We have been hearing bits and pieces regarding the Toyota Celica’s return, after a near-20-year hiatus. We know it’s coming, and by now, we have a pretty good picture of what it will be. Not long ago, Toyota leaked footage of what is believed to be the Celica’s rally prototype. After hearing the engine, I had some concerns that they may have decided to put the GR Yaris’ 1.6-liter turbo-three, but the latest reports put my trepidations to rest. We have been promised a 2.0-liter turbo-four with 400 horsepower, and it sounds like Toyota might overdeliver on that front.
In a recent interview with Autocar, Gazoo Racing Chief Marketing Officer Mikio Hayashi said that the 1.6-liter turbocharged inline-three engine wouldn’t be able to meet the upcoming emissions regulations. This is good news because it means Toyota’s new 2.0-liter turbo-four engine will be more widely featured across the model lineup.
"We are thinking about various sizes, but we are not at a stage where we can tell you exactly what size it is. Nothing has been decided yet about whether it will be a standard hybrid or plug-in hybrid," Hayashi said.
We know the new coupe will be called Celica Sport, and it will be a homologation special, but I believe a plug-in hybrid is not happening
Toyota is planning to replace the GR Yaris Rally1 and Rally2 with the new Celica Sport. Being that the more powerful rally version is a hybrid, it makes sense for the production Celica to feature a hybrid powertrain. A plug-in hybrid is almost out of the question since it would add weight and complexity to the sports car.
The Toyota problem
Reports from Japan suggest that the next-generation Toyota Supra will also feature a hybrid powertrain revolving around the G20E engine. System output is said to be around 450 horsepower. But there is an issue with that. If the Celica Sport features a similar hybrid setup, won’t that dilute the model lineup? Toyota should be looking for a way to differentiate the next-generation Supra from the Celica, and a unique powertrain would be the way to go.
Other reports suggest that Toyota has been eyeing Mazda’s new inline-six engine for a potential Supra powertrain. Given that Toyota, Mazda, and Subaru have doubled down on partnerships for the sake of making exciting new powertrains, this seems like a likely scenario.
The MR-2 might be happening after all
Previous reports suggested that the new Toyota Celica will be a mid-engine model. However, what we saw in the footage resembled a modern interpretation of the Celica GT-Four, which is a front-engine car. Toyota was caught testing a GR Yaris test mule with a rear-mounted engine, which confirms that the company is working on a mid-engine model. The MR-2 and MR-S trademarks are another hint. We already know that it will not be a hybrid and will be powered by a 400-horsepower variant of the 2.0-liter turbo-four engine.
All these points to the GR Corolla getting a new engine
Since the G16E engine will not meet the upcoming emissions regulations, the GR Corolla is also getting a new engine. I talked about this a while back, and we know that Toyota’s hot hatchback is getting a comprehensive redesign for the 2027 model year, which I suspect will include the 2.0-liter turbocharged inline-four engine. Toyota isn’t planning to discontinue the GR Corolla, and with the G16E engine being axed, it is the only logical course of action.
Image source: Toyota
About the author
Dimitar Angelov has been an automotive journalist since 2014. His passion for cars and motorcycles led him to take up classic car restoration at the Classic Car Museum in Malta. While living there, he also graduated with a Master's in Media and Communications. Aside from Torquenews, his work can also be seen on Topspeed.com, HotCars.com, Motorheads.com, Jalopnik.com, and his own website, Ridereverie.com, where he also includes motorcycle content.
Other relevant experiences in the automotive scene include working at a Toyota dealership, professional driving, and automotive insurance. Dim is happy to get behind the wheel of any car and share his impressions. You can follow Dimitar on X, LinkedIn, Instagram, and Facebook.
Experience
- 2012-2017 and 2025-Present: Insurance Advisor - ANG Univers and Generali Insurance Group
- 2016-2016: Car salesman at Toyota dealership
- 2014-Present: Automotive journalist, blogger, vlogger, test driver
Education
- Bachelor's degree in International Economic Relations
- Master's degree in Marketing
- Master's degree in Media and Communications
Dimitar Angelov has been quoted in the following publications:
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