MG last month officially launched one of Australia’s most affordable EVs, and one of the first few priced below $30,000 – before on roads – or a total of $31,990 drive-away.
At first glance, the MG4 Urban looks to be an important car that will help Australia’s inner-city and suburban buyers get behind the wheel of their first EV.
After spending a week with the car, it confirms what I thought during the initial test drive over a month ago: this car packs everything MG has learned over the last few years after selling over 20,000 EVs in Australia, and it’s packaged into a hatchback that now comes with the benchmark 10-year warranty, too.
So let’s dive into the car and see why this model is such a big deal for the brand and what it’s really like on the roads around Melbourne and Mornington Peninsula.
Firstly, the pricing of the MG4 Urban is quite aggressive and is expected to be the brand’s most affordable EV in Australia. The entry-level Essence 43, the variant packing 316 km of range, starts at $31,900 driveaway, meaning that it’s actually cheaper than many of its fossil-fuelled and hybrid rivals.
Image: Riz Akhtar
The larger-battery Essence 54 variant, with 405 km of range, has a driveaway price of $3,000 more, coming in at $34,990, and that’s the one I tested for the week.
Both models are priced below the previous RWD MG4, suggesting that MG is positioning this car as the brand’s entry-level EV. But what about other areas?
From the outside, this model is more rounded than the original MG4, and I quite liked the side profile, especially the rear, which borrows elements from MG’s halo electric car, the Cyberster.
Inside, it feels quite a step up from the previous MG4, especially in terms of materials compared to previous MG vehicles, aside from the MGS5, from which it takes many design cues.
The new steering wheel was quite comfortable, with various soft-touch materials found along the door trim.
On top of that, MG has left quite a few functional buttons on the steering wheel and under the screen with physical dials for volume and temperature, too, which made it easier to adjust things on the go.
In the centre, the floating, rotating dial gear selector has now been moved to the steering wheel, providing much more storage space and bringing the cupholder closer to the driver, which I thought was a big design improvement.
Image: Riz Akhtar
Even though the car’s smaller, some may think it might be a bit tight on the inside, but it is actually quite roomy.
MG has put quite a bit of effort into the interior, and I found it roomier than some larger ICE SUVs from the brand.
Still inside, the infotainment screen has also been upgraded and is a reasonable size. On top of that, it has Android Auto/Apple CarPlay as standard. Wireless Android Auto worked easily and didn’t disconnect during the time I had the car.
Speaking of screens, there is also one behind the steering wheel that displays info such as speed, drive modes, battery status, regenerative braking settings, and safety/cruise control.
The rear seating was quite comfy too, with good legroom for adults, along with rear air vents, which is a surprise given the price point of the car. There are also lots of storage spaces and pockets for storage.
Image: Riz Akhtar
Over the week of driving, the MG4’s ride was very smooth, with the suspension handling most bumps without much rebound, even over speed humps. We also didn’t find floaty suspension, as in many rival models on the market, geared more towards comfort and affordability.
On faster, more swooping mountain roads around Dromana, it felt fairly composed and had plenty of acceleration from its 118 kW front-mounted motor when exiting hairpins.
Heading down Arthur Seat mountain’s steeper sections, the regenerative braking, thanks to one-pedal drive, also helped with both efficiency and braking.
Consumption ranged around 15.9 kWh/100km over the week we tested the car, which included suburban roads and highway stints up and down the Peninsula.
Features like cruise control were easy to engage, and lane keep assist worked fairly well, though it required a bit more attention than Tesla’s more advanced system.
Image: Riz Akhtar
An area where we felt the car could improve is in its speed sign recognition, with audible alerts being intrusive even when the car picked up advisory signs, such as 20 km/h signs spotted before speed humps on roads around Melbourne.
The alert can be turned off in the speed sign recognition system, but it resets on each trip. We hope a more permanent software fix can be implemented in the future, given how good a value the MG4 Urban EV offers.
All in all, the MG4 Urban EV is a big step up in the affordable EV space, packing more options for EV drivers, especially those who want a practical electric hatchback that’s almost perfect.
Combine that with the 10-year warranty and a solid national dealer network, and it’s one well-rounded package that should be on EV drivers’ shortlist.
MG4 EV Urban Essence 43
Up to 316km of WLTP Combined Range
43kWh LFP (Lithium Iron Phosphate) Battery
17” Starburst Alloy Wheels
MG Pilot, including MG Pilot Custom Function
Black and Grey Fabric Upholstery
Full LED Headlights & DRL & Rear Lights
Automatic Headlamps
Roof Rails & Rear Spoiler
7” HD Driver Display
12.8” HD Infotainment Touchscreen
Satellite Navigation
Wireless Connection to Apple CarPlay® & Android Auto™
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Things aren’t always as they seem, or even appear, despite what our eyes might tell us. On Thursday, as part of Stellantis’ turnaround plan presentation the automaker showed journalists and analysts the Dodge Copperhead SRT in a closed room where no electronics were allowed. We saw it for all of maybe three minutes. The paint might have still been wet. No touching!
At the time, and in that very brief few minutes, it seemed like the Copperhead SRT was based on the Dodge Charger. Turns out it’s not. Head of American Brands, Ram CEO, and Head of SRT, Tim Kuniskis, exclusively sat own with The Drive and had a one-on-one discussion on the latest episode of The Drivecast about the bevy of upcoming products. One of them? The Copperhead SRT, and Kuniskis revealed a key detail, “I will tell you that it is not the hard points of a Charger.”
Listen to the entire conversation starting at the moment Kuniskis explains the details behind the Copperhead below.
The reason the Copperhead isn’t based on the Charger? “You couldn’t get a Charger with those proportions and that stance because of the multi-energy design of where the battery is encapsulated in the bottom of the car—without cheating. I mean, you know, just for like a show car or whatever, but that car’s not cheated. Those are real hard points, real production-intent proportions,” Kuniskis said.
That multi-energy design Kuniskis referred to is the fact that the Charger is now based on the STLA Large platform. The platform is designed to be able to accommodated everything from an electric- to gas-powered setup and even a a stop-gap EREV powertrain. As Kuniskis noted, that means the floor of the vehicle is raised in all versions so there’s space for a battery, in the electric models. Even gas-powered Chargers have this, and it translates to a bunch of open space underneath the gas-powered models.
Kuniskis refused to confirm exactly what platform the Copperhead is based on, but hinted that it’s from the global Stellantis portfolio. That raises all sorts of questions as to where exactly this halo vehicle will end up being built once it enters production. “SRT only works if SRT can take sunken investments from around the globe [emphasis ours] and leverage those. Because if you try to make high-performance halo cars and you try to make them bespoke, it will never pay back. I mean, it’s—it’s like racing for the sake of racing. I mean, it’s ego. You have to take investments that are already sunk and then leverage those,” Kuniskis said.
I saw exhaust tips and Kuniskis confirmed, Copperhead “would have a combustion engine.” Would, as if this isn’t coming, except it is and it’s on the product roadmap I saw. But what kind of gas-powered engine? Don’t just assume it will be a V8.
“We have some ideas and some things that we’re kicking around. It could be something that you’re not aware of. It could be something that doesn’t exist today. It’s very easy to look at the current portfolio and say, “Okay, it’s a Hemi, it’s a this, it’s a that.” But this is a car that’s committed to be here between now and 2030, so there could be another engine coming that nobody’s aware of that would be the perfect engine for that,” Kuniskis said.
Kuniskis revealed Stellantis is “toying around with some new technology” and said we’ll see it this summer right before Roadkill Nights, which is in August.
When asked about a hybrid V8 Kuniskis threw cold water on the idea by noting that setup will instantly date the car and someday make it “an 8-track.”
The idea of a 426 Hellephant Hemi appeals, but Kuniskis didn’t bite at the idea when presented.
What is interesting is the fact that Dodge CEO Matt McAlear told The Drive in March, “We’re gonna continue to push the limits of this engine [the Hurricane I6] and see what it can do.” McAlear also confirmed that SRT is actively working on “upgrades we can offer for the Sixpack.”
Got a tip about future product? Send us a line at tips@thedrive.com
TOYOTA is reportedly accelerating plans to move more vehicle production outside Japan as escalating disruption linked to the Iran conflict and Strait of Hormuz shipping crisis begins to impact manufacturing, exports, and supplier networks across the industry.
Auto industry commentators say the scale of the disruption is becoming increasingly apparent.
According to reports from Nikkei Asia and Automotive News Europe, Toyota has informed suppliers it will reduce production by approximately 83,000 vehicles over the next six months, following an earlier cut of nearly 40,000 units during March and April.
The reductions primarily affect vehicles destined for the Middle East, where shipping routes through the Strait of Hormuz have been severely disrupted.
High-volume export models including the HiLux, Fortuner, LandCruiser FJ, RAV4, Corolla Touring, and Probox are among those models impacted.
Reuters data cited in the reports suggests Japanese vehicle exports to the Middle East collapsed by more than 90 per cent in April 2026, illustrating how severely logistics have deteriorated.
Toyota exports around 600,000 vehicles annually to the region, making the Middle East one of its most important global export destinations.
The company is now believed to be exploring greater utilisation of overseas production facilities – including spare capacity in the United Kingdom and elsewhere in Asia and Europe – to reduce dependence on vulnerable Japanese shipping lanes.
The disruption extends well beyond finished vehicles as major suppliers across Toyota’s industrial ecosystem are now warning of raw material shortages, logistics bottlenecks, and growing uncertainty around component supply.
Denso, Toyota’s key component supplier, says the situation is becoming increasingly difficult to forecast.
“We are hearing from smaller suppliers that suddenly say they won’t be able to deliver parts in two weeks’ time,” said Toyota Industries president Koichi Ito.
Suppliers are already reporting shortages of aluminium, resins, paint thinners, oil-derived naphtha, and chemical solvents.
Toyota Boshoku president Masayoshi Shirayanagi warned that many interior components rely heavily on oil-based materials.
“Whether it’s door trims or the urethane inside seats, everything is derived from resins, which in turn comes from oil-based naphtha,” he said.
Toyota has already warned investors the combined impact of global conflicts, rising fuel costs, and shipping disruption could slash earnings.
The company estimates the broader situation could cost approximately ¥670 billion (around $A6.0b) through higher transport costs, delayed deliveries, material price increases, and weaker Middle East demand.
Denso separately expects a ¥45 billion ($A395m) profit impact tied to uncertainty around raw material availability.
On the local front, Toyota Australia says supply remains stable at this stage.
“At this stage, we’re not seeing any impact to production for Australian-bound vehicles,” said a spokesperson.
The company added it expects strong supply through the remainder of the year, however, the broader implications remain significant.
Toyota had originally forecast combined Toyota and Lexus production of approximately 10 million vehicles globally for the current Japanese financial year.
The latest developments now place additional pressure on that target.
Auto industry commentators say the situation increasingly resembles the early stages of the COVID-era semiconductor crisis, where seemingly isolated supply disruptions cascaded rapidly across the automotive industry.
As exemplified in Toyota’s case, with modern vehicles requiring tens of thousands of individual components sourced globally, even small interruptions can quickly halt production.
Considering your annual mileage is a crucial step when leasing a car.
Negotiate when leasing to reduce the capital cost and money factor, which will lower your monthly payment.
Get familiar with leasing jargon because some terms aren’t used in traditional auto financing.
Establish and stay within a budget. Remember that you are responsible for maintenance and insurance expenses for a leased car.
At first blush, car leasing seems like a grand idea. After all, you can get more car for the same monthly financing payment. But a lower payment is only one part of the decision.
Many shoppers lease because they like driving a new vehicle every two or three years, staying under warranty, or simplifying business-use deductions. Automakers may also offer lease incentives that are not available on purchases. And when the lease ends, you can usually return the vehicle without selling it or negotiating a trade-in.
This guide explains how leasing works, what you can negotiate, how leasing compares with buying, and what to know before signing.
What Is Car Leasing?
Car leasing is like renting a vehicle for a contracted period, usually 24 to 36 months. Unlike financing a purchase, where payments help you eventually own the car, leasing means you pay for the vehicle’s estimated depreciation during the lease term, plus financing charges.
Most consumer leases are closed-end leases. That means the lease sets the mileage limit, monthly payment, term, and purchase option upfront.
What Do You Need to Know Before Leasing?
The most important question is: How many miles do you drive each year?
Leasing Mileage Cap
Signing a lease means agreeing to a mileage cap, usually 10,000 to 15,000 miles per year. Exceed it, and the leasing company charges a per-mile penalty.
Penalties often range from 12 cents to 30 cents per excess mile. At 30 cents per mile, every additional 1,000 miles would cost you $300. Before signing, estimate your annual driving and confirm the mileage charge.
What Is the Money Factor in Leasing?
When you finance a car, the cost of borrowing is shown as an interest rate. In a lease, that cost is called the money factor.
Money factors are shown as decimals, such as 0.0010 or 0.0023. To estimate the equivalent interest rate, multiply the money factor by 2,400. For example, 0.0023 x 2,400 = 5.5%.
Can I Negotiate the Price of a Leased Car?
Yes. You can negotiate the vehicle’s capitalized cost, which is the lease version of the purchase price. Manufacturer incentives or advertised lease deals may limit flexibility, but it is still worth asking.
TIP: Dealers may be more willing to negotiate before a new model arrives or near the end of the model year.
How Can I Reduce a Monthly Lease Payment?
Reduce the capitalized cost by negotiating a lower vehicle price.
Ask for a lower money factor, especially with strong credit.
Put more money down or negotiate a higher trade-in value.
Compare offers from multiple dealers.
What Can You Negotiate in a Lease?
Capitalized cost
Down payment
Trade-in value
Money factor
Disposition fee
What Usually Cannot Be Negotiated?
Residual value, which the leasing company generally sets
Acquisition fee, which lessors rarely waive
Who Maintains a Leased Car?
You are responsible for maintaining the vehicle according to the owner’s manual. Some new vehicles include complimentary maintenance, which can reduce lease-term costs.
At the end of the lease, the leasing company inspects the vehicle for damage beyond normal wear and tear. If the inspector finds excess wear, you will be charged.
Who Insures a Leased Car?
You are responsible for the insurance coverage for the leased vehicle. The leasing company sets minimum coverage requirements, so confirm those amounts and get an insurance quote before signing.
What If I Want Out of My Lease Early?
A car lease is a binding contract. If you end it early, expect a penalty. In some cases, you may owe a large portion of the remaining payments. You cannot simply sell the car because you do not own it.
Market conditions may give you options. A dealership might help you exit a lease early if it wants your vehicle. Lease-transfer services may also connect you with someone willing to assume the lease, though fees may apply.
Compare all costs before choosing an early-exit option.
How Does Credit Affect Car Leasing?
As with financing, leasing companies review your credit score and history. Leasing generally requires stronger credit than financing because the lessee builds no equity in the vehicle.
If your credit score is low, you may still qualify, but expect a larger down payment and a higher money factor.
RELATED: Can I Buy a Car with Poor Credit History?
Car Leasing vs. Buying
Whether you lease or finance, you will likely make monthly payments and pay upfront fees. With financing, the upfront cost is usually a down payment. With leasing, you may pay a security deposit, first month’s payment, acquisition fee, down payment, taxes, registration, or some combination.
Pros of Leasing
Lower monthly payment. Because you pay for estimated depreciation rather than the full purchase price, lease payments are usually lower than loan payments for the same vehicle.
New vehicle every few years. Leasing lets you drive a newer vehicle more often, usually while it is still under the factory warranty. You may also benefit from newer safety and technology features.
Easier end-of-term process. At lease end, you can usually return the car without selling it or negotiating a trade-in.
Possible purchase opportunity. If the car is worth more than its residual value, buying it at lease end may be a good deal.
Used-car leasing may be available. Some dealers lease certified pre-owned vehicles, usually newer models with warranty coverage.
RELATED: Returning a Lease Car: What To Expect
Cons of Leasing
No equity. Lease payments do not build ownership value. At the end, you return the vehicle unless you buy it.
Mileage limits. Every lease includes a mileage cap. Exceed it, and you pay a penalty. High-mileage leases cost more monthly, but can help frequent drivers avoid end-of-term charges
Damage charges. You are responsible for damage beyond normal wear and tear.
Early termination penalties. Ending a lease early can be expensive, even if you use a lease-transfer service.
Pros of Buying
Ownership. Once the loan is paid off, the vehicle is yours.
Resale or trade-in value. You can sell or trade the vehicle and use its value toward another car.
More flexibility. You can sell or trade a financed vehicle at any time, as long as you pay off the loan balance.
Cons of Buying
Higher upfront cost. Buyers often need a larger down payment, especially with weaker credit.
Higher monthly payment. Loan payments are usually higher than lease payments for the same vehicle.
Risk of being upside down. Depending on loan length, depreciation, and interest, you may owe more than the vehicle is worth for part of the loan term. After the warranty expires, repair costs are also your responsibility.
Leasing and Buying: Key Differences
You can draw some fairly strong contrasts between vehicle leasing and financing. Each offers both advantages and disadvantages. In the short term, leasing a car will cost less. However, two leases will cost more than buying one car in the long run. And at the end of the loan term, the vehicle will be paid off, and whatever value the car retains will be yours.
Here are some other differences.
Leasing
Buying
Monthly Payments
Usually lower
Usually higher
Early Termination
Often costly
Possible if you pay off the loan
End of Term
Return, buy, or extend the lease
Keep, sell, or trade the car
Mileage
Limits apply
No mileage limits
Customization
Restricted
Allowed, within warranty limits
Warranty
Often covers most or all of lease term
May expire before the loan ends
Credit
Best deals require strong credit
Weaker credit may require more money down
Types of Leases
Closed-End Lease
A closed-end lease is the most common type. It sets the term, payment, mileage cap, and residual value upfront. If you meet the contract terms, you can return the car at lease-end. You may also have the option to buy it for a predetermined price.
Open-End Lease
An open-end lease places more risk on the lessee and is more common for businesses. If the vehicle’s market value is lower than the residual value at lease end, the lessee pays the difference. Open-end leases may offer more flexible mileage terms.
Single-Pay Lease
A single-pay lease requires all lease payments upfront. It can lower the money factor and total cost, and it may help shoppers with weaker credit qualify.
Can I Lease a Used Car?
Yes. Some dealerships lease used cars from its certified pre-owned vehicle inventory, usually newer models with factory warranty coverage and CPO benefits.
How Long Is a Car Lease?
Most leases last 24 or 36 months, though some advertised specials may run 39 months or longer. Longer terms can lower the monthly payment, but the difference may be modest.
Can a Car Lease Be Extended?
Yes. Many lessors allow month-to-month or fixed-term extensions. You will keep making payments and may need to sign an extension agreement.
Is It Possible to Lease a Car for One Year?
It is possible, but it can be expensive because vehicles depreciate quickly in the first year. A long-term rental or subscription-style car club may be a better short-term option.
Key Leasing Terms to Know
Term
Definition
Acquisition Fee
A fee charged to set up the lease. It can be as much as $1,000 and is rarely negotiable.
Allowable Mileage
Also called the “mileage cap,” the annual mileage limit is in the lease.
Capitalized Cost
The agreed selling price of the vehicle plus any fees included in the lease.
Capitalized Cost Reduction
Any payment, trade-in allowance, or rebate that lowers the capitalized cost.
Depreciation
The vehicle’s lost value during the lease.
Disposition Charge
A fee charged at lease end to clean and process the returned vehicle. It may be waived if you buy the car or lease another vehicle from the same company.
Drive-off Fees
Amounts due at signing, including fees, deposits, taxes, and the first payment.
Early Termination
Ending the lease before the contract expires. This can trigger significant penalties.
Gap Insurance
GAP (guaranteed asset protection) coverage that helps pay the difference if the leased vehicle is stolen or totaled and insurance does not cover the full balance.
Lessee
The person leasing the vehicle.
Lessor
The company that is financing the lease.
Money Factor
The lease’s financing charge. Multiply by 2,400 to estimate an annual percentage rate.
Payoff Amount
The cost to buy the vehicle is usually tied to the residual value.
Term
The length of the lease.
How to Lease a Car
Check your credit score. Strong credit can help you qualify for better lease terms.
Set your upfront budget. Know how much you can pay at signing, including fees and deposits.
Estimate your annual mileage. Choose a mileage cap that matches your driving habits.
Shop for vehicles with strong resale value. Higher expected residual value can lower the monthly payment.
Here are questions to ask the dealership or other lessor before you leap.
What is the residual value?
What is the lease-end purchase price?
What is the money factor, and what interest rate does it equal?
Is there a payment grace period?
What is the late-payment fee?
What fees apply at lease end?
What are the early-termination penalties?
What counts as normal wear and tear?
What is the charge for each excess mile?
Bottom Line on Car Leasing
Car leasing can provide lower monthly payments, a newer vehicle every few years, and warranty coverage during most or all of the term. But it also comes with mileage limits, no ownership equity, potential wear-and-tear charges, and costly early-termination penalties.
Leasing works best for drivers who want predictable short-term costs and newer vehicles. Buying is usually better for long-term ownership, flexibility, and building value in the vehicle.
Visit the Kelley Blue Book Affordability Hub to explore our curated articles designed to help you make smart, budget-friendly decisions.
Editor’s Note: We have updated this article since its initial publication.
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The 2026 Lexus ES arrives on a new platform for its eighth generation with an unchanged mission: unmatched comfort in a luxury sedan. What has changed—significantly—is everything else. A pivot to only hybrid and electric drivetrains headlines Lexus’s focus on efficiency, while the new ES’s styling plays it safe at the cost of striking looks.
To showcase its newest creation, Lexus hosted its media drive in La Jolla, California, an affluent San Diego neighborhood where Lexuses, Benzes, Porsches, and the like rule the roads. A luxury sedan makes complete sense in a place like this, and the 2026 Lexus ES might just be the quintessential car you’d find on the driveway of these cliffside homes. During my time behind the wheel of the 2026 Lexus ES350h, ES350e, and ES500e, I got to roam the streets in comfort like a true La Jollan.
Lexus
The Basics
The eighth-generation ES drops the full gas powertrain. For the first time in the nameplate’s history, Lexus built a multi-pathway platform capable of supporting a gas-electric hybrid and two battery-electric powertrains under a single shared body. The result is three distinct variants: the ES 350h hybrid in FWD or AWD, the ES 350e battery-electric FWD, and the ES 500e battery-electric AWD. All three share the same exterior shell, interior architecture, 14-inch Lexus Interface touchscreen, and standard Lexus Safety System+ 4.0. What separates them is what’s under the floor and how that changes the experience behind the wheel.
Off the bat, the 2026 ES is a large sedan. By the numbers, it’s longer, wider, and taller than its predecessor, and if it were any bigger, you’d almost consider it a crossover. Design-wise, a commenter on our original reveal story said it best: “It looks like a mashup between a BMW and a Hyundai.” That said, it doesn’t quite stop traffic. Body lines on this generation are sharp like the creases on a paper airplane, but this is a trend all automakers seem to be following. A contrasting trim element along the lower bodyside of the door feels like an afterthought rather than a design statement, and the base 19-inch wheels with their plastic aero covers do no favors, giving it that premium feel. Step up to the available 21-inch alloys and the whole car clicks into place. They’re a meaningful upgrade and worth every penny.
Lexus
Inside, the ES makes a stronger case for itself. The cabin is mature and uncluttered. Simpler personalities would say it’s serene, but I can imagine bolder souls calling it sterile. What you can’t argue with is its clean by design. A 14-inch touchscreen sits above a soft-touch panel of physical controls for climate, volume, and defrost. The overall dash and center console UX is intuitive, but I wouldn’t mind a few more buttons to keep things tactile. There’s definitely space for it.
What’s less distinctive is the synthetic leather on the steering wheel, which has a soft, foamy feel that doesn’t meet premium expectations. It’s a minor but noticeable mismatch. Similarly, the digital door latch system—push to open, pull for emergency release—proved finicky in practice. On more than one occasion, the door didn’t open cleanly on either input, which is an annoying quality note on a car at this price point. The driver-facing eye-monitoring system, which beeps when it detects your gaze leaving the road, was so sensitive that it became an immediate candidate for the off switch.
Lexus
Driving the 2026 Lexus ES
What really matters is how it drives. All three variants were driven back-to-back on the same coastal roads, which made the comparisons legible. The short version: every one of these cars is exceptionally pleasant and peaceful to drive. The ES has always been about refinement over performance, and this new generation delivers on that mission as well as any previous generation.
We’ve all heard the cliché of a luxury car that “drives on clouds.” The ES 350h drives as if that phrase were the north star of its engineering brief. Leading with its sixth-generation hybrid system—a new setup for Lexus producing 244 horsepower from a 2.5-liter four-cylinder paired with a front motor generator—it returns a generous EPA-estimated 46 MPG combined in FWD trim. On La Jolla’s mix of smooth coastal avenues and rougher neighborhood backstreets, the 350h was composed and effortless. Acceleration is adequate for everyday driving, but flooring it reveals the CVT’s whiny characteristics. Thankfully, that’s a rare occurrence, and the powertrain is so smooth in normal driving that the CVT is practically invisible. Light steering inputs, a calm ride, and near-total isolation from road noise make the 350h feel less like a car you’re driving and more like a room that happens to be moving.
Lexus
The ES350e, Lexus’s first battery-electric ES, adds a layer of tranquility to that same character. The single front electric motor is quicker and more torquey than the hybrid off the line, and silent with no moving pistons. The 350e is so quiet you could drive through the world of A Quiet Place without attracting the creatures. With an EPA-estimated range of 307 miles on standard 19-inch wheels, it’s also the most practical choice in the lineup for most buyers.
The ES 500e ups the ante with a second rear motor for a combined 338 horsepower and DIRECT4 all-wheel drive, reaching 60 mph in 5.1 seconds. That’s quick for a luxury sedan of this size, but it doesn’t feel neck-snapping like other performance EV sedans on the market. Whether the AWD capability justifies the trade-off in range—276 miles versus the 350e’s 307—depends on where you live and drive. In Southern California, the answer is probably no.
Lexus
The Executive Package deserves its own paragraph. Available exclusively on the ES 350e Luxury trim for $3,635, it transforms the rear passenger-side seat into something that belongs in a first-class cabin: a power-reclining seat with an ottoman, heated and ventilated cushions, a massage function, a pillow-style headrest, and controls for all of it built into the center armrest alongside rear window shade operation. When you recline into the Executive position, the front passenger seat automatically slides forward and its headrest drops, opening up the sightlines and giving the rear occupant a panoramic view of whatever’s outside. Parked at a viewpoint above La Jolla Shores with the ottoman extended, rear shade down, and the Pacific stretching out through the glass, it was genuinely difficult to find a reason to get out of the car. If you’re buying the ES 350e Luxury, don’t skip this package.
Pricing for the 2026 ES starts at $48,895 for the ES 350e Premium, $51,895 for the ES 500e Premium AWD, and $51,095 for the ES 350h Premium. The ES 350e Luxury—the trim level where the Executive Package is available—starts at $57,295 before options. The ES 500e Luxury AWD tops the lineup at $60,295. All prices include Lexus’s $1,395 destination fee.
Lexus
For buyers choosing between the three variants, the decision is simpler than it looks. If you’re committed to gas-electric efficiency and want the hybrid’s 46 MPG, the 350h is it. If you’re open to electric and want the most range and the most serene experience, the 350e is the pick of the lineup. The 500e’s performance is real but feels slightly at odds with the ES’s DNA—the extra power is there when you want it, but in everyday driving, you’ll rarely need it.
Early Verdict
The 2026 Lexus ES won’t convert driving enthusiasts, and it’s not trying to. It’s trying to be the best possible version of a refined, comfortable, luxury sedan—and on the coastal streets of La Jolla, with the Pacific in the mirrors and a cabin that insulates you from everything the world is throwing at the car, it’s very hard to argue it hasn’t succeeded.
Lexus provided The Drive with travel and accommodations, along with the use of a vehicle for the purpose of writing this review.
2026 Lexus ES350e, ES350h, ES500e Specs
ES350e
ES350h
ES500e
Base Price
$48,895
$51,095
$51,895
Powertrain
single or dual electric motors | 74.7 kWh battery | rear- or all-wheel drive
2.5-liter inline-four paired to a hybrid motor | CVT automatic transmission | front- or all-wheel drive
single or dual electric motors | 74.7 kWh battery | rear- or all-wheel drive
Silicon anodes are now entering production to improve electric vehicle charging speeds.
They’re still blended with graphite as startups work to develop 100% silicon anodes.
This unique battery allows the Mercedes-AMG GT to charge from 10-80% in just 11 minutes.
Electric vehicle batteries live a tough life. Temperature swings, punishment from bad roads, repeated hard acceleration, and fast-charging cycles can push the cells to their absolute limits. The combined effect of these forces can generate enormous amounts of heat. Managing that heat is the difference between a battery that works and a disaster waiting to happen.
Thankfully, recent innovations in battery technology have given automakers access to cells capable of handling the extremities of high-performance EVs. The new Mercedes-AMG GT 4-Door Coupe sheds light on several such innovations.
In its latest generation, the super sedan has ditched its V8 engine for an all-electric powertrain.
Its polarizing design and headline numbers like 1,153 horsepower and 600 kilowatts of peak charging power turned eyeballs at its launch last week. But beneath the spectacle, some major battery details seem to have slipped under the radar. Two stand out: the silicon anode and an overengineered cooling loop.
Photo by: Mercedes-AMG
But first, let’s start with the basics. The AMG GT’s 106 kilowatt hours of usable battery capacity delivers up to 700 kilometers (434 miles) of range on the European WLTP cycle, translating to well over 300 miles of comparable range on the tougher U.S. EPA cycle. When the car reaches U.S. shores later this year, it will be the fastest-charging EV in America, with a claimed 10-80% time of just 11 seconds.
The silicon anode is what makes that charging performance possible. Think of the anode as the part of the cell responsible for how much energy the battery can store and how quickly it can charge.
Traditionally, battery makers have relied on graphite anodes for their stability and energy density. But with China maintaining a chokehold on graphite supply chains—and with environmental concerns about graphite mining—automakers are now integrating silicon-graphite anodes as an interim solution. The end goal is to phase out graphite entirely, replacing it with either 100% silicon or synthetic graphite alternatives.
Photo by: Mercedes-AMG
Mercedes-AMG isn’t alone here. Several other companies are working on silicon anodes, including General Motors and startups like Group14 and Sila. It’s worth noting, though, that silicon anodes are a niche technology. They’re commercially available in limited quantities, but not yet cost-competitive and scalable enough to challenge traditional graphite anodes at volume.
On the AMG GT, the silicon-containing anode reaches a cell-level energy density of 298 watt hours per kilogram, which is at the high end of today’s commercially available automotive-grade lithium-ion cells. The cathode, on the other hand, contains nickel, cobalt, manganese, and aluminum (NCMA), which automakers have historically associated with longer range and better energy density.
This combination, according to Mercedes-AMG, allows the AMG GT to charge at 600 kW, recoup nearly 250 miles of EPA range in just 10 minutes of charging, and deliver a consistently high discharge rate enabling that 1,000+ horsepower.
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Source: Mercedes-AMG
To manage such high performance, Mercedes-AMG used various cooling systems and a new cell design. The automaker is using slim and tall cylindrical cells measuring 4.1 inches high and 1 inch in diameter. This smaller diameter, Mercedes said, reduces the distance from the cell core to the surface, allowing faster and more efficient heat dissipation.
The cells themselves are encased in laser-welded aluminum, allowing them to cool down or warm up faster. Coolant flows evenly around each of the 2,660 individual cells to dissipate heat, the company says. Mercedes also incorporated what it calls “on-demand cooling” to keep temperatures even for each battery module. If one part of the battery gets hotter, the system can cool it down precisely, rather than increasing coolant flow to the entire pack and potentially wasting energy or over-cooling other areas.
At the heart of all this is a coolant pump module, an oil-water heat exchanger, and a central coolant hub. The pump pushes the coolant across the pack, while the heat exchanger removes heat. The coolant hub further streamlines the coolant into one compact housing. It helps the AMG GT with targeted cooling of components. For example, if the battery pack is operating at ideal temperatures, the system can redirect the coolant towards components that need more cooling, like the electric drive units.
Combined, Mercedes-AMG said the systems can remove about 20 kilowatts of heat, significantly more than the 5-8 kW of cooling capacity in a typical EV battery’s thermal management system.
On paper, it all sounds remarkable. But the real test will come once the AMG GT hits the road and the years after that, when we find out whether this battery can hold up with minimal degradation and sustained performance over time. The bigger hope, though, is that this technology eventually finds its way into mass-market models. Blistering charging speeds shouldn’t be a privilege reserved for six-figure EVs.
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If you’re on the market for a coupe-fied SUV, you’re likely to care more about its fashionable appearance than its performance credentials. Regardless, the 2027 Mercedes-AMG GLC53 Coupe boasts strengths in both columns, offering a punchy driving experience wrapped in a sleek package that makes it stand out among today’s many compact luxury SUVs.
Whether you choose the GLC53 Coupe or SUV—and frankly, this is the first time I’ve ever favored the sloping roofline over the more practical SUV shape—you get a nicely-appointed interior, as well as an updated 3.0-liter straight-six engine that’s both turbocharged and supercharged. It produces 443 hp and up to 472 lb-ft of torque, helping the 4,674-pound SUV reach 60 mph in 4.0 seconds flat (estimated by Mercedes) and continue up to 167 mph when equipped with the AMG Dynamic Plus package.
Mercedes-AMG
The revised straight-six pairs to a nine-speed automatic transmission, and sends power to all four wheels via an AMG Performance 4Matic system. However, Drift Mode can be activated to perform all kinds of RWD, smoky shenanigans—a first in an AMG SUV.
In the looks department, I believe the GLC53 Coupe finally delivers on what the coupe-fied SUV should have been all along. The muscular front end contrasts with the curvy, sloped rear hatch, but not overly so. Likewise, the hatch’s rake angle isn’t too aggressive, so it doesn’t look disproportionate, unlike in many other coupe SUVs. My tester looked quite cool in its Graphite Grey Magno in matte finish—and I’m typically not a big fan of matte finishes on cars. Apparently, the GLC53 is just an anomaly on many fronts for me.
Driving the 2027 Mercedes-AMG GLC53
My time behind the wheel of AMG’s new compact offering was very brief, and even worse, it coincided with rush hour in Hamburg, where I puddled around from red light to red light, barely tickling the SUV’s performance capabilities. Once on the autobahn, where I was hoping to explore the straight-six’s new chops (and its 167-mph top speed), there was never a gap in traffic large enough to reach those speeds.
Mercedes-AMG
Around the city, however, the GLC53 felt at ease and in Comfort mode, the drivetrain was docile enough for daily duty. I felt like the ride quality was still a bit stiffer than it should’ve been for that setting, but then again, I had just spent two days driving the new S-Class, so perhaps my body couldn’t recalibrate quickly enough to jump from the plush sedan to a sporty SUV. Briefly exploring Sport and Sport+ modes delivered an enhanced response, louder exhaust sound (the organic type), and crisper, quicker shifts. That’s all to be expected and not anything new.
Brakes felt strong, as they usually do in an AMG, though I’d say the SUV’s standout dynamic is definitely its handling, likely in part to its rear-axle steering. Tackling a couple of curvy on-ramps allowed me to carry some speed with considerable steering angle, and it was surprising how precise and well-mannered it felt as I buried my foot into the floorboard. And while I never got the chance to string more than a couple of corners together, I definitely got the sense that the sleek GLC was properly tuned for a backroad drive.
Mercedes-AMG
In terms of the in-cabin experience, everything was typical Mercedes fare. Luckily, there was no Superscreen to be found in the GLC, just the traditional, center-mounted 11.9-inch screen. The seats were comfortable and supportive, and visibility out of the cabin was satisfactory despite the sloping roofline and thicker B pillars. One thing, though: The cargo floor in the trunk felt rather high, so if you’re constantly loading heavy items, you might want to look elsewhere for the utmost practicality.
Early Verdict
After about an hour in the Mercedes-AMG 2027 GLC53, of which only 30 minutes were behind the wheel, I can only say that this handsome SUV will be a popular choice among big-city, middle-aged professionals looking for a fashionable ride that reflects their place in society. And while most likely won’t extract every ounce of power from the new straight-six motor, the few who do will be pleased. I look forward to getting more seat time later this year and forming a more well-rounded opinion.
Mercedes-AMG provided The Drive with travel and accommodations, along with the use of a vehicle for the purpose of writing this review.
Remember Hennessey Performance’s Dodge Challenger Demon 1700 project, which, as the name suggests, is claimed to produce a staggering 1,700 horsepower? Well, the car recently underwent its final validation test drive, and according to driver and company president Alex Roys, it laid down a rolling burnout at 100 mph.
Doing a burnout from a standstill already puts a lot of stress on components like the engine and transmission, so pulling one off at 100 mph takes enormous power to spin the wheels faster than the car itself is moving. That power comes from a 7.2-liter HEMI V8 with a twin-turbocharger setup instead of the factory supercharger. Roys claimed the engine itself costs $100,000.
A Different Kind Of Demon
The turbo spool and blow-off sounds were aggressive, a far cry from the factory Demon 170’s signature supercharger whine. That car was already billed by Dodge as the world’s most powerful muscle car, with 1,025 horsepower, beating the Ford Mustang GTD’s 815 horsepower and the Chevrolet Camaro ZL1’s 650-hp figure. As such, this Demon 1700 takes things to another level.
The Demon 1700 is a project from Hennessey Special Operations, the division responsible for building wild bespoke creations. In fact, after turning off the electronic driver aids, Roys described the drive by saying, “It wants to kill me bad.” He added, “Honestly, don’t turn everything off. That’s the wrong idea for 99%.”
Specs-wise, the vehicle features two Precision PT6870 turbochargers, billet turbo wastegates and blow-off valves, a Stage 3 transmission, a 3.09-ratio rear differential, a billet torque converter, and an upgraded fuel system, among other modifications.
Hennessey Performance/YouTube
Peak Muscle-Car Insanity
Hennessey Performance previously said production of the Demon 1700 would be limited to just 12 units worldwide, each starting at $200,000, excluding the donor Demon 170. It would have been interesting if the team had included a quarter-mile run during the final validation test drive, especially since they were already at the Pennzoil Proving Ground, but it looks like they are saving that for another day. For reference, the original target was a 7.9-second quarter-mile run at more than 175 mph.
In the meantime, the Texas-based tuner has unveiled several wild builds this year, including the 35th Anniversary Super Venom based on the Ford Mustang Dark Horse, which delivers a 70% horsepower increase to 850 hp. There’s also the VelociRaptor 1200 F-250, which packs 1,200 lb-ft of torque and was created to mark America’s 250th anniversary of independence.
Hennessey Performance/YouTube
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Before you load the cooler, take a few minutes to prep your car, map your route, and plan your fuel or charging stops. These Memorial Day road trip tips can help you avoid breakdowns, manage gas costs, and stay safer during the start of the summer travel season.
You’ll likely have plenty of company. AAA projects that 45 million Americans will travel at least 50 miles from home during the holiday period, with 39.1 million expected to drive and 3.66 million to fly. Driving will account for 87% of Memorial Day travel, even with higher gas prices.
Chart courtesy of AAA
Roads will carry the overwhelming majority of Memorial Day travelers, so expect heavier traffic near major cities, beaches, lakes, parks, and other vacation destinations.
Before You Go
Memorial Day Road Trip Checklist
Check the basics: Inspect tire pressure, tread depth, fluids, lights, wipers, brakes, battery, and air conditioning.
Don’t skip maintenance: If your car is due for an oil change, tire rotation, battery test, or scheduled service, handle it before the trip.
Watch the heat: Summer temperatures can stress batteries, tires, and cooling systems. If the temperature warning light comes on, pull over safely and shut off the engine.
Check for recalls: Use your VIN to look up open safety recalls. Recall repairs are free, but dealer appointments can fill up before a holiday weekend.
Know your car: If you’re renting, take a few minutes to adjust mirrors, pair your phone, locate controls, and understand key safety features before leaving the lot.
Bring key documents: Carry your license, registration, proof of insurance, roadside assistance details, and rental paperwork if applicable.
Pack This Summer Road Trip Kit
Keep emergency supplies in the vehicle, especially if you’re traveling with kids, pets, or older adults. Traffic, heat, storms, or a breakdown can leave you waiting longer than expected.
First aid kit, flashlight, emergency reflectors or flares, work gloves
Comfort
Drinking water, nonperishable snacks, medications, sunscreen, sunglasses, towels or blankets
Navigation
Downloaded maps, printed directions, roadside assistance info
Protect Kids and Pets
Use the back seat: Children under 13 should ride in the back seat whenever possible, according to the National Highway Traffic Safety Administration (NHTSA) and American Academy of Pediatrics.
Check car seats: Make sure each car seat or booster seat fits the child’s age, weight, and height and is installed correctly.
Never leave kids or pets in a parked car: Interior temperatures can rise quickly, even during a short stop.
Bring pet supplies: Pack water, a leash, waste bags, food, medication, and vaccination records if needed.
Plan the Drive
Leave early if possible: Holiday traffic often builds Friday afternoon and again Monday afternoon or evening.
Build in extra time: Expect slowdowns near beaches, lakes, parks, campgrounds, airports, and major metro areas.
Check conditions: Look up weather, construction, crashes, and road closures before you leave.
Download your route: Cell service can be unreliable in rural areas or around crowded destinations.
Plan breaks: Stop every few hours to stretch, hydrate, use the restroom, and switch drivers if possible.
Drive Safely
Avoid distractions: Set your route before leaving. Let a passenger handle navigation, music, calls, and messages.
Watch for fatigue: Limit nighttime driving. If you feel drowsy, switch drivers or stop somewhere safe.
Share the road: Look for motorcycles, bicycles, pedestrians, roadside workers, and emergency vehicles.
Move over: Slow down and move over for stopped emergency vehicles, tow trucks, and road crews when required.
Buckle up: Everyone should wear a seat belt on every trip, even short drives near your destination.
Plan a sober ride: If alcohol is part of your Memorial Day plans, arrange a designated driver, rideshare, taxi, or overnight stay before drinking.
Save on Gas
Visit Kelley Blue Book’s curated page about Fuel Economy and Gas Prices. With millions of drivers on the road, fuel stops may be crowded, and prices may vary widely by location.
Compare prices: Use an app to check fuel prices along your route.
Fill up strategically: Don’t wait until the tank is almost empty, especially in rural areas or near crowded vacation spots.
Drive smoothly: Avoid hard acceleration and braking.
Watch your speed: Driving faster burns more fuel.
Check tire pressure: Proper inflation helps safety and fuel economy.
Remove excess weight: Remove unnecessary cargo before the trip.
Driving an EV?
Make a charging plan before you leave on a road trip in an electric vehicle (EV).
Map your stops: Check charger locations, plug type, charging speed, and availability.
Have a backup: Don’t rely on a single charging station, especially near beaches, parks, mountains, or rural areas.
Charge earlier than usual: Holiday traffic and crowded charging stations can make waiting until the last minute risky.
Bottom Line
Memorial Day marks the start of summer road trip season. A quick vehicle check, a smarter route plan, and a few safety precautions can help you avoid breakdowns, save money, and make the drive less stressful. Explore our curated articles on our Car Affordability Hub Page to help you make smart, budget-friendly decisions.
Editor’s Note: We have updated this article since its initial publication. Renee Valdes contributed to the report.
