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What's the difference?
Think of a Mercedes-AMG and the first words that spring to mind are probably not - understated, efficient and restrained. And yet those are probably the best words to describe the all-new C 43.
Of course, before we go any further it’s important to note that the C 43, even in its previous six-cylinder guise, was never meant to be as wild, raucous or powerful as the C63 flagship - that’s simply not its role in the AMG line-up.
But even so, this new model is a dive into fresh territory for the brand and puts a very different spin on the AMG sports sedan as we know it.
This is a four-cylinder model, complete with a Formula One-derived electric turbocharger, so it lacks the sound and fury you expect from something carrying the ‘AMG’ badge - but that doesn’t mean it’s a bad car, as we’ll explain.
This is arguably the car that really made Toyota's GR performance division really take off. And it just got a bit better.
The GR Yaris was already an awesome thing, but more power, an interior refresh and a bunch of mechanical changes aim to lift the bar again. And even better, you can now get one without the third pedal.
So how much better is the 2025 Toyota GR Yaris now? And is the auto any good? We've driven this rally-bred hero on track and in Victoria's high country to find out.
The new AMG C 43 may lack the drama and excitement we’ve come to expect from the German performance brand, but that doesn’t mean it’s a bad car. Yes, it could be more extroverted and the ride could be improved, but this is still a sharp-looking sports sedan with loads of punch.
This is a car that speaks to its times, with ever-stricter emissions regulations making it harder and harder for car companies to produce loud, wild and charismatic cars. So Mercedes-AMG has worked within those boundaries and come up with a car that retains at least some of those core elements that has made the brand so desirable over the years.
Note: CarsGuide attended this event as a guest of the manufacturer, with accommodation and meals provided.
You already could have argued the GR Yaris was the best car Toyota made even before its update.
The GR Yaris’ refreshed interior and its slight bump in performance are the result of plenty of feedback from owners and even racing drivers that Toyota took on board, and the result is an even better sports car.
It helps that it’s not prohibitively expensive in the grand scheme of the new-car market these days.
Now, I reckon even fans of the rear-drive Toyota GR86 might start to doubt their preferences after a stint behind the wheel.
Note: CarsGuide attended this event as a guest of the manufacturer, with accommodation and meals provided.
Mercedes has created something of a problem for itself with its decision to introduce AMG styling packages for the majority of its range, including the C-Class.
It means the C 43 has to walk a fine line between looking like a unique AMG model, rather than just a C300 with a bodykit and not out-doing the C63.
To that end it has AMG’s now familiar grille with vertical bars, the unique and complex-looking 20-inch alloy rims and a small lip spoiler on the boot. But otherwise it is surprisingly understated for an AMG, lacking the more obvious and muscular stance of previous AMG offerings.
Inside, there’s a similar theme, with the typical Mercedes-Benz luxury appointments but with a sportier, AMG twist. The steering wheel is chunky and comes with AMG branding, metallic shift paddles and a pair of rotary dials/buttons that allow you to alter the various drive modes and settings.
The one on the right allows you to switch between the pre-set Comfort, Sport, Sport+ and Individual modes, while the one on the left can scroll between the various individual aspects to tailor the settings to the conditions.
In typical modern fashion the design is tech-laden, with a digital display for the instrument panel (that can be switched between various graphics) and a large, tablet-style central multimedia touchscreen that controls the majority of the car’s non-driving functions.
The GR Yaris isn’t just a regular Yaris with sports bits stuck on, and because of that it looks fantastic.
It’s properly aggressive, sculpted to look more like a rally car than other Yarises (I’m not calling them ‘Yarii’), even down to the fact it’s a two-door design.
A carbon-fibre roof, aluminium bonnet, doors and tailgate, plus a series of functional aerodynamic and cooling features prove the Yaris doesn’t just look like this for show, though.
The redesigned front bumper directs air to more radiators for extra cooling but also through to the front wheel arches to cool the brakes.
Another change is the tail-light bar, which spans the rear and does away with the light integrated into the rear spoiler, which is now also body coloured. Down below that, larger exhaust tips reflect a more powerful engine.
There’s also significant change inside. The repositioning of some elements for better ergonomics make the GR Yaris a much more driver-oriented space inside, and despite some soft-touch materials it has a race car vibe to it.
The interior centre stack no longer looks like a standard Toyota interior, and the fact Toyota went to the effort and cost to do this purely because of driver feedback shows how serious it is about its GR division’s future.
The new C-Class has grown slightly in size compared to the model it replaces, most notably with a 26mm increase in the wheelbase which you can feel in the cabin.
The front seat space is good, with excellent adjustability for the power-adjustable seats and steering column. I had no trouble finding my ideal seating position which makes for a more enjoyable and uncompromised driving experience.
Rear space is a bit tighter (which is typical for this segment/size of vehicle), but thankfully the standard seats do have very deep sculpting in the backs which allow for more knee space and foot room.
However, at approximately 180cm (six-foot), I wouldn’t like to sit behind my seating position for long periods as my knees were touching the seat back, and headroom is compromised with the panoramic glass roof.
In terms of small item storage there’s a lidded console box in between the front seats as well as a pair of cupholders and a small tray where you can place your mobile phone.
It’s worth noting, though, that early examples of the C 43 in Australia do not have a wireless smartphone charging pad, with that reportedly being introduced from February production.
While that’s good news, it’s not really competitive in this day and age to offer a car costing six-figures without such technology.
There’s also only a single USB-C power outlet in the front, which is another disappointment, but there is a pair in the back.
Mercedes does win some points back for a respectable 455-litre boot, which has a nice wide load opening that will make packing luggage easier.
The changes to the GR Yaris interior come down to useability as a sports car.
Thanks to the update, some pre-update complaints about ergonomics like the driver’s seat being too high or impeded visibility have been addressed.
The seat is now 25mm lower and feels much more natural in terms of eye-level and body positioning, but also allows more space above to fit a helmet on your bonce.
The pedals have also moved for easier heel-toeing, while the steering column angle has been adjusted to feel more natural.
Additionally, the dash panel is now tilted towards the driver by 15 degrees more and there’s better visibility between the dash and rear-view mirror with the multimedia screen now integrated into the centre stack.
Essentially, the Yaris has undergone a generation-level update in the interior and is much better for it.
Everything falls to hand without the driver needing to move their shoulders, but at the same time it doesn’t feel cramped.
While the second row is near unusable for adults - plus only seating two - the 174-litre boot is only 39L less than the GR Corolla. It’s not much space at all, really, but fold the seats down and there’s space for track day gear, maybe even a spare tyre or two. Not that there’s a standard space-saver spare with the car. Just a repair kit.
We’ll get to the major change under the bonnet shortly, but another significant alteration for this latest C 43 is the price.
It now starts at $134,900 (plus on-road costs), which pushes it well above its market rivals, the BMW M340i xDrive and Audi S4, which start at $104,900 and $106,200, respectively.
However, Mercedes has added more technology under the bonnet and loaded the C 43 up with standard equipment, including its '4Matic' all-wheel drive system, adaptive damping, rear-wheel steering and 20-inch alloy wheels.
In terms of creature comforts, the C 43 is well-appointed, with leather upholstery, a head-up display, augmented reality navigation, a panoramic sliding sunroof, and a Burmester 3D surround sound system.
There are two option packages for the C 43. The 'Digital Light Package' costs $2400 and adds Multibeam LED headlights with 'Ultra Range' highbeam, 'Adaptive Highbeam Assist Plus' as well as active light function and cornering light function.
The 'Performance Ergonomics Package' includes AMG Performance front seats, an AMG Performance steering wheel in Nappa leather and microfibre and the 'AMG Track Pace' system for an additional $5200.
The GR Yaris comes in two grades, now called GT and GTS, and they're both available with either a six-speed manual or eight-speed automatic transmission.
The ‘entry’ GT comes in at $55,490 plus on-road costs for the manual or $57,990 for the automatic, and has plenty of kit for a performance-focused light hatchback including heated suede and leather-accented sports bucket seats, a leather heated steering wheel and leather-wrapped gearshift, aluminium pedals and park brake lever.
On the tech front you get an 8.0-inch multimedia touchscreen and 12.3-inch digital instrument cluster, USB-C and 12V power sockets, an eight-speaker JBL audio system, wireless Apple CarPlay and Android Auto and digital radio.
The GTS comes in at $60,490 or $62,990 for the manual and auto respectively, and add some performance extras like a set of 18-inch BBS forged alloy wheels wrapped in Michelin Pilot Sports 4S tyres, red GR brake calipers and upgraded GR sports seats.
The GTS also gains a Torsen limited-slip differential, upgraded GR suspension, a sub-radiator for better cooling as well as intercooler spray.
At this price point, the GR Yaris is wanting for proper rivals. Similarly-priced cars like the Hyundai i30 N and VW Golf GTI are bigger, front-drive and less focused, while similarly-sized cars are either less powerful or less capable, like the Abarth 695 or Hyundai i20 N.
The biggest talking point about this new car is the engine, with AMG downsizing from the old C 43’s six-cylinder to a 2.0-litre four-cylinder turbocharged petrol engine.
But it’s not just any turbocharged four-pot, because it is fitted with technology that Mercedes claims has been inspired directly from its Formula One team.
While the F1 team engine facility is based in England, this engine was designed and developed by the Mercedes-AMG team at its Affalterbach headquarters, but the concept of the electric turbocharger reportedly comes from the engine that powered Lewis Hamilton to multiple world championships.
The electric exhaust gas turbocharger - to give it its official name - uses a small electric motor on the turbocharger shaft to spin up the blades without having to wait for any exhaust gases to pass through it first.
To power the electric turbo the C 43 is equipped with a mild-hybrid 48-volt electrical system.
Mercedes claims this means reduced lag and improved throttle response for a sportier driving experience.
It also helps make this small engine produce big amounts of performance, with AMG extracting 300kW of power and 500Nm of torque from this 2.0-litre, which is more power than the previous six-cylinder C 43 managed.
The engine is paired to a nine-speed multi-clutch transmission, which isn’t a dual-clutch with a pair of clutches operating on every second gear ratio, but instead uses a “wet start-off clutch” for better take-offs and smoother shifting on the move (at least in theory).
Power is sent to the road via all four wheels thanks to Mercedes’ 4Matic all-wheel drive system.
The GR Yaris now makes 221kW (at 6500rpm) and 400Nm (between 3250 and 4600rpm) from its 1.6-litre three-cylinder turbocharged petrol engine, dubbed G16E-GTS in Toyota code.
Outputs are up 21kW and 30Nm from before, and both the six-speed manual and eight-speed torque converter automatic have matching figures.
Normal, Track and Gravel modes for the AWD system can distribute torque either 60:40 (front/rear) in Normal, 53:47 in Gravel or variably as needed in Track.
Toyota says, weirdly, both versions can hit 100km/h in 5.1 seconds and max out at 230km/h. We expect you’d need to be fairly handy to match the auto’s acceleration in a manual.
Despite the smaller engine you can hardly call the C 43 miserly, with a claimed combined urban/highway cycle rating of 9.1-litres per 100km. That’s only a 0.2L/100km improvement over the old six-cylinder.
On test, which included a return trip from Sydney to Bathurst via motorways and some dynamic back road driving, we saw a return of 11.8L/100km on the car's onboard computer.
While hardly hybrid-worrying, it’s impressive to think that driven modestly, such a potent engine can return a single-digit fuel figure.
Toyota claims the GR Yaris sips 8.2L/100km of fuel (which needs to be 98 RON by the way) in manual, or 9.1L/100km as an auto.
Its 50-litre tank means you should be able to get more than 500km out of a tank of fuel if driving frugally, but let’s be honest, are you going to do that in a tiny all-wheel-drive hot hatch with a 0-100kmh time that would embarrass a great number of Aussie V8s?
Let’s start with the good news. The new Mercedes-AMG C 43 is a quick car. The engine may be small in size but the electric turbocharger does its thing and provides plenty of punch.
You can get a performance boost, too, thanks to the belt-driven starter generator, which acts as a mild hybrid and gives you a surge of 10kW for a brief period if you need a sudden burst of extra speed.
The chassis is well-sorted, too, at least from a dynamic point-of-view. The rear-wheel steering can provide up to 2.5 degrees of turning, which improves handling at speed and manoeuvrability when parking.
However, there are some less-impressive elements to the C 43, too. The obvious one is the drama, or rather the lack thereof.
As I said at the beginning, the C 43 has never been as wild or raucous as the V8-powered C 63, but when you buy an AMG there’s a rightful expectation that it will provide some thrills.
The C 43 simply doesn’t have that character about it. Yes, it’s fast, but it produces that speed with efficiency rather than excitement.
And it’s not an engine size problem, because even the 2.0-litre four-cylinder A 35 and CLA 35 offer more ‘wow factor’ than the C 43.
Yes, the engine makes noise under acceleration (and it can be altered between discreet and sporty) but even at its best it sounds muted and lacks the evocative tone of a V8 or six-cylinder engine.
Another disappointment is the transmission calibration, with the gearbox awkwardly shifting out of first gear on multiple occasions during our test drive.
In the taller gears it felt smooth enough cruising along, but given its low speed shifts we’d like to spend more time in the urban environment before passing final judgement.
The other notable element of the driving experience we struggled with was the ride quality. While fine on the smoother motorways, our test drive included time on some patchy country back roads and the C 43, even in the ‘Comfort’ suspension setting, was simply too firm.
Riding on low profile tyres, the adaptive dampers struggled to isolate the cabin from the imperfections in the road, leading to a fussy ride at times.
Overall the C 43 is a good car, but it feels like there are still some areas where Mercedes could improve it to make it really live up to the AMG badge.
To get straight to the point, the GR Yaris might be the best car Toyota builds if you’re a keen driver.
Most who’ve driven it in the past will know it’s extremely fun with a manual gearbox, but after the update it’s impressive how capable the new auto makes it, too.
For a start, while its GR Corolla sibling feels as it is - a hot hatch based on the Corolla - the GR Yaris feels bespoke.
From behind the wheel, as a performance car, there isn’t really anything that jumps out as a red flag.
Now that it’s got more power and torque, it’s also an even more convincing choice in Toyota’s hot hatch duo in terms of power-to-weight ratio.
Of course, it still holds up well as a car for day-to-day duties, if looking a little brash while doing so. In Normal drive mode with the diff set to front-bias, the GR Yaris feels ready to take on the suburbs.
But knock it into Sport and set the diff to Track, and you’ll find the rear wheels working harder out of corners as the Yaris sends torque backwards to avoid the front wheels spinning.
The Yaris’ suspension is definitely on the stiffer side of things, but it’s compliant considering the focused nature of the GR, and even sharp bumps you might expect to rattle the car don’t feel harsh.
At the same time, the GR doesn’t feel like it’s dulling any useful feedback from the suspension or steering, the latter being very direct but not too heavy.
It’s altogether very confidence-inspiring, and combined with the fact the GR Yaris is actually very capable, it makes for a rather quick car point-to-point. It means even if you make a small mistake, say coming into a corner on track, you don’t feel as punished on the way out because there’s a mix of power and composure to get you out of it.
Some of the best things about the Yaris though, are the things that speak to your heart a little more than your head. The sound of the exhaust itself but also the turbo flutter when you lift off after boost - even just the way it looks inside and out.
The C43 gets a comprehensive list of safety equipment that leaves little out. Obviously there are the usual passive safety items, like 10 airbags, including dual-front combined pelvic/thorax airbags and a front centre bag that drops between the front seat passengers to minimise the chances of a head clash.
Also included as standard is autonomous emergency braking front and rear (covering speeds between 7.0-200km/h), adaptive cruise control with active stop/go, a 360-degree parking camera, 'Active Parking Assist', 'Active Lane Keeping Assist', 'Blind Spot Assist' and, of course, anti-lock brakes with 'Brake Assist' and 'Adaptive Brakes' with Hold function and electronic stability control.
Also included are dusk-sensing LED lights, rain-sensing wipers and run-flat tyres with tyre pressure warning.
The C43 also comes equipped with Mercedes’ 'Driving Assistance Package Plus', which adds even more safety gear. This includes 'Active Blind Spot Assist', 'Active Brake Assist with Cross-Traffic Function', 'Active Emergency Stop Assist', 'Active Lane Change Assist', 'Active Lane Keeping Assist', 'Active Steering Assist', and 'Active Stop-and-Go Assist'.
While the C43 hasn’t been specifically crash-tested, the latest C-Class was rated by ANCAP with a five-star score for all models except the upcoming C 63 S E Performance.
The GR Yaris isn’t the same as its non-GR cousins, and therefore the five-star rating ANCAP gave the Yaris a few years back doesn’t apply here.
Still, Toyota takes safety pretty seriously and the GR comes with the kit to back that up. Six airbags for a start, plus a decent reversing camera, auto emergency braking (AEB), a blind spot monitor, safe-exit assist, anti-skid brakes with brake assist and plenty of traction help.
There’s also a slew of features that fall under the ‘Toyota Safety Sense’ suite including a pre-collision system, intersection collision avoidance in daylight, emergency steering assist, adaptive cruise control, lane trace and steering assist with lane centring, lane departure alert, road sign assist for speed signs and auto high beam.
The C 43 is covered by Mercedes’ five-year, unlimited kilometre warranty, which has become the new standard for the luxury car market.
Service intervals for the car are at 12 months/25,000km, which is on par with industry standard.
Mercedes-Benz Australia will offer a service plan for the C 43, prices were yet to be confirmed at the time of publication but the company has indicated it will be similar to the C300.
That means $550 for year one, $900 for year two, the third service costs $1000 and the fourth year service costs $2450 - for a total of $4900 for the first four years of ownership.
Toyota’s five-year/unlimited kilometre warranty covers the GR Yaris, with an extra two-year warranty on the engine and driveline.
Toyota also offers a capped price of $310 on the first six services, though intervals of six months or 10,000km (whichever comes first) mean that capped price will only get you through three years of ownership.