will likely be sourced from Toyota's factory in France. European budget car imports to Australia are often prohibitive due to high costs of shipment and other applicable tariffsThe Yaris currently available in Australia is sourced from Japan, which usually does not incur the same shipping costs as from Europe, meaning it can be offered at an affordable price point. Any new Yaris is not expected until 2027, when the new-generation hybrid will launch, with the electric version potentially not arriving until 2028.

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. 

Toyota dominates the new car market thanks to an expansive line-up of models that spans from the pint-sized Yaris hatch to the jumbo Toyota LandCruiser.