The Mazda 2-based Yaris hatchback isn’t the quickest or cheapest subcompact, but it shares the sedan model’s upscale interior and satisfying driving dynamics.

There’s a new hot-hatch version of the Toyota Yaris, an all-wheel-drive homologation special with limited-slip differentials, a 268-hp turbocharged inline-three, and a carbon-fiber roof. Called the GR Yaris (for Gazoo Racing), it’s essentially a street version of the Yaris rally car that competes in the FIA World Rally Championship.
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