It’s a tough time to be a car maker. Buyers’ tastes have shifted, as seen by the rise and rise in popularity of SUVs and dual-cab utes, their combined domination leaving what were once the bread-and-butter of new car sales falling out of favour and struggling to find new owners.

Sales of small cars have been hard hit in Australia with even the evergreen Toyota Corolla suffering major declines. As recently as 2013, Toyota shifted around 44,000 new Corollas. By 2024, that number had dwindled to just 24,000 or so as buyers continued to gravitate towards an ever-increasing range of SUVs.

Thankfully, Korean car maker Kia still sees value in the small car and in early 2025 launched the new K4 sedan, replacing the popular but increasingly outdated Kia Cerato sedan which had been around in its current generation since 2018. Equipment updates kept the Cerato fresh well into the middle of this decade but time eventually caught up with it.

Now, almost a year later, the Kia K4 hatchback has arrived in Australia to fill the hole. So can Kia’s newest hatchback reignite sales of small cars in Australia?

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Using Kia’s latest ‘Opposites United’ design language, the K4 hatchback marks a noticeable departure from the Cerato. Compared alongside the K4 sedan, the hatchback is 270mm shorter, though shares the three-box’s long wheelbase. Its stubby rear offers a hint of station wagon, while plastic wheel arches lend it the appearance of a slightly-lifted SUV. If you can’t beat ’em, join ’em. Like the rest of Kia’s current range, the K4 hatch looks fresh and contemporary, and certainly stands out on the road.

Pricing for the 2026 K4 range starts at $32,090 plus on-road costs, which is right in the heart of the small car market. Key rivals like the Toyota Corolla and Mazda3 start a little higher than the K4, though the Kia is larger. And despite being more expensive than the Cerato it replaces, Kia’s strong value proposition remains firmly in place with the K4. 

Features on the entry-level K4 S include 16-inch alloys, keyless entry with push-button start and remote start, automatic LED lighting, a 12.3-inch touchscreen, wireless Apple CarPlay and Android Auto, rear air vents along with safety features like seven airbags, autonomous emergency braking, adaptive cruise, lane-keep assist, blind-spot detection, auto high beam, a reversing camera and a speed limit chime that, mercifully, can be muted. 

A safety package can be optioned on the K4 S and brings with it a more sophisticated AEB system braking system as well dual-zone climate control with automatic window defogging and a 12.3-inch digital driver’s display. Optioning the Safety Pack also ups the K4’s ANCAP safety rating to five stars. We’d argue it should be standard… 

Move up the range to the Sport ($36,690 +ORC) to add larger 17-inch alloys, sat-nav with 10 years of map updates and semi-autonomous highway driving tech, while the Sport+ ($39,090 +ORC) adds synthetic leather, auto wipers, heated front seats and an auto-dimming rear mirror.

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Sitting atop the K4 range, the GT-Line ($43,790 +ORC) swaps out the 2.0-litre atmo four found lower down the range for Kia’s 1.6-litre turbocharged four cylinder. The range-topper also scores multi-link rear suspension, 18-inch alloys, a sunroof, ventilated front seats with 10-way electric adjustment and memory for the driver, a wireless charger, Harman Kardon audio and ambient cabin lighting. The GT-Line is the only K4 to feature a faux-leather-wrapped steering wheel, a bit of a slap in the face to anyone who spent circa $42,000 drive away for the Sport+ next step down in the range only to find a polyurethane steering wheel! 

As with the K4 sedan, two four-cylinder petrol engine options are available in the hatchback: either a 110kW/180Nm naturally-aspirated 2.0-litre found in S, Sport and Sport+ variants, or the GT-Line exclusive 142kW/265Nm 1.6-litre turbo. Kia Australia also has its hand up for a future hybrid drivetrain, most likely the 104kW 1.6-litre found in the Hyundai i30 sedan. We expect it to land sometime in 2026. 

Those familiar with the 2025 model year K4 sedan will note that it actually uses the same (and older) 2.0-litre engine and six-speed auto from the outgoing Cerato. However, all 2026 K4 2.0-litre models now use the upgraded Atkinson Cycle engine from the Hyundai i30 sedan with big benefits for fuel economy and emissions. The old engine was rated at 7.4L/100km and 167g/km, and now the K4 sedan is listed at just 6.0L/100km and 139g/km.

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We spent the majority of our time at the launch in the Sport+ with its 2.0-litre donk and came away impressed. While the engine could be more refined at higher revs, the K4’s CVT automatic is a revelation for the type. To quote another journo on the event, it’s the first CVT that “doesn’t piss me off”, a view that we share thanks to its defined and noticeable steps between artificial gears and generally smooth nature. 

It’s no powerhouse but the 2.0L four is perfectly adequate around town and fine at highway speeds as well. It was difficult to ascertain fuel economy for the drive, but highway sections impressively gave under 5L/100km results. 

The K4 GT-Line adds a noticeable uptick in performance, with its 142kW/265Nm just outplaying the 2.5-litre Mazda3’s 139kW/252Nm outputs. Peak torque hits at just 1700rpm and the shorter ratios of the eight-speed auto make it feel noticeably punchier than the Mazda3, as well as the 2.0-litre K4. If you’re already looking at the K4 Sport+, the jump to the GT-Line makes a lot of sense.

As we saw with the Cerato, the driving experience of the K4 is generally quite impressive for the small car segment. Thanks to Kia Australia’s local tuning, it rides and handles well and that’s across the range, not just the sporty GT-Line. Those who have experienced the Cerato GT will breathe a sigh of relief too as the GT-Line is far more comfortable than its too-firm predecessor, with a very compliant ride quality. Yet, despite the softer ride, it’s still fun from behind the wheel.

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Another big improvement is the K4’s cabin treatment, which is a big step up in design and quality. While it’s not as premium as a Mazda3, it’s now more modern and feels like a higher-end place to be than the Cerato, and far more spacious than the claustrophobic Corolla. All models use a 12.3-inch touchscreen with Kia’s latest ‘ccNC’ software, which is so easy to use and its graphics are sharp. The K4’s cabin is practical too with touches such as open tray storage with large cupholders and big door pockets for life’s trinkets. 

Moving rearward, thanks to the long 2720mm long wheelbase, the K4 is one of the most spacious small cars with plentiful legroom and thanks to the low seat base, good headroom for taller folks. Seat comfort is generally quite good as well, while the 438-litre boot is one of the largest in the segment, trailing only the Skoda Scala (467L) but more than doubling the non-ZR Toyota Corolla (217L). Unlike the Corolla, all K4 models feature a space-saver spare wheel.

Our early impressions of the K4 hatchback are good. Kia’s newest small car is a meaningful addition to the segment, especially in a time where passenger car sales are declining. It’s attractive to look at, drives well regardless of model, is spacious and is well equipped across the range.

Compared to the updated Stonic that we also drove on the same launch event, it’s better value, more practical and more satisfying to drive, which is common when comparing small cars to small SUVs. Again we ask, why do SUV sales keep increasing, when plenty of small cars are plainly better? And while the Kia K4 is unlikely to reignite small car sales to match the halcyon days, it is a perfectly good alternative to small SUVs.

Kia K4 hatchback specs:

ModelKia K4 hatchback
Pricefrom $32,090 plus on-road costs
Drivetrain1999cc naturally aspirated or 1598cc turbocharged four-cylinder engines
TransmissionCVT (2.0L) or 8-speed automatic (1.6T), FWD
Peak power110kW (2.0L) – 142kW (1.6T)
Peak torque180Nm (2.0L) – 265Nm (1.6T)
0-100km/h7.5 seconds (est., 1.6T) – 9.5 seconds (est., 2.0L)
Claimed combined fuel consumption/CO2 emissions6.1-7.4L/100km, 143-169g/km
Fuel type/tank size91RON regular unleaded, 47 litres
Dimensions (length/width/height/wheelbase)4440/1850/1435/2720mm
Tare mass1388-1453kg
Boot438 litres (rear seats up), 1217 litres (rear seats folded)
WarrantySeven-year/unlimited km with up to eight years of roadside assistance
Service intervals/five-year costAnnually/every 15,000km (2.0L) or 10,000km (1.6T), $2322 (2.0L)-$2459 (1.6T)
On saleNow

Kia K4 S standard features:

  • 16-inch alloys wheels with a space-saver spare
  • Keyless entry with push button start
  • Remote start
  • Dusk-sensing automatic LED headlights
  • LED front and rear daytime running lights
  • Manual air-conditioning with rear air vents
  • Cloth upholstery
  • Height-adjustable front seats
  • Heated and auto-folding mirrors
  • 4.0-inch driver’s display
  • 12.3-inch touchscreen with live services and over-the-air updates
  • Kia Connect Telematics (eCalling, remote control, vehicle status monitoring, etc. from the Kia Connect smartphone app)
  • Wireless Apple CarPlay and Android Auto
  • AM/FM/DAB+ digital radio
  • Six-speaker sound system
  • 4x USB-C ports

Kia K4 S safety features:

  • 7x airbags (including a front centre unit)
  • Automatic emergency braking with car, pedestrian, cyclist and intersection monitoring
  • Adaptive cruise control with stop and go functionality
  • Lane keep assist with adaptive lane guidance
  • Blind-spot detection (with braking)
  • Rear cross-traffic alert (with braking)
  • Rear occupant alert
  • Safe exit warning
  • Traffic sign recognition
  • Driver attention monitoring
  • Auto high beam
  • Front and rear parking sensors
  • Reversing camera
  • Burglar alarm
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K4 S Safety Pack adds:

  • More advanced autonomous emergency braking (AEB) system with junction crossing and oncoming lane change detection
  • 12.3-inch digital driver’s display
  • Dual-zone automatic climate control with a 5.0-inch touchscreen
  • Automatic window defogging

K4 Sport adds to S Safety Pack:

  • 17-inch alloy wheels
  • Satellite navigation with 10 years of live traffic and map updates
  • Semi-autonomous highway driving tech with lane change assist

K4 Sport+ adds to Sport:

  • Synthetic leather upholstery
  • Heated front seats
  • Rain-sensing automatic aero blade wipers
  • Auto-dimming rear mirror
  • Solar glass windscreen

K4 GT-Line adds to Sport+:

  • Turbocharged engine with eight-speed automatic transmission
  • 18-inch alloy wheels
  • Multi-link independent rear suspension
  • Sunroof
  • Heated synthetic leather steering wheel
  • Ventilated front seats
  • 10-way electric driver’s seat with memory
  • Eight-speaker Harman Kardon sound system
  • Ambient cabin lighting
  • Wireless phone charger