New cars are getting more and more expensive. Once upon a time, you could get a new set of wheels, complete with a factory warranty, for less than $20,000 to drive.
On an even tighter budget? In 2013, you could buy a Chery J1 for $9990 driving, and most recently 10 months ago you could own a Mitsubishi Mirage for $17,990 driving.
In 2022, however, the choice is slim for budget buyers wanting a new car. Brands are moving away from classic city cars due to low demand and some city cars that remain Down Under no longer meet the Australian Design Rules.
There are only two brands that offer more than a car under the magic $25k mark in Australia: MG and Kia.
Perhaps unsurprisingly, the MG 3 and ZS are strong sellers in their respective classes, offering an alternative to more expensive Japanese, Korean and German offerings.
While the Kia Rio outsold the MG 3, the Kia Picanto competes in a class of its own. It has crushed the microcar competition since its launch Down Under. The Stonic almost made it under $25k, even though it was only handcrafted at that price point.
The list below has been collated using a combination of nationwide vehicle purchases and purchase prices collected from manufacturers’ websites. All drive-away prices have been calculated using Melbourne postcodes.
Kia Picanto: $18,490 while driving
The Picanto has a starting price of $18,490 driving across Australia, making it one of the very few new cars to sell for less than the $20,000 mark in 2022.
Two engines are offered: a naturally aspirated 1.25-litre four-cylinder with 62kW and 122Nm, mated to a four-speed automatic or five-speed manual, or a three-cylinder 1, 0 liter turbocharged with 74kW and 172Nm, mated exclusively to a five-speed manual transmission.
Kia has monopolized the ultra-small car segment in Australia. With 3192 units sold so far in 2022, it owns 73.9% of the volume Mitsubishi Mirageand Fiat 500.
MG 3: $18,990 driving
The MG 3 may be a bit more expensive than the Picanto, but the Chinese car has edged ahead of its Korean rival. Where Picanto’s basement bargain starting price for an unfashionable guidebook, MG 3 is an automatic.
It is available with one powertrain: a 1.5-litre naturally aspirated four-cylinder producing 82kW of power and 150Nm of torque, mated exclusively to a four-speed automatic transmission.
The MG 3 is a best seller in Australia. With a whopping 10,189 deliveries in 2022, it owns 35.2% of its segment and nearly doubles the sales of its nearest competitor.
Kia Rio: $21,490 to drive
The Rio is Picanto’s eldest brother, and has long been one of Australia’s cheapest cars.
Unlike some of its rivals, it doesn’t just come in a facelift variant that costs under $25,000 to drive – the entire lineup prevents the flagship GT-Line from going over our limit.
The Rio range has two engine options. The S, SX and Sport use a naturally aspirated 1.4-liter 4-cylinder engine with a capacity of 74kW and 133Nm, combined with a 6-speed manual or 6-speed automatic transmission.
The top-of-the-range Rio GT-Line has a turbocharged 1.0-litre three-cylinder with 74kW and 172Nm. It is paired exclusively with a seven-speed dual-clutch automatic transmission.
With 3201 sales to date in Australia, the Rio is outselling the MG 3. It also follows Suzuki Swiftand just behind Mazda 2.
MG ZS: $22,990 drive
The MG ZS is the largest vehicle on our list and the cheapest new SUV on the Australian market right now.
It is powered by a 1.5 liter naturally aspirated 4-cylinder engine that produces 84kW of power and 150Nm of torque, mated to a four-speed torque converter automatic transmission and all-wheel drive. before.
The ZS is a strong seller, although it is worth noting that its figures are accompanied by the updated ZST and the electric ZS EV on the VFACTS.
Combined, the ZS range has 13,072 vehicles delivered so far in 2022, representing 16.5% of the highly competitive small SUV segment.
Suzuki Ignis: $23,490 to drive
The Suzuki Baleno dead for Australia and the Swift is now over $25,000 to drive. However, you can still get a Suzuki on a (relatively) lower budget.
The Ignis The city SUV starts at $23,490 for the base GL. That’s a $3000 increase from the price announced in early 2022, but still low enough to make the Ignis one of Australia’s cheapest cars.
Powering the entire range is a 1.2-litre naturally aspirated 4-cylinder engine that produces 66kW of power and 120Nm of torque. It is sent to the front wheels via a choice of a five-speed manual or continuously variable transmission (CVT).
A total of 1360 sales so far in 2022 makes Ignis one of the slower sellers in its segment, selling just over Nissan Juke and Renault Captur.
Kia Stonic: $24,690 while driving
The third Kia on the list is Stonic, a city SUV based on Rio. The cheapest model in the range, the S notebook, drops below the $25,000 mark.
The Stonic S and Sport both use a naturally aspirated 1.4-litre four-cylinder petrol engine with 74kW of power and 133Nm of torque, mated to a six-speed manual or six-speed automatic transmission.
The top-of-the-line Rio GT-Line has a turbocharged 1.0-litre three-cylinder petrol engine with 74kW and 172Nm. It is paired exclusively with a seven-speed dual-clutch automatic transmission.
With sales of 6130 units as of 2022, the Stonic is the second best-selling vehicle in its segment after the Mazda CX-3. It outsells Places, and Ignis is on this list as well.
Hyundai Location: 24,990 USD driving
Hyundai’s cheapest car in Australia is no longer an Accent, but Location City SUV. Only one model in this range sneaked under the $25,000 mark; User Manual Base Location.
Each Venue is powered by a naturally aspirated 1.6-liter four-cylinder engine that produces 90kW of power and 151Nm of torque.
There’s a choice of a six-speed manual or six-speed automatic transmission on the base and Active variants, with the top Elite arriving only as an automatic.
With 5039 deliveries to date in Australia, Venue is almost outselling Stonic locally.
Notable mention
The Suzuki Baleno No longer available to order in Australia, but dealers still have the car in stock for $19,990 to drive. The last batch landed in Australia in May, so if you want to capture a batch you’d better be quick.
The entry-level Mazda 2 manual has a drive-in price of $25,167, which nearly knocked it off this list.
