Best Small Cars in Australia
Looking to get into a brand-new small car? Our stories below will guide you to the model that best suits your needs:
Tesla and Polestar recorded 4921 Australian battery-electric vehicle deliveries in July 2026, more than four times the 1147 vehicles reported during the same month last year.
The result was the third-highest monthly total for the two brands this year, behind the peaks recorded in May and June, despite an expected slowdown following the end of the financial year.
Tesla accounted for most of the volume, delivering 4778 vehicles during July, up from 917 a year earlier. Polestar recorded 143 deliveries, down 37.8 per cent from 230 in July 2025.

The Tesla Model Y family dominated the figures with 4644 deliveries, comprising 2215 examples of the regular Model Y and 2429 of the longer-wheelbase Model Y L.
July marked the first time the six-seat Model Y L was listed separately in the Electric Vehicle Council report. The variant has been available in Australia since March 13, 2026.
By comparison, Tesla delivered 134 Model 3 sedans during the month, down 63 per cent from 362 in July last year.
Among Polestar models, the Polestar 2 recorded 77 deliveries, followed by the Polestar 4 with 56 and Polestar 3 with 10.
Combined Tesla and Polestar deliveries reached 29,711 during the first seven months of 2026, representing an 80.4 per cent increase over the 16,466 vehicles recorded during the same period last year.

Queensland recorded the strongest year-to-date growth, rising 93.4 per cent to 6314 deliveries. NSW increased 87.5 per cent to 9700, while Victoria climbed 87.4 per cent to 8874.
July growth was particularly strong in Victoria, where deliveries rose from 250 to 1501. NSW increased from 352 to 1523, while Queensland climbed from 272 to 1280.
EVC chief executive Julie Delvecchio said lower running costs, petrol-price uncertainty and a wider choice of models were contributing to demand.
The report covers only Tesla and Polestar, which provide sales data directly to the EVC, and does not represent Australia’s entire electric-vehicle market. Deliveries are recorded when vehicles reach customers rather than when orders are placed.
Honda Australia has announced local pricing for its new Super-One light hatchback, which is now available to pre-order ahead of the first deliveries commencing from October 1. Priced from $36,900 driveaway, the Super-One is Honda‘s first electric car in Australia and offers a driving range of up to 253km from its 29.6kWh battery.
Two Super-One variants will be offered locally: the $36,900 driveaway standard model, and then a special edition two-tone model with the ‘Violet Boost’ and a black roof exterior colouring. According to Honda, the pricing confirmation comes following a “groundswell of interest from Australian drivers” with an expressions-of-interest campaign that has to date attracted over 6500 sign-ups, which is more than the latest Civic Type R.
The Super-One is based on the Japanese market N:One kei car, and measures only 3500mm in length. Its styling has been influenced by the 1980s Honda City Turbo, and its sporty exterior highlights include enlarged wheel arches, a roof spoiler and black alloy wheels.

The Super-One weighs just 1093kg, which is very light for an EV, and it features a 29.6kWh lithium-ion battery for a claimed 253km of range, as well as adjustable regenerative braking and a one-pedal driving mode. According to Honda, the Super-One can be DC fast charged from 15 to 80 per cent in 30 minutes.
The standard power output is 47kW, but pressing the boost button on the steering wheel increases that to 70kW with 162Nm of torque. Boost mode also activates a simulated seven-speed manual mode controlled by the paddle shifters behind the steering wheel, as well as an synthesised engine-like soundtrack that plays through the speakers.
Honda is yet to announce full standard equipment, but judging from the Australian-spec car in images provided by Honda, highlights will include a 9.0-inch touchscreen, LED exterior lighting, automatic climate control, Bose audio, the company’s ‘Magic Seats’ and safety features like adaptive lane centring.

Honda Australia Director of Automotive, Robert Thorp, said: “Honda Super-One is our first BEV in Australia and is not only truly unique it’s also bursting at the seams with character and content. It is distinctive, stylish, affordable, and most of all, fun, seamlessly translating Honda’s joy to drive, joy to own philosophy into the BEV era.”
“Since Honda Super-ONE made its Australian debut earlier this year, we have been inundated with interest. With a highly competitive driveaway price backed by our 60-year strong reputation of looking after customers in Australia, we look forward to seeing Honda Super-ONEs darting about our cities and demonstrating how fun an EV can be.”
| Super-One: | $36,900 |
|---|---|
| Two-Tone: | $37,400 |
Pre-orders for the Honda Super-One are now open ahead of its October 1 on-sale date.
Chery has appointed Australian engineering firm Premcar to carry out local testing and validation of its upcoming Stockman dual-cab ute, as the Chinese brand steps up preparations for its entry into Australia’s fiercely competitive ute market.
The locally based engineering company will assess the Stockman’s ride and handling across a range of Australian road conditions before the vehicle goes on sale, with the program intended to ensure the ute meets the expectations of local buyers.
Premcar, best known for developing Nissan’s Warrior models for Australia and undertaking vehicle engineering programs for multiple manufacturers, will evaluate the Stockman’s suspension and chassis tuning before the model’s local launch.

The Stockman is Chery’s first ute and represents a significant expansion of the brand’s Australian line-up beyond SUVs. The name was selected earlier this year following a public competition, beating thousands of suggestions from Australian entrants.
Earlier details released by Chery indicate the Stockman will be offered with a choice of turbo-diesel and plug-in hybrid powertrains, with performance-focused variants also planned. The ute is expected to target established rivals including the Ford Ranger, Toyota HiLux, Isuzu D-Max and BYD Shark 6.
Chery Motor Australia chief operating officer Lucas Harris said Australia’s demanding conditions made local validation an important part of the development process.
He said Australian customers expected a ute capable of handling everything from city commuting to heavy-duty work and off-road driving, making extensive local testing essential before launch.

Premcar chief executive Bernie Quinn said the engineering company would assess the vehicle across a variety of Australian conditions to validate Chery’s intended ride and handling characteristics.
Australia has become an increasingly important proving ground for global ute manufacturers, with many brands undertaking local suspension tuning or durability testing before releasing new models. Buyers in the segment typically expect a balance of on-road comfort, towing capability and off-road performance.
The Chery Stockman is scheduled to arrive in Australia in late 2026, with further details, including final specifications, pricing and model grades, expected closer to launch. The new ute is set to become one of the biggest additions to Chery’s rapidly expanding local range as the brand continues to grow its presence in Australia.
Geely has become the first automotive brand in Australia to launch a virtual vehicle showroom on Amazon Australia, giving prospective buyers a new way to research and book test drives for its incoming EX2 electric hatchback.
The online showroom, developed in partnership with Amazon Ads ANZ, allows customers visiting Amazon.com.au to explore the EX2’s features, view state-based pricing and submit enquiries that connect them with their nearest Geely dealership.
The initiative also includes interactive advertising on Prime Video, designed to direct viewers to the virtual showroom and encourage test-drive bookings.

The move reflects a broader shift by automotive brands towards digital retailing, allowing customers to begin much of the vehicle research process online before visiting a dealership.
Geely said it intends to expand its presence across additional online platforms in the future as it looks to increase awareness of its Australian model range.
The EX2, which officially launches in Sydney on August 5, will be offered locally in two grades: Complete and Inspire.
Pricing starts from $26,490 plus on-road costs for the Complete, while the flagship Inspire is priced from $30,990 plus on-road costs, placing the small electric hatch among Australia’s most affordable battery-electric passenger cars.
The Chinese brand says the EX2 has been designed to appeal to buyers seeking an affordable electric vehicle without sacrificing cabin space, technology or safety features.
Geely Auto Australia Marketing Director Beryl Thomas said the collaboration with Amazon was aimed at making it easier for customers to discover the brand through platforms they already use.

Amazon Ads ANZ Head of Sales (Non-Endemic) Jessica Roach said the partnership marked the first virtual automotive showroom on Amazon Australia and demonstrated how digital retail experiences could be adapted for vehicle shopping.
The EX2 is the latest model in Geely’s Australian expansion plans as the company seeks to establish itself in the increasingly competitive entry-level electric vehicle segment.
The virtual showroom can be viewed here: https://www.amazon.com.au/geely
The iX3 medium SUV is the first BMW under its reborn Neue Klasse (New Class) philosophy, previously seen in the early 1960s and considered the financial saviour of the then-struggling German brand.

BMW doesn’t need saving today. Instead, the 21st century Neue Klasse signifies a ground-up rethink of the brand’s electric future. It’s the first step in an onslaught that will see BMW release 40 all-new or updated models over the next two years.
Getting the ball rolling, BMW’s newest electric SUV arrives in Australia with two highly-specified variants – the entry-level iX3 40 ($89,900) and the $109,900 iX3 50 xDrive, which serves as flagship of the range for the time being with a sportier M-badged version likely to follow.
The differences between the two available models come down to powertrain, with both generously equipped with features and creature comforts befitting the BMW badge.

Headline acts include artificial leather seat upholstery, heated front seats and steering wheel, 20-inch alloys, panoramic sunroof, Harman Kardon sound system, powered tailgate and the stunning and new Panoramic Vision driver display that projects a wealth of driving and other data across the width of the iX3 windscreen.
Underscoring how comprehensively the iX3 is equipped, there are precious few options to be had, the choices largely down to wheel size (21s and 22s are available), paint colour, genuine leather seat upholstery and the M Sport Pro pack that adds a smattering of M-inspired and branded design elements.
It’s the iX3’s hardware that is the real star of the show. BMW didn’t have the entry-level iX3 40 on hand at launch but its headline numbers make for good reading. An 82.6kWh battery powers a single 235kW/500Nm electric motor at the rear wheels for a spirited 0-100km/h claim of 5.9 seconds. Driving range is rated at 635km based on WLTP testing protocols.

But it’s the erstwhile flagship iX3 50 xDrive that really showcases BMW’s new electric direction. A bigger 108.7kWh battery offers a claimed 805km of range, a stunning number considering just a few years ago 450-500km was considered pretty good, and anything over 500km exceptional.
Motivation comes from two electric motors, one at each axle, for combined system outputs of 345kW and 645Nm. Zero to 100km/h? A very brisk 4.9 seconds.
The iX3’s 800-volt electric architecture ensures the mid-sizer is capable of superfast DC charging at 400kW, even if their availability in Australia is non-existent, for now. So expect charge times slower than the 21 minutes quoted for 10-80 per cent at 400kW. AC charging maxes out at a decent 22kW and will take just under six hours to replenish the battery from 0-100 per cent.
BMW’s bold new design language is on full display in the iX3, and to good effect. It’s distinctive and modern but with more than a passing nod to the original Neue Klasse courtesy of the slim ‘kidney grilles’ on the nose. After years of ‘beaver’ grilles, the iX3’s front marks a return to form for BMW’s design department.

Elsewhere, sharp lines and clean surfaces along with flush door handles contribute to a sleek drag coefficient of just 0.24Cd, a remarkable number for a high-riding SUV.
BMW’s reinvention continues inside with new steering wheel designs and a brand new dash incorporating the brand’s new Panoramic Vision driver display. Replacing traditional dials and gauges, the customisable display runs along the width of the windscreens’ base, projecting vital driving data on the driver’s side like speed, range, and the battery’s state of charge. The central and passenger sections can then be customised to offer a smorgasbord of other data including navigation and trip information. It looks a million bucks, but better still is easy to customise while its vital information remains easily within the line of sight.
A crisp 17.8-inch touchscreen hosts the iX3’s vital functions and the usual array of smartphone integration. The complexity of the setup is a little bewildering at first but gets easier with familiarity.

Second-row comfort is generous with a flat floor and a seat height that promotes good vision to the outside world and a comfortable seating position. A generous 520-litre cargo area expands to 1750 litres with the second row stowed away.
BMW’s engineers have ensured the iX3 feels like a BMW to drive. Central to the driving experience is what BMW calls its ‘Heart of Joy’, a centralised super-processor that manages and optimises every element of the iX3’s hardware. Steering, braking, power delivery, vehicle dynamics; all of it sings through the ‘Heart of Joy’ to deliver a connected feeling behind the wheel.
Sure, the iX3’s electric powertrain might not hold the same visceral appeal as a barking inline-six, but neither does it feel like a run-of-the-mill EV to drive.

There’s engagement to be found in the iX3 – quiet and serene yes, but engagement nevertheless. Acceleration feels plentiful, and the rear-bias of the xDrive all-wheel drive system imbues the mid-sizer with character. Punching out of corners will induce some manageable tail-wagging, all of it well-controlled by the BMW’s many super-processors.
For all of its computing power, the iX3 still feels properly engaging to drive. There’s no disconnect from what’s happening at the wheels. Instead, a measure of tactility remains pleasingly front-and-centre.
The steering stands out, and not just for BMW’s new steering wheel design, which is a work of art in itself. An electrically-assisted variable-speed rack brings pinpoint accuracy and directness, keenly felt when linking some corners together.
The brakes deserve special mention too. BMW claims that around 98 per cent of braking is taken care of via the iX3’s regenerative system. Yet despite this electric wizardry, brake pedal feel is reassuring, the retardation of speed entirely predictable, which is most noticeable through a series of winding roads and corners.

And it’s here where the iX3’s dynamic abilities are put to the test, an examination passed with flying colours. Make no mistake, at 2285kg kerb weight, BMW’s mid-size SUV is no lightweight. But that heft is soon forgotten, countered by a nicely-balanced chassis that remains flat and composed. BMW has opted for a traditional steel coil suspension setup, with fixed dampers that eschew the fancier applications – like air suspension – found in some luxury SUVs. That works to the iX3’s benefit, with a feeling of solidity and reassurance from behind the wheel that’s hard not to like.
If there’s one complaint, it’s minor. And that’s the naturally firm set of the suspension tune which results in a fussy ride over imperfections and minor road abrasions. It’s not uncomfortable, just noticeable, and at odds with the rest of the iX3’s excellent ride and handling package. The caveat here is that this was most keenly felt on the optional 22-inch rims of our test car. Swapping out to an iX3 with the standard 20-inch wheels and their bigger rubber improved road comfort no end. The bonus here is that smaller wheels equals better economy, BMW estimating by their back-of-the-napkin maths that every inch increase in wheel size equates to five per cent loss in driving range.

So how did the iX3 fare on economy? BMW claims between 18.8-15.1kWh/100km on the combined cycle. Our first stint on 22-inch wheels returned an indicated 19kWh/100km while session two on the smaller 20-inch wheels saw 17kWh/100km.
BMW has gone all-in with its neue Neue Klasse and first impressions indicate it’s a gamble that has paid off. The iX3 has laid the foundations of the future of the brand and done so in a handsome, engaging and technologically mature manner.
Not only has BMW redefined its own strategy around EVs, it’s laid down new markers for those to follow.
| Price | $109,900 plus on-road costs |
|---|---|
| Drivetrain | Two electric motors |
| Battery | 108.7kWh |
| Range | 805km (WLTP, claimed) |
| Peak power | 345kW |
| Peak torque | 645Nm |
| Transmission | Automatic, AWD |
| 0-100km/h | 4.9 seconds |
| Top speed | 210km/h |
| Energy consumption | 18.8-15.1kWh/100km (claimed) |
| Weight | 2285kg (kerb) |
| Dimensions (l/w/h/w-b) | 4782/1895/1635/2897mm |
| Warranty | 5yr/unlimited km (vehicle) |
| Servicing | $1614 (4 years) / $2420 (6 years) |
| On Sale | Now |
Lamborghini has unveiled a special-edition version of its flagship Revuelto, celebrating 60 years since the debut of the legendary Miura – the model widely credited with establishing the modern mid-engined supercar formula.
Known as the Revuelto Miura 60 Homage, the exclusive model will be limited to just 99 examples worldwide and draws heavily on the styling of the iconic 1966 Miura through a series of bespoke exterior and interior details.
Developed through Lamborghini’s Ad Personam personalisation division, the anniversary edition is available in one of nine heritage paint finishes inspired by original Miura colours. Each is paired with a contrasting lower body treatment that echoes the gold or silver side sills seen on many classic Miuras, while matching alloy wheel finishes further reinforce the retro theme.

Special Miura 60 badging sits alongside black Revuelto script, while the exhaust outlets and brake calipers are also finished in black to maintain the understated appearance.
Inside, Lamborghini has reinterpreted the Miura’s distinctive Cannelloni seat design with ribbed leather upholstery, complemented by extended leather trim across the centre console, doors and rear bulkhead. Buyers can also choose interior colours inspired by historic Miura specifications, creating a visual link between the classic supercar and its modern successor.
Exclusive embroidery between the seats and a numbered carbon-fibre plaque identify each of the 99 vehicles.

Mechanical specifications remain unchanged. The Revuelto continues to pair a naturally aspirated 6.5-litre V12 engine with three electric motors and an eight-speed dual-clutch transmission, while the larger 20-inch front and 21-inch rear wheel package is fitted as standard to the anniversary model.
A Victorian man is hoping to get up to $30,000 for his 2009 Toyota LandCruiser after driving it for a hair’s breadth less than a million kilometres.
Gary Driscoll put his pride and joy up for auction on Monday after putting it through its paces to the tune of 180km a day in his work as a stock agent in the state’s far north-west.
Whoever puts in the winning bid will get to watch the odometer click over to the magical one million mark, as Gary was nice enough to leave it sitting on 999,999km as a gift to the new owner.

His 200 Series Sahara – which he has been driving since April 2010 – is still running its original engine and transmission, and has been serviced close to 100 times, with the starter motor replaced once she’d racked up 973,000km.
Driscoll has been nice enough to throw in the vehicle’s original rubber mats and cargo mat, but he confesses he has no idea what will happen once the odometer turns over.
‘I’m not sure Toyota even know because I don’t think there’s been another 200 Series that has done it,’ he said.
‘So whether it goes back to zeroes … Toyota have got the feeling that it might just stay on all the nines, but we won’t know until someone gets in it and goes for a drive.’
Horsham Toyota, where the LandCruiser has been serviced, said Gary’s 4WD is the first million-kilometre vehicle the dealership has come across.

However, the manufacturer said Gary is one of several Aussies who’ve reached the incredible milestone in one of its products.
The auction will run for two weeks and Gary’s not getting his hopes up for a huge windfall despite the LandCruiser’s undeniable rarity.
‘The car itself ordinarily might be worth $30,000 to $35,000, somewhere around that, but that’s for a car with maybe less than half those kilometres on it,’ he said.
‘I’m not sure there’d be a whole lot of people lining up for that because obviously the usefulness of the car and how much you’re going to get out of it will be diminished compared with a similar car with fewer kilometres on it.
‘So, maybe it might get $20,000 to $30,000 if someone decides there is a bit of fun factor to it.’
The biggest overhaul to the LandCruiser was the replacement of two alternators – which is outstanding considering the Toyota has spent its lifetime travelling rough country roads that Gary describes as ‘absolutely scheissenhausen’.
He hailed the vehicle’s condition by pointing out that there’s ‘not one squeak’ or rattle when he tows a trailer with it.
‘Anyone who says they don’t need to have a Sahara, well, they don’t know what they’re missing out on,’ he said.
Gary recently had to get the Cruiser towed back to Horsham Toyota, where it awaits its new owner – but not because of any mechanical failure.
He took her for a drive with a local TV news crew and had to pull over once he realised he’d gone a bit too far and would’ve gone into million-kilometre territory if he’d pressed on.
The dealership’s general sales manager, Joel Kelly, believes Toyota will speak to Gary about whether the company buys the vehicle from him so it can be added to the ‘Toyota museum’.
Interested in making a bid? You can check out the LandCruiser right here at Auctions Plus.

Price: From $66,500 plus on-road costs (CLA 180)
Drivetrain: 1.5-litre turbocharged four-cylinder 48-volt mild-hybrid, eight-speed dual-clutch, front- or
all-wheel drive
Outputs: 100kW/200Nm (CLA 180), 120kW/250Nm (CLA 200), 140kW/300Nm (CLA 220 4Matic)
Claimed combined fuel consumption: 5.4L/100km (CLA 180 and CLA 200), 5.8L/100km (CLA 220
4Matic)
Warranty: Five-year/unlimited km
Five-year service cost: $6710
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Now in its third generation, the Mercedes-Benz CLA has entered a new era, offering both electric and hybrid powertrains to appeal to a broader range of buyers. To achieve this, Mercedes-Benz developed an all-new platform designed to maximise efficiency, enable ultra-fast charging in EV form and accommodate a new hybrid drivetrain. The result is one of the most technologically advanced small cars on sale – but is it the best?
In Australia, the all-electric range starts from $72,200 plus on-road costs, while the more affordable hybrid line-up opens at $66,500 plus on-road costs for the CLA 180, rising to $68,100 for the CLA 200 and $84,300 plus on-road costs for the flagship CLA 220 4Matic. That places it almost $5000 above the entry-level BMW 2 Series Gran Coupe and nearly $9000 dearer than the base Audi A3 sedan, but the CLA is an all-new model that feels significantly more modern.
Mercedes-Benz has also ensured the CLA is generously equipped. Even the entry-level CLA 180 comes standard with automatic LED lighting, Artico synthetic leather upholstery, wireless smartphone charging, a panoramic glass roof and the brand’s new MB.OS operating system, which integrates Google and Microsoft AI technologies. Interior quality is impressive, while the sleek dashboard and ambient lighting create a futuristic atmosphere. Rear-seat space is only average, although the 405-litre boot is competitive. Buyers needing more practicality will also be able to choose the CLA Shooting Brake, due to arrive in Australia later this year.
The mild-hybrid range is powered by a single 1.5-litre turbocharged four-cylinder engine offered in three outputs: 100kW/200Nm in the CLA 180, 120kW/250Nm in the CLA 200 and 140kW/300Nm in the all-wheel-drive CLA 220 4Matic. Performance is strong throughout the range, with even the CLA 180 reaching 100km/h in less than nine seconds (8.0 seconds for the CLA 200 and 7.1 seconds for the CLA 220 4Matic). The hybrid system also allows the car to operate on electric power alone more often than expected for a mild hybrid.
Fuel efficiency is another highlight. The CLA 180 and CLA 200 are both rated at 5.4L/100km combined, while the more powerful all-wheel-drive CLA 220 4Matic consumes a claimed 5.8L/100km.
Mercedes-Benz Australia backs the CLA with a five-year/unlimited-kilometre warranty, which is competitive for a premium brand, although shorter than many mainstream rivals. Servicing is expensive, however, with a prepaid five-year plan for the mild-hybrid range costing $6710, or $1342 per year. The upside is long 25,000km service intervals.
Regardless of the drivetrain, the new Mercedes-Benz CLA is an impressive effort. Efficient yet punchy powertrains, generous standard equipment, cutting-edge in-car technology and relatively competitive pricing make it a compelling premium small car. Buyers can also choose an all-electric version, while the only real drawbacks are the modest rear-seat space and high servicing costs. Overall, the new CLA sets a high benchmark for premium hybrid small cars.

Price: $54,800 plus ORC (35 TFSI Sportback S line), $57,800 plus ORC (35 TFSI Sedan S line)
Drivetrain: 110kW/250Nm 1.5-litre turbocharged four-cylinder petrol MHEV, FWD
Fuel consumption: 5.3L/100km
Warranty: Five-year/unlimited kilometre
Five-year service cost: $2520
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Audi’s facelifted A3 continues to set the benchmark for cabin quality in the premium small-car segment, combining understated styling with impressive refinement and an engaging drive. Available as either a Sportback hatch or Sedan, the Australian line-up has been simplified to a single 35 TFSI S line variant, with the hotter S3 sitting above it.
While prices have increased, Audi has added considerably more standard equipment. Every A3 now comes with S line exterior and interior styling, 18-inch alloy wheels, heated sports front seats, a 12.3-inch Virtual Cockpit digital instrument display, a 10.1-inch infotainment touchscreen, tri-zone climate control and wireless smartphone connectivity. Material quality remains among the best in the class, with solid switchgear and a polished, premium feel throughout.
Power comes from a 1.5-litre turbocharged four-cylinder petrol engine producing 110kW and 250Nm, paired with a seven-speed dual-clutch automatic transmission and front-wheel drive. Mild-hybrid assistance helps improve efficiency rather than outright performance, with a claimed fuel consumption of just 5.3L/100km. The drivetrain delivers smooth, effortless progress around town and is refined on the highway, although enthusiastic drivers may find it lacks the punch suggested by the A3’s aggressive S line styling.
Where the Audi shines is on the road. Built on Volkswagen Group’s proven MQB Evo platform, the A3 feels composed, quiet and confidence-inspiring, with well-weighted steering, excellent body control and a supple ride that makes it equally comfortable commuting or covering long distances. It strikes an impressive balance between comfort and driver engagement.
Rear-seat accommodation is adequate rather than generous, and while the boot is practical enough for everyday duties, rivals offer more outright space. Still, for buyers seeking a premium hatch or sedan that delivers exceptional build quality, modern technology and mature driving manners, the Audi A3 remains one of the strongest all-rounders in its class – even if its asking price now places it firmly into premium territory.

Price: From $58,700 plus on-road costs (118); $84,700 (M135 xDrive) plus ORC
Drivetrain: 1.5-litre turbocharged three-cylinder 48-volt mild-hybrid or 2.0-litre turbocharged four-cylinder petrol, seven-speed dual-clutch automatic, front-wheel drive (118) or all-wheel drive (M135 xDrive)
Outputs: 115kW/230Nm (118), 233kW/400Nm (M135 xDrive)
Claimed combined fuel consumption: 6.4L/100km (118), 7.8L/100km (M135 xDrive)
Warranty: Five-year/unlimited km
Five-year service cost: $2470
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The BMW 1 Series has evolved considerably since the original rear-wheel-drive hatch debuted two decades ago. The latest fourth-generation model continues with a front-wheel-drive platform shared with the X1, but BMW has sharpened its styling, introduced a more sophisticated mild-hybrid drivetrain and significantly upgraded the technology inside. The result is a premium hatch that feels more modern and refined than before, while still retaining enough of BMW’s traditional sporty character to justify the famous badge.
The Australian range consists of the entry-level 118 M Sport and the flagship M135 xDrive. Standard equipment is generous, with the 118 featuring 18-inch alloy wheels, adaptive LED headlights, keyless entry and start, a curved dual-screen display running BMW Operating System 9, wireless Apple CarPlay and Android Auto, wireless phone charging, satellite navigation and an extensive suite of active safety equipment. The M135 xDrive builds on that with adaptive suspension, larger brakes, sports seats, M-specific styling, additional performance hardware and optional features such as BMW’s illuminated kidney grille and panoramic glass roof.
Inside, the 1 Series feels every bit a modern BMW. Material quality is excellent, the curved display is crisp and responsive, and the cabin design strikes a pleasing balance between minimalist styling and premium ambience. Front-seat accommodation is excellent, though rear-seat space remains merely adequate compared with some mainstream rivals. The 380-litre boot is competitive for the premium small hatch segment.
The new 118 replaces the previous 118i with a 48-volt mild-hybrid system that provides noticeably smoother performance, better low-speed responsiveness and improved refinement. While outright performance is brisk rather than rapid, the drivetrain is well matched to the seven-speed dual-clutch transmission and delivers strong fuel efficiency. Buyers seeking genuine hot hatch performance can step up to the M135 xDrive, whose 233kW turbocharged four-cylinder and all-wheel-drive system provide genuinely rapid acceleration and impressive grip.
BMW backs the 1 Series with a five-year/unlimited kilometre warranty, while a five-year/80,000km Service Inclusive package costs $2470. Servicing isn’t inexpensive compared with mainstream rivals, though it remains competitive within the premium segment.
Overall, the latest BMW 1 Series is one of the strongest premium hatchbacks on sale. It combines high-quality cabin execution, impressive in-car technology, refined drivetrains and rewarding driving dynamics into a polished package. It’s more expensive than mainstream alternatives and rear-seat space could be better, but for buyers wanting a genuinely premium small hatch, the 1 Series remains one of the segment benchmarks.

Price: From $32,990 driveaway (G20 Pure), up to $46,604 driveaway (Astina)
Drivetrain: 2.0-litre naturally aspirated four-cylinder petrol or 2.5-litre naturally aspirated four-cylinder petrol, six-speed manual or six-speed automatic, front-wheel drive
Outputs: 114kW/200Nm (G20), 139kW/252Nm (G25)
Claimed combined fuel consumption: 5.8-5.9L/100km (G20), 6.5-6.6L/100km (G25)
Warranty: Five-year/unlimited km
Five-year service cost: $2311 (G20), $2345 (G25)
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The current Mazda3 may have been on sale since 2019, but it remains one of the most accomplished and desirable small cars in Australia. Rather than chasing outright value or the latest hybrid technology, Mazda has focused on delivering premium design, exceptional build quality and an engaging driving experience. As a result, the Mazda3 continues to compete strongly against newer rivals such as the Toyota Corolla, Kia K4 and Honda Civic despite its age.
Available in both hatchback and sedan body styles, the Mazda3 range spans six grades from the entry-level G20 Pure through to the flagship G25 Astina. Even the Pure is well equipped with LED headlights, 16-inch alloy wheels, satellite navigation, wireless Apple CarPlay and Android Auto, Mazda Connected Services, adaptive cruise control, rear parking sensors and a comprehensive suite of active safety equipment. Higher grades add larger alloy wheels, leather upholstery, heated front seats, a head-up display, Bose audio, a 360-degree camera and adaptive LED headlights, giving the Astina a genuinely premium feel.
The Mazda3’s cabin remains one of the benchmarks in the class. Material quality rivals many entry-level luxury cars, while the restrained dashboard design and excellent driving position give it a sophisticated feel. It’s also exceptionally quiet on the move thanks to impressive noise suppression. Rear-seat accommodation and boot space are less impressive, however, particularly in the hatch, which offers just 295 litres of cargo capacity. Buyers needing maximum practicality may find competitors such as the Kia K4 or Skoda Octavia better suited to family duties.
On the road, the Mazda3 delivers a polished and confidence-inspiring driving experience. Both naturally aspirated petrol engines are smooth and responsive, with the 2.5-litre G25 offering noticeably stronger performance than the 2.0-litre G20. The steering is precise, ride quality is composed and the chassis strikes an excellent balance between comfort and driver involvement. While rivals increasingly offer hybrid drivetrains, the Mazda3’s efficient petrol engines still return respectable fuel economy of as little as 5.8L/100km.
Mazda backs the range with a five-year/unlimited kilometre warranty and five years of roadside assistance, while servicing is required every 12 months or 15,000km. Five years of scheduled servicing costs a reasonable $2311 for the G20 and $2345 for G25 variants, making ownership costs competitive within the segment.
Despite its advancing years, the Mazda3 remains one of Australia’s best all-round small cars. Its premium interior, refined driving manners, handsome styling and strong ownership credentials ensure it continues to punch above its price point. It could benefit from more rear-seat space and a hybrid option, but for buyers who value quality and driving enjoyment, the Mazda3 remains one of the class leaders.

Price: From $41,990 plus on-road costs (Cooper C Core 3 Door)
Drivetrain: 1.5-litre turbocharged three-cylinder or 2.0-litre turbocharged four-cylinder petrol, seven-speed dual-clutch automatic, front-wheel drive
Outputs: 115kW/230Nm (Cooper C), 150kW/300Nm (Cooper S), 170kW/380Nm (John Cooper Works)
Claimed combined fuel consumption: 6.0-6.3L/100km (Cooper C), 6.3-6.5L/100km (Cooper S), 6.8L/100km (John Cooper Works)
Warranty: Five-year/unlimited km
Five-year service cost: $2425
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Few cars have managed to remain as instantly recognisable as the MINI Cooper. More than two decades after BMW reinvented the British icon, the latest-generation Cooper continues to blend retro-inspired styling with modern technology, improved refinement and engaging driving dynamics. While the new model looks familiar from the outside, almost everything underneath has been updated, making it the most sophisticated petrol-powered MINI yet.
The Australian range is extensive, spanning three-door and five-door hatchbacks plus a convertible, with Cooper C, Cooper S and John Cooper Works petrol variants joined by fully electric alternatives. The entry-level Cooper C Core offers strong value with LED headlights, 17-inch alloy wheels, keyless entry, wireless Apple CarPlay and Android Auto, wireless phone charging, satellite navigation and MINI’s distinctive circular OLED infotainment display running Operating System 9. Higher-spec Classic, Favoured and JCW variants add features such as premium upholstery, a head-up display, Harman Kardon audio, panoramic glass roof and adaptive suspension depending on the model.
Inside, the latest MINI feels more premium than ever. The dashboard is beautifully finished, with high-quality materials and a distinctive minimalist design centred around the large circular OLED touchscreen. It retains plenty of MINI character while feeling more upmarket than before. Front-seat comfort is excellent, though rear-seat space remains tight, particularly in the three-door hatch. Boot space is also modest at 210 litres, though the five-door version improves practicality for buyers who regularly carry passengers or luggage.
Regardless of engine choice, the MINI remains one of the most enjoyable small cars to drive. The Cooper C’s turbocharged three-cylinder delivers lively performance and impressive refinement, while the Cooper S adds considerably more punch without sacrificing everyday usability. Enthusiasts will naturally gravitate towards the John Cooper Works, whose 170kW turbocharged engine, sharp steering and agile chassis deliver genuine hot hatch performance. Ride quality is firmer than many rivals, but the MINI rewards keen drivers with excellent body control and plenty of character.
MINI backs the Cooper with a five-year/unlimited kilometre warranty and condition-based servicing, with a five-year/80,000km prepaid Service Inclusive package costing $2425. While ownership costs are higher than some mainstream competitors, they’re competitive within the premium small car segment.

Price: From $42,490 driveaway (GT Hybrid)
Drivetrain: 1.2-litre turbocharged three-cylinder 48-volt mild-hybrid, six-speed electrified dual-clutch automatic, front-wheel drive
Outputs: 107kW/230Nm (GT Hybrid)
Claimed combined fuel consumption: (GT Hybrid)
Warranty: Five-year/unlimited km
Five-year service cost: $1950
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French cars have long marched to the beat of their own drum and the Peugeot 308 is one of the best examples. Rather than chasing outright value or performance, the 308 focuses on distinctive styling, a premium-feeling cabin and impressive efficiency. Updated with a new 48-volt mild-hybrid powertrain, the current 308 is a far more convincing package than its predecessor and remains one of the more interesting alternatives to mainstream rivals such as the Toyota Corolla, Mazda 3 and Volkswagen Golf.
Standard equipment is generous, with even the entry-level model featuring 18-inch alloy wheels, LED lighting, keyless entry and start, dual-zone climate control, a 10-inch digital instrument display, a 10-inch touchscreen with wireless Apple CarPlay and Android Auto, wireless phone charging and a comprehensive suite of active safety technology.
Inside, the 308 feels more expensive than many rivals thanks to high-quality materials and Peugeot‘s distinctive i-Cockpit layout with its compact steering wheel and high-mounted digital instruments. The cabin design is refreshingly different, although the driving position won’t suit everyone. Rear-seat accommodation is adequate rather than class-leading, while the 412-litre boot is competitive for the segment.
Performance isn’t especially rapid, but the new hybrid drivetrain is smooth, refined and noticeably more responsive than the old petrol engine thanks to the electric motor’s assistance at low speeds. The chassis is another highlight, delivering sharp steering, excellent body control and a ride that strikes a pleasing balance between comfort and agility. Official fuel consumption of just 4.2L/100km also makes it one of the most efficient non-plug-in small cars available.
Ownership costs are reasonable as well. Peugeot backs the 308 with a five-year/unlimited kilometre warranty and five years of scheduled servicing costs $1950, making it relatively affordable to maintain for a European hatchback.
The Peugeot 308 won’t suit buyers who simply want the cheapest or roomiest small car, but it offers genuine character, standout styling, an upmarket interior and impressive efficiency. For drivers looking for something different without sacrificing refinement or technology, it’s a compelling European alternative to the segment’s established favourites.
Looking to get into a brand-new small car? Our stories below will guide you to the model that best suits your needs:

Price: From $85,000 driveaway
Drivetrain: 2.0L 4-cylinder turbo-petrol, 235kW/420Nm, 6-speed manual FWD
Combined fuel economy, CO2 emissions, fuel type: 8.7L/100km, 199g/km, 95RON
Warranty: Five-year/unlimited km, 5 years’ roadside assistance
Service cost: $995 (5 years/50,000km)
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When the current generation Civic Type R landed on our shores in 2023, the glowing reviews came thick and fast. Here was a hot hatch that was undeniably quick (0-100km/h in 5.4 seconds), and, thanks to its six-speed manual gearbox, a refreshingly tactile car to drive with menace.
Simply, this was the best hot hatch your money could buy in Australia in 2023, even if its price placed well above its front-wheel drive rivals. Little wonder they sold out almost immediately.
But Honda Australia has now secured another batch from Japan – 98 cars to be exact – arriving in local dealerships later this year. And nothing its rivals have done in the interim has diminished the Type R’s standing as the top dog in the segment.
It’s not just about being quick in a straight line. And it’s not just about a snarling presence on the road. Where the hot Civic excels is when the right stretch of road – or race track – meanders teasingly in front of you, a Siren’s call of tarmac that lures those among us who like nothing better than going for a spirited drive.
Here the Type R comes alive, with its angry turbo-four married to a deliciously tactile gearbox that signals every movement, every shift through its mechanical linkages right into the palm of your hand. In an age where electronics dictate almost every aspect of driving, the unapologetically analogue Civic Type R gives a middle finger salute to prevailing conventions.
The Civic’s chassis plays its part too, with a breadth of ability that brings balance, grip, accuracy and agility that plays out beautifully on the road or, for those keen enough, on the track.
It’s not without its minor flaws, however. The engine note errs on the side of being socially acceptable, that is, a touch too quiet for the segment. And the Type R remains a four-seater only. That might matter to some, even if the Civic Type R is best enjoyed alone. And road noise can be intrusive, especially on coarser chip surfaces such as those that cover our major motorway networks.
But these are minor, and pale into near nothingness when weighed up against the Type R’s list of accomplishments. Simply, it’s the best performance hatchback on the market today. Get one while you can.

Price: From $85,500 on-road costs
Drivetrain: 2.0L 4-cylinder turbo-petrol, 233kW/400Nm, 7-speed dual-clutch automatic, AWD
Combined fuel economy, CO2 emissions, fuel type: 7.8L/100km, 177g/km, 98RON
Warranty: Five-year/unlimited km, 3 years’ roadside assistance
Service cost: $2470 (5 years/80,000km)
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The BMW M135 gets a bit overlooked in all the hoopla surrounding its brawnier and more heroic M2 stablemate. That’s not to diminish the M135 which remains a remarkably approachable performance hatchback from the Bavarian Motor Works.
Straightline performance is above reproach, BMW claiming 4.9 seconds for the benchmark sprint from standstill to 100km/h. But the M135 is equally as adept at harnessing that speed, with a chassis that has been tweaked and massaged in this updated model, with increased rigidity bringing some balance and compliance to its dynamic package. That’s only enhanced by BMW’s excellent xDrive all-wheel drive system which keeps the baby Bimmer brawler on the straight and narrow.
If there are complaints, they are minor. The seven-speed dual-clutch auto, which replaced the previous generation’s eight-speed torque converter, can be a touch jerky at slow speeds, before coming into its own once the speeds – and engine revs – begin to climb.
And as is the BMW way, a slightly bewildering array of configurable drive and M-specific modes can take a little getting used to. Find your favourite, set and forget.
Adding the $2700 M Sport Pro Package lifts the cabin from the ordinary (think BMW 118) to what it should be all along. It adds a swag of M Sport goodies including sports seats, red brake calipers, seat belts, and a smattering of shadowline or gloss black exterior design elements. It should be standard fit.
That doesn’t detract from what the M135 is, and that’s a capable not-quite-full-cream M car, capable of hustling with dynamic intent and serving comfortably as a daily driver.

Price: From $55,500 plus on-road costs
Drivetrain: 2.0L 4-cylinder turbo-petrol, 206kW/392Nm, 6-speed manual or 7-speed dual-clutch automatic, FWD
Combined fuel economy, CO2 emissions, fuel type: 8.5L/100km, 199g/km, 95RON
Warranty: Five-year/unlimited km, 1 year roadside assistance
Service cost: $2158 (5 years/50,000km)
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The Hyundai i30 N set the hot hatch world alight when it first launched in 2018, a snarling and bristling hatchback that made the Volkswagen Golf GTI look and feel tame in comparison.
Eight years have elapsed and while Hyundai’s first ever N car has been coddled and massaged to keep it fresh, its days are numbered. Hyundai has already killed off the regular i30 hatchback in Australia, the hot N making an admirable last stand for the popular nameplate, at least in its current form.
And what a last stand it is, the i30 N still a ferociously fun beast that blends the kind of sharp performance buyers in the segment expect with a characterful soundtrack backed by an agile chassis that doesn’t lack for grip.
Buyers can opt for either a six-speed manual or eight-speed dual-clutch automatic (DCT), both for the same $55,500 before on-road costs. Opt for the manual is our tip. It might be a smidge slower to 100km/h but more than makes up for it with tactility and driving engagement.
Inside, the i30 N is showing its age, not surprising considering it’s now over eight years old. Subtle facelifts have kept apace with technology, but there’s only so much nipping and tucking Hyundai can do before the march of time catches up.
That’s countered, though, by its affordability, Hyundai’s original hot hatch a bit of a performance bargain compared to its competitive set here.

Price: From $67,990 plus on-road costs
Drivetrain: 1.6L 3-cylinder turbo-petrol, 221kW/400Nm, 6-speed manual or 8-speed automatic, AWD
Combined fuel economy, CO2 emissions, fuel type: 8.4L/100km, 191g/km, 98RON
Warranty: Five-year/unlimited km, 1 year roadside assistance
Service cost: $2010 (3 years/60,000km)
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Toyota probably didn’t need to create the GR Corolla. After all, the Japanese giant had three years earlier given Australia the GR Yaris, a feisty little city car with World Rally Championship heritage and boosted hot hatch performance.
But as part of its promise to make Toyota fun again, the GR (for Gazoo Racing) Corolla made its way here in 2023 and brought an ever so slightly more mature vibe to the GR oeuvre.
Hiding under that deliciously aggressive body is a car born of motorsport. That grumbly turbocharged three-pot under the bonnet shares top billing with the GR Corolla’s well-sorted chassis, the headliners combining for a hot hatch that is pleasant enough on road in everyday driving but without compromising on its performance.
It’s the six-speed manual that ups the fun quotient (the GR Corolla is also available with an eight-speed auto, for an extra $3000), Toyota’s rev-matching tech ensuring shifts are rapid and smooth. Zero to 100km/h? Try 5.3 seconds. The automatic is a whisper faster at 5.2 seconds. Opt for the manual, is our tip. It’s simply more fun, more tactile, dare we say it, more authentic and true to the idea of a proper driver’s car.
On the downside, servicing intervals of six months or 10,000km add up pretty quickly at $335 a pop. And while the interior is practical in a way the Yaris isn’t, it doesn’t feel quite special enough. It is, at the end of the day, still a Toyota Corolla.
Still, as a performance hatchback with more than a passing nod to Toyota’s exploits on the world rally stage, the GR Corolla is proof that fun and practicality are not mutually exclusive.

Price: From $55,490 plus on-road costs
Drivetrain: 1.6L 3-cylinder turbo-petrol, 221kW/400Nm, 6-speed manual or 8-speed automatic, AWD
Combined fuel economy, CO2 emissions, fuel type: 8.2L/100km, 186g/km, 98RON
Warranty: Five-year/unlimited km, 1 year roadside assistance
Service cost: $2010 (3 years/60,000km)
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If the GR Corolla is the rebellious teenager of the Gazoo Racing family tree, then the GR Yaris is the wild child. Born from the Japanese giant’s World Rally Championship feats, the city-sized hatchback is unlike anything else on the market.
Aggressively styled and with an angry soundtrack to match, the GR Yaris is engineered for driver engagement and enjoyment.
Acceleration is explosive, and while Toyota doesn’t officially quote 0-100km/h times for its pint-sized rocket, independent Australian testing comes in at 5.1 seconds. And that’s whether you go for the six-speed manual or eight-speed automatic versions.
It’s more than just straight line speed however that elevates the GR Yaris into the upper reaches of this category. Thanks to Toyota’s GR-Four all-wheel drive system and a healthy dose of aerodynamic enhancements, the city-sized powerhouse offers remarkable levels of grip and agility, exactly what buyers expect of a compact hatchback engineered to be driven with more than a touch of enthusiasm.
Its compact dimensions, despite impacting on practicality, are an asset when faced with a winding and twisting country road, the GR Yaris inspiring confidence behind the wheel.
Its edges are hard, and certainly harder than the more mature GR Corolla, but it’s those same qualities that imbue the GR Yaris with its undeniable character and identity.

Price: From $59,890 plus on-road costs
Drivetrain: 2.0L 4-cylinder turbo-petrol, 195kW/370Nm, 7-speed dual-clutch automatic, FWD
Combined fuel economy, CO2 emissions, fuel type: 7.2L/100km, 163g/km, 95RON
Warranty: Five-year/unlimited km, 1 year roadside assistance
Service cost: $3785 (5 years/75,000km)
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It’s an icon, and while not the original hot hatch (the A112 Abarth, Simca 1100Ti and Renault 5 Alpine all predate the Golf), it’s Volkswagen’s take on the formula that has set the blueprint for all that followed.
The GTI turned fifty this year and while the formula remains largely unchanged, engineering advances over the last five decades have kept it fresh in the face of increased competition.
The same principles that applied in 1976 are still on show today – a fizzy four-cylinder, chassis enhancements for improved handling, and an interior loaded with character to make you feel like the GTI is a little bit special.
The GTI makes good use of its 2.0-litre turbo-four under the bonnet, its 195kW and 370Nm the most powerful ever for Golf GTI. Mated to a seven-speed dual-clutch sending drive to the front wheels, the GTI can cover the sprint from 0-100km/h in 5.9 seconds. That sees it fall behind much of its competitive set, where low-to-mid 5s are the new hot hatch world order. It also trails its rival for theatrics, the GTI less raucous and softer-edged.
But what it lacks in dramatic exhaust tones and straightline performance, it makes up for with a resolved chassis. Thanks to the German brand’s 15-step adjustable dampers, the GTI transforms from a comfortable and refined city daily into a capable corner carver when out in the hills. A hot hatch for all reasons.
Looking to get into a brand-new small car? Our stories below will guide you to the model that best suits your needs:
Motorists using several of Sydney’s toll roads will pay less from next year under a new agreement between the NSW Government and private motorway operators, with the package also introducing cheaper motorcycle tolls and changes aimed at simplifying the city’s complex tolling system.
The reforms include the first reductions to toll prices on Sydney’s existing motorway network, following negotiations between the state government and operators including Transurban. However, major roads including WestConnex and NorthConnex are not part of the price cuts.
From 1 July 2027, tolls on the Lane Cove Tunnel will fall by 10 per cent, while drivers making longer trips on the M2 will also receive a 10 per cent discount, covering about 80 per cent of journeys on the motorway. Motorcycle riders will pay half the standard light vehicle toll across the motorway network as the changes are progressively introduced.

The reforms also include a 10 per cent reduction to the M7 distance cap from January 2028, subject to planned widening works on the motorway. Once the Western Harbour Tunnel opens in 2028, Cross City Tunnel tolls will be reduced by 20 per cent, while the Eastern Distributor will move to two-way tolling with lower charges in each direction than the current northbound-only arrangement. Annual toll increases on the Sydney Harbour Bridge and Harbour Tunnel will also be reduced from four per cent to 3.25 per cent from July 2027.
The agreement also includes changes for heavy vehicles, with truck tolls to be standardised across most of Sydney’s motorway network from July 2027 at 3.15 times the light vehicle toll. The NSW Government said targeted relief schemes for heavy vehicles will also be introduced to encourage freight operators to use motorways instead of local suburban roads, helping reduce congestion and improve safety in residential areas.
The reforms also pave the way for widening sections of the M2 and M7 without extending the existing private concession agreements beyond their current 2051 expiry dates or increasing tolls to fund the work. According to the NSW Government, private motorway operators have agreed to contribute $75 million over five years towards the state’s toll relief program, while NSW Motorways will continue leading longer-term efforts to simplify Sydney’s toll road network.
The agreement builds on existing reforms including the permanent weekly toll cap, the removal of toll notice administration fees, digital toll notifications, the Tollway Ombudsman and the establishment of NSW Motorways to oversee government-owned toll roads.