Hot hatches
BMW 1 Series 2026 review: M135 xDrive | Audi S3 rival tested
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By Tim Nicholson · 23 Oct 2026
BMW has made so much noise about its latest electric ‘Neue Klasse’ models, the iX3 and i3, it’s easy to forget about its expansive line-up of internal combustion models. While the shift to electrification is undeniable, there’s still a healthy appetite for petrol cars, especially when it comes to high-performance models like the BMW M135. Even though the hot hatch segment is slimmer than it once was, there’s still a few solid options at the premium end. At $85,500 before on-road costs, the BMW competes with other Germans including the Volkswagen Golf R ($71,990), Audi S3 ($78,800) and Mercedes-AMG A35 4Matic ($89,700) as well as Japan’s finest, the Honda Civic Type R ($85,000), although the latter is manual only. So it’s more affordable than the Benz but pricier than the Audi. Luckily BMW includes a healthy standard features list for the M135. The M135 comes with the following: 10.25-inch digital driver’s display 10.7-inch multimedia display with BMW Operating System 9 Wireless Android Auto and Apple CarPlay Wireless smartphone charger Digital radio Keyless entry and start Head-up display Powered tailgate Active LED headlights with high-beam assistant 12-speaker harman/kardon audio system Heated front seats Heated M Performance leather steering wheel Panoramic sunroof Front sports seats with lumbar support and massage function Over-the-air updates BMW Intelligent Personal Assistant Personal eSIM and onboard 5G connectivity On top of that the safety offering includes: Auto emergency braking (AEB) Steering and Lane Control Assistant Adaptive cruise control with Stop & Go Lane keeping assistant with active side collision protection Lane change warning Front and rear cross-traffic warning Rear collision warning Overspeed warning Surround-view camera with 3D view Park assist The Brooklyn Grey metallic paint of the test car is a $1700 option. For too long BMWs and other European carmakers scrimped on features, instead relying on their premium brand position to sell cars. Not anymore. The standard features list in the M135 stacks up and it makes for a properly premium small car. A couple of years into its lifecycle, the 1 Series is still a handsome little hatchback, with a squat stance and lovely proportions. The redesigned front end gives it a sharper modern look, too. Inside it features integrated twin screens familiar to other BMW models and while it doesn’t have the latest in-car tech from the iX3, it’s still an appealing cabin. The screens and air con vents are all angled towards the driver which adds to the cockpit feel. There are few buttons aside from what’s next to the gear shifter on the console - drive modes, demisters, hazard lights - but the cabin doesn’t feel overly minimal. Being an M Performance model the M135 gains some snazzy interior touches like red and black synthetic leather upholstery on the seats and door panels which brightens the space considerably. It’s sporty yet still looks premium. Those front seats offer the perfect level of upper and lower body support. Some BMW M car seats are so heavily bolstered they’re almost uncomfortable. That’s not the case here. The M steering wheel has a flash of red at 12 o’clock and like most BMW tillers it’s a bit too thick for me. But the paddle shifters look good and got some use during a dynamic drive. Storage wise there’s a long but shallow centre bin, a couple of cupholders and a wireless charger. The door bins are awkwardly shaped so only smaller bottles will fit, but there is an extra nook for other items. The multimedia setup is not as intuitive as the latest setup in the iX3. The app page features lots of little icons that change dynamically based on what you’ve used most recently. It’s not a challenging system to navigate, which is a plus. There’s two USB-C ports up front if required. The panoramic glass sunroof only has a mesh fabric blind and while it’s much better than some similar shades from other makes, nothing can beat a solid blind when it comes to keeping Australia’s blazing sub out of the cabin. Sitting behind my six-foot tall driving position, the rear row is quite cramped. Legroom is tight - my knees touch the back of the front seats. The roof has been scalloped out for more headroom but it’s still tight because of the sunroof. It has a bulky transmission tunnel so the middle seat is all but useless. There’s two USB-C ports, short and narrow bottle holders, a centre armrest with two cupholders and knee-level air vents. Boot space is 380 litres (increasing to 1200L with the rear seats folded) which is better than the Audi S3 (325L). It has a powered tailgate standard. There’s no spare wheel, only an awful repair kit, but the M135 has handy dual-level boot storage. Under the sculpted bonnet of the M135 is a 2.0-litre four-cylinder turbocharged petrol engine delivering 233kW of power and a meaty 400Nm of torque. It drives all four wheels via BMW’s xDrive system and has a seven-speed dual-clutch ‘Steptronic’ transmission. It can hit 100km/h in just 4.9 seconds and official fuel use is 7.8 litres per 100 kilometres. Over a week of both easy urban driving and enthusiastic back road blasts, I recorded a thirstier 10.3L/100km. Poke your right foot and you’re met with a beat of turbo lag followed by incredible acceleration - that 0-100km/h time is no joke. The engine note is also a delight and adds to the whole experience. BMW’s smooth seven-speed dual-clutch snaps through the gears at the perfect time almost every time. Accelerating quickly to a lower speed limit might require a flick of the paddle shifter. The brakes with the sexy blue callipers are incredibly strong and the steering is super sharp, changing direction crisply. The M135 has loads of grip, holding on to the road even when pushed up a sharp, sweeping incline. Phenomenal stuff. Ride quality is mixed - it’s firm which isn’t surprising for a European hot hatch that’s designed for performance driving. It’s less noticeable at speed on a twisty back road. That firmer ride is more evident driving on pockmarked urban roads at lower speeds, where it can get a little jiggly. But by no means would this sway me from owning the M135. Drive modes include Personal, Sport and Efficient - I didn’t bother trying the latter. Sport mode makes the BMW even quicker, to the point where you need to hold the steering wheel even tighter, particularly on uneven road surfaces. I never felt in danger of losing control or even losing traction.The engine note amps up a notch, too. One quirk that won’t annoy everyone is the auto stop/start. I turned it off every time I drove the car as I found it a little laggy. The advanced driver assist systems work without interruption in the background. No need to switch any of these off. European brands like BMW continue to lead the way with this tech. The M135 is covered by BMW’s five-year/unlimited kilometre warranty which is now the norm for premium brands. BMW’s ‘condition-based servicing’ means the car’s computer tells you when it needs a service. Currently a five-year/80,000km pre-pay package is $2470.
Honda's best car getting even better
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By James Cleary · 06 Oct 2026
Honda America has moved to make what many driving enthusiasts already regard as the best even better by upgrading the brand’s Civic Type R hot hatch with extra performance, additional standard features and new-generation tech. Marking six generations across 30 years of the Civic Type R, the ultra-fast five-door sports a more aggressive front fascia with a larger grille opening claimed to improve cooling and a deeper front splitter to increase downforce. Inside, a “more refined cockpit” now includes heated front seats and a new trim perforation pattern as well as synthetic suede around the instrument surround and upper front door panels. The Type R's signature alloy shift knob, interior door handles and console trim have a dark grey finish and the climate control and air vent knobs in black, a diamond-pattern mesh dash panel (with black surround) and front door panel trims in silver are designed to up the cabin’s premium feel. Under the skin, the Type R’s ‘K20C’ four-cylinder turbo-petrol engine sends 235kW/420Nm to the front wheels (exclusively) via a six-speed manual gearbox. And under the bonnet, a redesigned engine cover is reminiscent of the powerplants in early-generation Type R models sold in Japan. Other technical changes include optimised suspension damping in +R mode to reduce bounce and impact harshness, more direct brake feel courtesy of a pedal yoke spring and an improved rev match system with faster engine response for smoother downshifts. Google built-in / Google Gemini / Google Maps / Google Play Alexa built-in Auto-dimming rearview mirror Two USB-C ports Improved (dual tone) horn New colour: Meteorite Grey Metallic Tech upgrades to the Honda Sensing safety suite include improved AEB (Auto Emergency Braking) with pedestrian detection incorporating increased system visibility for motorcycles and bicycles. Adaptive cruise control is also enhanced with improved braking and acceleration response and lane keeping assist features “improved control over road camber and other disturbances for smoother operation”. And for the first time, the Civic Type R is equipped with multi-collision brake to minimise the chances of subsequent impacts after an initial crash. The 2027 Civic Type R will arrive in US Honda showrooms this month with a MSRP (Manufacturer's Suggested Retail Price) of US$48,695 (~A$69,900). While local sale of the upgraded Type R isn’t on the cards at this stage, CarsGuide expects another batch of current model Type Rs to land in Australia in 2027.
Honda Civic 2026 review: Type R | VW Golf R rival tested
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By Chris Thompson · 04 Oct 2026
The Civic Type R might be the best front-wheel drive hot hatch ever built. It's almost certainly one of the greatest cars of this century so far. In fact, you can meet me outside if you reckon the Type R isn’t the most capable sports car of its kind ever built. Now that we’ve got that out of the way, let’s get into why. The 2026 Honda Civic Type R, at an uncomfortable $85,000, drive-away, isn’t a car you can just go and buy. At least not all the time. The latest run launched in July this year, with just a tick under 100 units anticipated for local buyers. Deliveries start in December. It’s more expensive than another benchmark rival, the VW Golf R, by almost $15,000 and it’s not as practical to live with. But even though you can run your daily errands in the Civic Type R, that would be doing it a disservice. See, the Type R is a five-door hatchback with only four seats, and the front two are very figure-hugging sports bucket seats. It’s also only available in manual, so that rules it off the list for some seeking an easy daily driver. Its 2.0-litre turbo-petrol four-cylinder engine is probably a bit much for the daily grind, too, producing 235kW and 420Nm and sending that entirely through the front wheels. But there is a Comfort mode, and you even get a wireless phone charger. Heated seats? No, but the climate controls are always there - because they’re physical buttons and knobs. And the knobs are delightfully clicky. This is all to say that when you shell out your $85K, you’re paying more for what’s under the metal than the mod-cons in the cabin. Here’s what you do get: 10.2-inch digital driver display 9.0-inch multimedia touchscreen Wireless Apple CarPlay and wired Android Auto Digital and AM/FM radio Bluetooth and USB connectivity Eight-speaker audio LogR performance data tracking system Red suede-style upholstery Type R sports bucket front seats Alloy shift knob Alloy sports pedals Wireless phone charger Dual-zone climate control Keyless entry with push button start LED headlights (auto-levelling and dusk-sensing) and tail-lights 19-inch black alloy wheels Michelin Pilot Sport 4S tyres (265/30 ZR19) It all comes together in a package that looks rather aggressive and modern, but feels just far enough removed from the software-driven cars of today that it’s still focused on the driving experience. The exterior styling in particular when it comes to the FL5 Type R (launched in 2023) compared to the more angular FK8 that proceeded it seems to be less divisive. It looks slightly less like it’s come off the screen of an anime, for better or worse. Some specific praise can be levelled at the toning-down of decorative elements that made the FK8 look overly busy. But that doesn’t mean it’s any less suited to total road domination. The FK8, a car I spent plenty of time in during the late 2010s, won awards all over the world for its prowess. I’ve driven the FL5 on track, but not on public bitumen before this road test. It was immediately obvious this car holds the same ability to turn from a sharp yet manageable city car into a slick corner-hunting weapon outside of urban areas. Nothing had been lost between FK8 and FL5. Praise be. The current Type R continues to be arguably the most capable hot hatch around, with its individual elements - steering, brakes, clutch, all of it - working perfectly and obediently to make this Civic move as quickly as possible. And with little fuss. The front tyres are surely working hard, but there’s mechanical grip in abundance and the helical limited-slip differential ensures traction. It also does this without sacrificing ride quality. Even in Comfort there’s cornering ability on tap, while Sport or R+ don’t turn the chassis into a giant shaker. It's the rear axle that’s particularly impressive, though. Its multi-link rear follows the MacPherson and dual-axis strut fronts with such compliance it’s as if the engineers whipped a fear of rebelling into the Type R’s back-end. During most road tests, there’s little point in trying to push a car - even a sports car - to 10 tenths. Most people won’t and it’s not sensible to try. But, more than most cars, the Type R feels like you could if you wanted to. On a winding road outside of Melbourne, the Type R felt mechanically flawless. Its shift-feel is smooth but decisive, steering is precise and weighted perfectly for input adjustment, throttle response and brakes require no guesswork, and even its seat should hold most drivers in a sturdy position. No notes. The boring bits when it comes to Type R ownership aren’t as grim as you might expect from such a pricey hot hatch. Where some performance cars would push fuel consumption into double-figures, the Type R’s mill only sipped 8.9L/100km on a very spirited route with some highway driving either side. Its claimed consumption under WLTP testing is 7.1L, so that feels reasonably achievable. Honda’s warranty and service schedule is also decent, all things considered. The five-year/unlimited kilometre warranty is starting to feel the bare minimum, but Honda’s $199 capped price for the first five services (every 10,000km or 12 months) is excellent.
Shock price for new Toyota Corolla
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By Chris Thompson · 02 Aug 2026
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.
Toyota's bonkers makeover revealed
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By Andrew Chesterton · 14 Jul 2026
Toyota in Australia has laid out its vision for its GR performance brand, assuring the range will grow as it looks to tap "performance hybrids" as the power source that will propel it into the future. The seeds have already been sown with the bonkers GR GT, which pairs a 4.0-litre twin-turbo V8 with a hybrid system for total system outputs of more than 478kW and 850Nm. Its top speed is in excess of 300km/h. The GR GT is expected to launch in 2027, but will also form the blueprint for Toyota's other GR models, with hybridisation coming to next-gen models. "Efficiency hybrid is about matching existing performance, but has a significant improvement in fuel consumption. Performance hybrid is saying we take an existing ICE powertrain, and then the way to get a lot more power with effectively the same fuel efficiency is electrification on top. GR GT is an example," says Ray Munday, the Senior Manager Product Planning and Pricing at Toyota in Australia. "A large, powerful ICE engine plus electrification is where we see looking forward." The concept of performance hybrids electrifying the future of GR ties neatly with reports out of Japan that the brand will launch a new hybrid engine in its Yaris GR and Corolla GR hatchbacks, with Best Car reporting the plan has been in place since 2024. At a 'multi-pathway workshop' that year, Toyota reportedly unveiled a petrol-electric engine that would redefine the brand's performance cars. The 2.0-litre turbo-hybrid set-up will reportedly produce 294kW and 500Nm, an uplift over the current GR Yaris’ 221kW and 400Nm. "The GR side of the business is extremely exciting," says Toyota Australia VP of Sales, Marketing and Franchise Operations John Pappas. "Going forward into the future, GR is going to play a bigger role across the family of Toyota Motor Corporation. We haven't determined how that looks or feels, and what that's all going to mean for what products and all the rest of it going forward. But it is very exciting in terms of what the company's planning to do with GR." While he wouldn't be drawn on details, Mr Pappas confirmed that meant the lineup would grow beyond the GR Yaris and GR Corolla in Australia as the performance sub-brand takes on new importance. "Going forward globally, we've obviously articulated the role of GR about performance and really learning from motor sport and performance testing. So we're very excited by that here. And we're working out how that's going to look for Australia."
Order books reopen for Honda Civic Type R
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By Tim Gibson · 05 Jul 2026
The Honda Civic Type R is back in stock, but it won't stick around for long. This new batch of the Japanese sports car will be priced from $85,000 drive-away, which is $500 cheaper than the previous allocation. There will be less than 100 (expected to be 98) units available, with deliveries expected in December. The Civic Type R is one of the most sought after sports cars on the market. It tackles hot hatch rivals such as the Volkswagen Golf R ($71,990, before on-road costs). It has not been available for mass order in Australia since August 2025, when it sold out in less than an hour. This latest batch will not be fitted with the carbon fibre spoiler as standard, with it instead available as a pricey $4100 option, which effectively makes it more expensive than the previous version once the spoiler is accounted for. The Civic Type R has been subject to several price increases during its time in Australia. It is now in excess of $12,000 more expensive compared to when it first went on sale. It will continue to be powered by a 2.0-litre turbo-petrol four-cylinder engine, producing 235kW and 420Nm, paired with a six-speed manual transmission. The brand was forced to axe the Civic Type R in Europe at the start of this year, due to tightening emissions standards. Honda is also facing emissions pressures Down Under, so it could have to make a similar move here at some point. The brand recently announced it will be investing heavily into hybrid models over the next few years. Honda has already added hybrid power to much of its range in Australia, including on its CR-V, HR-V and ZR-V SUVs. There are no plans for the Civic Type R to be given hybrid power at this stage. Bookings for the Civic Type R will open on Monday 6th of July at 12:00 pm at Honda dealers, and 3:00 pm online. Buyers will be required to place a $5000 to secure their order.
Toyota wants to cut its line-up, but why?
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By Laura Berry · 04 Jul 2026
Toyota has too many models? The company’s new global boss seems to think so, and he is sharpening his axe in his hunt to save money. Why is this happening? Which models doesn’t Toyota need? Toyota is the world’s biggest car manufacturer and has been for the past six years running. In 2025 Toyota sold 11.2 million vehicles across its three brands - Toyota, Lexus and Daihatsu. That global dominance is replicated in Australia where Toyota has been the biggest selling car brand for 23 consecutive years. So, you’d think it was doing everything right. And why on Earth would you change anything? Toyota’s Kenta Kon became the new global CEO of the company on June 17, and has hit the ground running as he looks for what could be done better, while he hasn’t mentioned any models by name he’s made it clear there will be cuts. In an interview with Automotive News, Kon said he was touring facilities looking for inefficiencies. It’s enough to send a chill down even the most hard working employee’s spine. “We’ve become increasingly able to identify things that don’t seem quite right, areas where operations have become somewhat inefficient, or where the amount of work that doesn’t directly add value has increased,” Kon told Automotive News. “We’re now at the stage where we can really start addressing them – making corrections and implementing improvements. “If you go to a development division, you see issues such as an increasing number of different specifications and variants being created, which in turn is driving up costs.” Carmakers, as many companies do, often go through a streamlining process where they prune back on activities deemed superfluous in a bid to save money. This cutting back is already happening. The fully electric Lexus LF ZC was axed before it even went into production, just before Kon succeeded Koji Sato as President and CEO. Before the promotion Kon was Toyota’s Chief Financial Officer. Mr Sato is a “self confessed” car guy - a mechanical engineer by trade and a performance car enthusiast. Mr Kon calls himself a “numbers guy”. According to Toyota’s Financial Year 2026 summary, the company sold 2.5 per cent more cars and sales revenue was up by 5.5 per cent, but the operating profit fell by 7.3 per cent. Add to this the billions lost from the bottom line caused by tariffs imposed by the United States, a massive loss in sales in China (a 31 per cent drop in May this year alone), a conflict in the Middle East putting pressure on fuel prices and the sudden huge popularity in Chinese electric vehicles, and even the biggest car girl or guy can see the need to cut back on spending. The axing of the LF ZC is interesting and it happened just as Kon was moving into his new office. This was to be an electric successor to the IS sedan, but perhaps being a sedan was the reason it was axed. SUVs being where the money is these days and all that. In a time when sales are being stolen from right under mainstream brand’s noses by affordable, high-tech and good looking vehicles made by Chinese manufacturers, surely EVs aren’t the models Toyota should be axing? But then Toyota’s EVs haven’t really taken the world by storm. One of the brand’s worst selling cars is the C-HR SUV and the electric version, which recently arrived has done nothing to help sales anywhere globally for Toyota. Toyota’s other electric SUVs, such as the bZ4X, haven’t been major hits either. Toyota’s focus doesn’t appear to be EVs for now. Instead, hybrids are bringing in the money for Toyota. The axing of the LF ZC was also only just one model, but it's a good indication of how Toyota is now in a phase of conservative growth and not willing to take risks. That's not to say the brand won’t make EVs, of course it will, but rather than sedans like the LF ZC they’ll be electric SUVs. Currently Toyota has 23 models in its Australian range. The worst performers are the Yaris, C-HR and GR86, all with less than 1000 sales so far this year. Which models will Toyota axe next? Most likely the C-HR first. This SUV, while great to drive, isn’t selling well here and around the world - even the fully electric version. What about the bZ4X? That’s actually selling well in Australia and globally even if it had a bumpy start with recalls and a battery that didn’t offer enough driving range in the first iteration. Toyota has sold 1526 of them this year. That’s more than the 1340 combined sales of closely priced Volkswagen ID. 4 and its ID. 5 coupe twins. But when you compare that to its Zeekr 7X rival, with 3664 sales for the same period, then you begin to see that EVs are currently really just a side hustle for mainstream brands that make nearly all their income from traditional models. Does it annoy Toyota that it’s not the go-to for EVs when it has been for ICE cars for decades? I’d say it does, a lot. Even if Toyota would tell you it doesn’t and say that it's all about having models for every body - the multipathway powertrain approach is the marketing phrase it uses. Toyota may even feel that it exerts such a colossal influence over people’s purchasing habits that customers will continue to buy what the brand’s range offers. The company may just think that “until we make and sell it, people won’t buy it”. Yes, it’ll lose a relatively tiny amount of sales to BYD, Zeekr and other Chinese rivals but it’ll stay its course and bring in electric versions of its successful models. In the meantime, for Toyota you can probably forget design studies like the LF ZC or wild reborn models such as the Celica or MR2. The Toyota 86 as we know it is also on borrowed time. Yep, if you thought Toyota was boring now… you ain’t seen nothing yet.
Ultimate Toyota Corolla confirmed
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By Dom Tripolone · 07 Jun 2026
This car will change everything you thought about the humble Toyota Corolla. On the eve of the Corolla’s 60th birthday, the Japanese giant has confirmed the GRMN Corolla is headed Down Under. Toyota Australia Vice President Sales, Marketing and Franchise Operations John Pappas said the new GRMN Corolla is the best of both worlds. “This is truly our GR philosophy in action, and has produced an astonishing high-performance driver’s car that is as at home on the racetrack as it is on the road,” he said. It takes the already red-hot GR Corolla hot hatch, and turns the dial all the way up. Spawned from Japan’s Super Taikyu race series and tuned and tweaked at the Nurburgring race track in Germany — dubbed the Green Hell — the GRMN is the brand’s most driver-focused Corolla of all time. The GRMN has just two seats and a rocket of a 1.6-litre turbocharged three-cylinder petrol engine delivering 221kW and 408Nm. It has upgraded front and rear suspension and fatter Michelin Pilot Sport Cup 2 rubber for improved performance on track. Toyota has optimised the all-wheel drive set-up for improved torque delivery and tweaked the power steering to give more feedback during high speed cornering. The Corolla GRMN is leaner than the standard manual GR Corolla, having lost 40kg. There is also a unique instrument panel for greater driver concentration and GRMN design touches throughout. Exterior updates include bonnet and fender ducts for increased ventilation, front side spoiler and large rear wing with five step adjustment for increased aerodynamics. It is only available in two colours: matt black or khaki. Toyota Australia said the Corolla GRMN will arrive in limited numbers from 2027.
New car blows Tesla away
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By John Mahoney · 29 May 2026
Cupra has revealed it is secretly developing an all-wheel drive version of its Cupra Raval that bags a pioneering quad-motor all-electric powertrain, which will produce epic power that blows Tesla out of the water. Primed to be twinned with a white-hot Volkswagen ID. Polo R, the new Cupra Raval Racing will be the quickest and most powerful hot hatch of all time, with Volkswagen's Spanish performance brand leading its development. Cupra's global product boss Toni Gallego told CarsGuide his brand was pushing ahead to develop the four in-hub motor concept that made its debut on the VW ID. Cross, which is key to unlocking near supercar levels of performance. Expected to be capable of producing around 100kW, despite weighing around 39kg apiece, the state-of-the-art in-hub motors will see the Raval Racing come with at least 300kW. Combined with an uprated battery pack, the 4.1m-long Raval Racing should be able to rocket from 0-100km/h in less than 3.0 seconds – much quicker than the 3.8 seconds a BYD Seal Performance or Audi RS 3 takes, and even quicker than the 3.1 seconds a Tesla Model 3 Performance can achieve. As well quick in a straight line, according to the senior Cupra exec the in-hub units, which package their own power inverter, offers unbeatable torque vectoring and by being able to manage how much force is applied to each wheel on a millisecond-by-millisecond basis can neutralise any understeer or oversteer. Brake regeneration will also be class-leading with the Raval Racing able to claw back more energy than any of its rivals, boosting efficiency and real-world range. Traction will be unbeatable over all road surfaces and conditions, while packaging the motors within the wheels means the Raval's large 441-litre boot carries over unchanged. Aside from adding unsprung weight the biggest disadvantage of the new tech is cost, says Gallego. "We requested four-wheel drive from the beginning, but it requires a huge investment. "It's crazy. I cannot say the final figures, but the good thing is we can manage the production mix across our four plants to balance out the high development costs." The latter is a reference to both the Volkswagen ID. Polo R and potentially faster versions of the VW ID. Cross SUV sharing the same in-hub high-tech quad-motors. Later on, less powerful all-wheel drive VW Group models could also come with a detuned version of the same powertrain. Gallego was careful not to reveal an exact power figure for the mules already undergoing testing, nor did he provide a timeline for when the faster Raval Racing and ID. Polo R will arrive, but it's thought the pair of fast all-electric hot hatches should land in 2028. "Some figures cannot be communicated right now. It is a concept and we are exploring how the performance works. It's a massive investment from the technical centre." According to Gallego, work has not finished on the core Raval as feedback from media and potential owners have requested some changes that will see both virtual gearshifts and a higher 190km/h top speed (up from 175km/h) rolled out via over-the-air updates once the Cupra small hatch is launched.
Hot Toyota gets big upgrade for free
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By Tim Gibson · 20 May 2026
Toyota’s GR Yaris hot hatch is about to receive some performance enhancements in Australia. It will launch next month, with a spokesperson for Toyota Australia confirming there will be no price change for the new GR Yaris. The car will continue to start from $55,490 (before on-road costs). It will now have a smaller steering wheel diameter of 360mm, down from 365mm. This smaller steering wheel has been designed to offer a more comfortable grasp for the driver when cornering. Steering has been given a further tune courtesy of an expanded operating range for electric assistance. There will also now be steering wheel-mounted switches positioned separately, with illumination to aid visibility and use under race conditions. The range-topping GTS will ride on new high-performance Bridgestone Potenza Race tires as part of the upgrades. There have been some minor design tweaks for the car to give it a sharper look. Toyota Australia Vice President of Sales, Marketing and Franchise Operations John Pappas said these minor upgrades were designed to provide the marginal improvements needed for racing success. “When you’re racing, improvements are measured in tenths of seconds and these upgrades to the GR Yaris are designed to deliver the sort of performance enhancements that can make a difference,” Pappas said. The upgrades were inspired by Toyota’s recent success at the World Rally Championship. It will continue to be a rival to the Hyundai i20 N and the Volkswagen Polo GTI Down Under. All GR Yaris variants use a 1.6-litre three-cylinder turbo-petrol engine, producing 221kW and 400Nm. Toyota’s hot hatch could be about to undergo a serious change before the end of the decade. There have been rumours of a new hybrid set-up coming to GR Yaris in 2028 similar to recently-announced performance grades of the LandCruiser 300 4WD. The brand did not confirm whether such a variant was in the works, but its potential announcement could coincide with the arrival of the new all-electric Yaris coming in 2028.