hatchback

The Geely EX2 is already due for fresh competition in Australia. GAC has confirmed a cheaper variant of its Aion UT electric hatchback will be coming to Australia before the end of the year. The Aion UT launched in April 2026 as GAC’s affordable EV option, starting from $31,990, before on-road costs.It trailed cheaper rivals the BYD Dolphin ($29,990) and Geely EX2 ($26,490) on the sales charts in July.GAC has big ambitions in Australia, with a new base Aion UT expected to narrow the price gap on its closest competitors. The ‘short-range’ Aion UT will have a smaller 44kWh battery compared to the 60kWh unit found in the current grades on sale Down Under. It will offer a driving range of 320km, according to WLTP standards, compared to 430km available on its more expensive siblings. GAC has not revealed output figures for the car, but overseas variants have a front-mounted electric motor making 100kW/145Nm, down from 150kW/210Nm on current Aussie stock.  The cheaper Aion UT could also forgo some of the features on up-specs variants, but more details will be confirmed close to launch. The car has been officially earmarked for Aussie arrival in late Q4 2026, but CarsGuide understands it will launch specifically in December.There is no official news on how much GAC’s new Aion UT variant will cost, but the brand is eager for it to compete with the cheapest rivals on the market. We know it will be offered from less than the $31,990 price tag attached to car's current base grade.It starts in China from 102,000 yuan (or about $22,000), but models imported into Australia usually inherit a 20 per cent hike, so it is more likely to be priced from around $27,000-plus.

The new MG4 EV Urban offers an affordable entry point to electric car ownership but does it have the right mix of price, practicality and performance to be a standout for small car shoppers in the BEV market?

Where are you right now? Because that’s where you were when you found out that the price of EVs globally fell below those of hybrids in this historic first for the auto industry.According to a report from car industry analytics company Mobility Global which studied pricing automotive data from around the world the average price of electric vehicles has not only fallen dramatically but has now even dropped below that of hybrids.The report shows that the average global price of an electric car is $52,373, a decrease of nine per cent compared to 2020 EV prices. At the same time the global average price of hybrids increased to $55,204 making them more expensive than EV for the first time.Mobility Global cites the lower cost of EV batteries and the rapid expansion of affordable Chinese electric vehicles on offer as the main drivers of the price decrease.The price of lithium which goes into high-voltage EV batteries has dropped due to a surplus in China which controls about 80 per cent of the market. The cost of an EV’s battery accounts for about 40 percent of the car’s total build price. The lower lithium prices have caused the price of batteries to drop by an estimated 37 per cent since 2020.Australia has recently seen an enormous uptake of EVs. June and July this year saw EV sales break records, securing more than 20 per cent of the market in both months.  While prices have fallen vastly in Australia CarsGuide calculated the average price of EVs is still slightly above those of hybrids locally. Using pricing data from August, 2026 CarsGuide calculated the average price of battery electric vehicles to be approximately $100,135, down from approximately $104,091 in August, 2025. We also calculated the average price of hybrids (including plug-in hybrids) in August, 2026 - approximately $93,767, that’s down from approximately $98,682 in August, 2025.Sounds high? Well, as a reference point CarsGuide also found that the average price of petrol cars in Australia is approximately $90,545.All figures were calculated by dividing the sum total of prices for each category (BEV, hybrid, petrol) by the number of models (including the variants) within the category. That means even the super high end models are counted along with the very cheapest.Still, the price of EVs in Australia has never been so low. The BYD Atto 1 is the most affordable electric car in Australia at a list price of $23,990 for the Essential grade. This is followed by the Geely EX2 Complete for $26,490, the BYD Dolphin Essential at $29,990 and BYD Atto 2 for $31,990.  

Geely has powered up the sales chart in July, making the top 10 best-selling brands for the month.The Chinese brand launched in Australia in March 2025, and has approached the local market with a more methodical approach than its competitors. It has only introduced three models so far, contrasting BYD that already has more than 10 models on sale since its distribution takeover in July 2025.Despite this relatively small footprint, Geely captured 3.6 per cent of total new car sales in July.Geely has grown by more than 500 per cent in the first seven months of the year, compared to the same period in 2025.  Geely's success has largely been driven by the EX5 electric mid-size SUV that managed 2034 registrations last month - its best month yet. The Toyota RAV4-sized EX5 is Geely’s best-selling car on sale in Australia, with nearly 9000 sales so far this year.Starting from $41,990 (before on-road costs), it continues to outsell the smaller BYD Atto 3 ($39,990) and eat into the sales of petrol rivals such as the Mazda CX-5 ($39,990).There are limited other fully-electric rivals with similar dimensions to the EX5, potentially giving it an edge in showrooms. It’s not just the EX5 selling well for Geely, with its smaller EX2 sibling registering 474 examples in its first few weeks on sale.The brand only introduced its new hatch with a sharp $26,490 price tag in late July, making it one of the cheapest electric cars on the market. The EX2, which is the most popular car in China, even managed to shift more units than the BYD Dolphin ($29,990) in July.The Starray Em-i plug-in hybrid mid-size SUV is Geely’s other model on sale in Australia, also enjoying a strong sales return, with 1177 units finding new homes last month.It poses as a direct threat to the BYD Sealion 6 ($42,990) and the recently-launched Toyota RAV4 plug-in hybrid ($59,515), but is noticeably cheaper at $37,490. Geely will continue to introduce new models at its own pace, with potential for some activity before the end of the year.  The brand is expected to launch a mid-size and a large SUV in the first half of 2027, followed by the Emgrand plug-in hybrid sedan later on in the year. The Galaxy Cruiser large rugged 4WD is also expected to land Down Under before the end of next year. 

Smart, the electric brand formed by automotive power couple Mercedes-Benz and Geely, is hinting that the arrival its smallest car the #2 is near as colour murals appear around the world including Australia.Paris, Shanghai, Hong Kong and Melbourne have all seen advertisements in the form of hand painted murals pop up in their cities recently.Melbourne’s version features the small red two-door hatch against a backdrop of the city’s landmarks including Flinders St Station and a tram with the tagline “It’s back #2.”The only Smart models currently available are the #1 small SUV and the #3 mid-sized SUV. The “It’s back” tagline is referring to the original Smart Fortwo tiny hatch which was popular in Australia when the brand first landed here more than 20 years ago.The Smart #2 is only 100mm longer than the original Fortwo at a diminutive 2792mm end-to-end and also has just two seats but this time around it will be a bench seat which the company says creates more cabin room.The little city hatch will be fully electric and is expected to have a 35kWh battery and about 300km of driving range from a full charge. Fast DC charging from 10-80 percent will take just 20 minutes, Smart says.Smart Global CMO Kang Yi, said the Smart #2 was designed to express individuality and playfulness.“The Smart #2 is the evolution of a revolution,” he said “We designed this vehicle to bring playfulness, premium sophistication, and effortless agility back to the modern urban jungle. By teasing our defining halo product through this unconventional artistic exposure, we are building immense anticipation for its return and showcasing our commitment to creating vehicles that are not just means of transportation, but true expressions of individuality.”The Smart #2 will make its global debut at the Paris motor show in October.As for its arrival locally despite the marketing proclaiming the Smart #2 to be back in Melbourne, Smart's Australian distributor told CarsGuide the vehicle was not confirmed for our market.If it was to launch here it wouldn't be until 2027.

Honda has just priced its first EV in Australia.The Honda Super-One is an ultra-compact electric car that will start from $36,900, drive-away.This places it as the second cheapest car in Honda’s lineup, costing $4000 more than the base HR-V small SUV. The top-spec grade starts from $37,400. It adds a two-tone purple exterior colour that mirrors the popular Super-N Kei car the Super-One is based on. Honda said it has had more than 6500 expressions of interest for the Super-One in Australia, which is more than the new-generation Honda Civic Type-R.Pre-orders are open now, with deliveries beginning on 1 October 2026.There will only be 130 units available in this first batch, but more examples will arrive in early 2027. The Honda Super-One is based on the brand’s N-One Kei car, which is designed to meet specific requirements for Japan’s smallest car segment. The Super-One is substantially longer, wider and taller than the N-One to ensure it meets Australia Design Rules. The Super-One will still be one of the smallest cars available.It shares similar dimensions to the Kia Picanto petrol-powered hatch (3595 mm long).It will be a more direct rival to the BYD Atto 1 electric hatch that starts from $23,990 (before on-road costs), and the more pricey Hyundai Inster (from $39,000, before on-road costs). The Super-One is powered by a single electric motor, making 47kW and 162Nm. The car has a special hot hatch setting if Boost Mode is selected that increases power to 70kW. Simulated gear shifts for a seven-speed transmission mimic the experience of a petrol engine. The car’s 30kWh lithium-ion battery offers a driving range of up to 253km, according to WLTP standards, and features regenerative braking. The car can charge from 15 to 80 per cent in 30 minutes. On the inside, there is a 9.0-inch central touchscreen and 7.0-inch digital driver display, along with an eight-speaker Bose sound system. 

If you’ve been holding out for the arrival of Toyota’s newest toy, the GRMN version of the Corolla hot hatch, you’ll need to dig a little deeper than you expected.Pricing for the 2027 Toyota GRMN Corolla has been announced in the US, and it’s in prohibitively expensive territory.Toyota USA this week confirmed an MSRP of US$64,360, which directly converts to A$91,500. But that’s not how much you should expect to pay.While pricing between markets can be hard to predict before confirmation, looking at similarly priced cars in the US can provide some insight into the likely cost of the limited number of GRMN Corolla expected for Australia.In the US, the GRMN Corolla sits around the same price as the Ford Mustang Dark Horse, Audi S5 and BMW M2, as pointed out by US outlet Road and Track.In Australia, the Mustang Dark Horse costs $104,990, the standard Audi S5 $114,900 and the BMW M2 is $128,100.Previous Australian estimates had put the GRMN Corolla in the range of around $80,000 to $90,000.This isn’t a confirmation the rare hot hatch will crack six-figures when it lands in Australia, but it would be surprising to see its price start with a ‘9’.Confirmed in early June for a limited Australian run, the Toyota GRMN Corolla is a dialled-up GR Corolla, with the same 221kW but more 8Nm torque (total 408Nm) at the driver’s disposal thanks to the 1.6-litre turbocharged three-cylinder engine (a.k.a the G16E-GTS). The high-output engine sends power to all four wheels via an adjustable rally-like all-wheel drive system which has also been retuned for the GRMN.Aero elements, suspension and chassis components, and the styling and interior have all been revamped and upgraded for the GRMN Corolla, to some extent justifying the exorbitant price.Developed both on the Nurburgring but also through Toyota’s participation in Japan’s Super Taikyu endurance racing series, the GRMN Corolla will be built in a run of only 730 units worldwide.It will be available in Australia in a currently unknown number of cars from 2027.‘Gazoo Racing tuned by the Meister of Nürburgring’ is a bit of a mouthful, but it is an elevated tier of Toyota’s performance car division that leans even more on Toyota’s motorsport experience.Toyota Chairman Akio Toyoda has said that any car wearing the GRMN badge can’t just be a sportier version of its donor model, but that “if it bears the GRMN name, it must be able to run the Nürburgring properly”. Significant testing on the Nürburgring is part of the development process, and usually a limited production run is the result of said development.The GR Yaris had a 500-unit run of GRMN editions with increased outputs and upgraded aero and chassis components in 2022, while before the GR Yaris existed a ‘Yaris GRMN’ was built two limited runs (2013 and 2017) and used either a turbocharged or supercharged engine.

If you can’t beat them, join them. Volkswagen has long resisted the urge to add conventional, Toyota-style hybrid power to its cars, but not anymore.The German maker is rapidly expanding its petrol-electric range, diversifying from the petrol, plug-in hybrid and fully-electric options currently available.Now it has revealed European prices for the VW Golf hatchback and T-Roc SUV hybrids, which would rival the popular Toyota Corolla and Corolla Cross.Prices start at €41,400 ($67,000) for the Golf and €44,470 ($72,000) for the T-Roc. Both models are only available in the top-spec R-Line specification, and represent about a €4000 ($6500) premium over the petrol models.Petrol R-Line versions cost about $50,000 before on-road costs in Australia, so a hybrid version could cost about $60,000 on the road in Australia. That would put it about $20,000 more than the cheapest equivalent Toyota hybrids.Volkswagen Australia has previously been unable to confirm if the hybrid Golf and T-Roc will arrive in Australia, but the company said it is always evaluating opportunities for our market.The hybrid Golf and T-Roc combine a tried-and-tested 1.5-litre turbocharged petrol engine, two electric motors and a 1.6kWh battery.VW claims this set-up produces 125kW/309Nm, a jump of 15kW/59kW over the petrol Golf’s 110kW/250Nm max outputs.It also uses about 4.6-litres per 100km of fuel, which is slightly more than Toyota's claim.Hybrid options are becoming increasingly important to brands in Australia as purely petrol powered vehicles are starting to fall foul of Australia’s New Vehicle Efficiency Standard (NVES).The NVES levels fines against carmakers for every gram of CO2 a sold vehicle emits over a certain threshold. This threshold gets lower every year until 2030.The fines can be offset by sales of EVs and plug-in hybrids.Purely petrol cars will soon become prohibitively expensive, with hybrids also attracting moderate fines in the coming years.The NVES is also putting Australia at the front of the queue for international brands to get low emissions or electric vehicles.Volkswagen Australia for years struggled to get its electric cars sold in Europe and other parts of the world, as our market wasn’t considered an emissions critical one that needed these vehicles. This is no longer the case.All this works in favour of Volkswagen bringing its latest hybrid, plug-in hybrid and electric vehicles here.

Another carmaker has stepped back to pause and consider what its future in Australia looks like.Fiat has announced it has stopped importing passenger vehicles into Australia, as it assess what its future line-up may look like.It wasn’t an extensive model range, with the Italian marque only selling the electric Fiat 500e and its sporty twin, the Abarth 500e.The company will continue to import and sell its range of commercial vehicles.It is understood this isn't the end for Fiat cars in Australia, but a break to work out the models in its line-up that would best suit.“As part of Stellantis Australia's ongoing portfolio and product planning process, the availability of specific models can vary over time as we assess market demand and future product opportunities. We remain focused on ensuring the vehicles we bring to Australia meet customers’ expectations,” said a company spokesperson. “Following Stellantis' recent confirmation of Fiat as one of its core global brands, we are excited by the opportunities the brand presents for the future. “Fiat 500e and Abarth 500e stock in Australia has now largely been sold through and, at this stage, we are not planning additional orders while we evaluate future product opportunities for the local market. “We continue to support our Fiat and Abarth customers and dealer network and look forward to sharing more information about Fiat's and Abarth’s future plans in Australia at the appropriate time.”Fiat has only sold 144 vehicles through the first six months of this year in Australia, which is down 30 per cent compared to the same period last year.Its range of commercial vehicles is faring better, and sold 139 in June alone.Fiat has an expanding range of SUVs overseas, including the Grande Panda and Grizzly. These models are both electrified and better suited to Australian tastes.Peugeot, which is also owned by Stellantis, also closed up shop in Australia earlier this month.The French brand’s local distributor, Inchcape, handed back the keys to its selling rights and there is no immediate taker to pick up where they left off.The writing was on the wall for Peugeot after a string of tough years that culminated in 373 sales through the first five months of this year, which was down 35 per cent compared to the same period last year.This follows a circa-29 per cent drop in 2025, and losing a quarter of sales in 2024.

The GAC Aion UT is the first GAC I’ve ever driven, so I went into this review not really knowing what to expect. Sort of like walking through a room in the dark, in a house that isn’t yours.It was full of discovery but without all the falling over and toe stubbing. First, what is the Aion UT? It's a fully electric small hatch that almost crosses into SUV territory with its slightly elevated ride height.At 4270mm long it’s a similar length to the BYD Dolphin, but shorter than an MG4 Urban, but it does match the MG's price at $31,990 before on-road costs. That’s for the entry grade Premium Aion UT tested here. The price is impressive. It’s an electric car for the same money as a petrol car of a similar size, like a Honda HR-V.The Premium grade has an almost identical features list to the top grade luxury, from powered and heated front seats to a 14.6-inch touchscreen. All it misses out on really, is ventilated seats, wireless phone charging and a power tailgate. The Aion UT is not just an affordable small car, it’s more practical than many larger vehicles thanks to clever storage andplenty of cabin space. The UT’s 2750mm wheelbase is on the longer side for cars this small and that’s a good thing for occupant space and excellent rear legroom is the result. Rear headroom is more than adequate too, thanks to a tall and flat roofline.Storage is outstanding with a deep centre console bin and an area underneath for bags. There’s even a hatch under the dash that opens to reveal a netted pocket. There are door pockets, cupholders and a phone tray up front that doubles as a wireless charger if you stump up the extra $4000 for the Luxury grade.The 321-litre boot isn’t enormous but it's large for a car this size with enough space for a week’s worth of shopping for my family of four or a couple of smaller luggage bags.The main practicality downside is the lack of physical buttons in the cabin for functions such as climate control and media. There are none at all apart from on the steering wheel and the window switches.Instead, all controls are accessed through the central touchscreen and not only is that more awkward to use but it's a safety concern. A driver could easily be distracted just trying to turn the cabin temperature down.We lived with the Aion UT for a week doing what families do: from school runs and weekend sports to grocery shopping and family visits. This is a front-wheel-drive electric car with a 60kWh battery and 150kW/210Nm motor. That battery size is good for 430km of driving range (WLTP) according to GAC and after 250km in one week there was 170km left, making that claim accurate. Our average energy consumption was 15.6kWh/100km according to the trip computer, which is less than the official 16.4kWh/100km.In the city and urban areas where we live the UT shines with brisk acceleration, its quiet and smooth nature, good visibility and small size. On motorways, as we found during a trip to a regional area, the UT feels slightly vulnerable among the trucks and the stability was tested in the windy, rainy weather. There were times I wished we were in something larger and higher up.The driving position is let down by the steering wheel's lack of reach adjustment. I got around this by adjusting my seat, although it's not ideal.Also not ideal is a persistent driver alert system that reminds you to slow down and avoid distraction. It activates far too easily and interferes with concentration while driving. It’s not just the driver being hassled either. My front passenger was told on one occasion not to put her feet on the dashboard even though they weren’t - she had her legs crossed and this seemed to trigger the system.Finally the styling of the Aion UT isn’t appealing to me. GAC boasts that the little electric car was penned at its Milan design centre, but Chinese rivals like Zeekr and BYD have much more interesting and beautiful creations.