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Things are very interesting in Toyota’s kitchen. The Japanese carmaker is hard at work, appealing to enthusiasts looking for fun, tuner-friendly, and relatively affordable models. And it has been quite successful so far.
With the GR Corolla being a somewhat popular hot hatch offering and the GR GT being a true flagship model that is building up towards the new Lexus LFA, the company is making headlines left and right, and mostly for good reasons.
There is no denying that more power is always welcome, but this leaves one question: what will happen to the GR86?
As it stands, we know a few things. One of them is that the future Toyota GR86 will not be co-developed with Subaru. The two companies will continue their partnership in other aspects, but Toyota is moving towards making all of its performance models in-house.
This poses another question: what will happen to the BRZ? Subaru has not made official statements regarding the discontinuation of the compact sports car, which could mean that the “Toyobaru” twins could become two different cars, with the BRZ remaining in its current form while the GR86 becomes an all-new model.
Two probable engine options
All reports indicate that the next-generation GR86 will be powered by one of two engines: the 1.6-liter G16E turbocharged inline-three from the GR Corolla and GR Yaris, or the new G20E 2.0-liter turbo-four unit that will develop up to 400 horsepower in road-going trim, for the GR Celica and the next-generation GR Supra, which will reportedly be a hybrid.
In 2025, there were also reports of a third possible engine - a 2.0-liter normally-aspirated unit, but we haven’t heard anything about that since. In any case, making a normally-aspirated high-revving engine meet the latest emissions requirements will be way more difficult than a turbocharged unit.
The G16E engine will not be replaced by the larger G20E, at least not until 2028, when the next-generation Corolla is scheduled to arrive. Both engines are capable of producing 300 horsepower or more, and while this sounds great, there is one key reason why it could be bad for buyers of the next-generation GR86.
No longer a Miata competitor
Currently, the Toyota GR86 (and Subaru BRZ) is a great alternative to the Mazda MX-5 Miata. In 2026, the GR86’s starting price is $31,200, which is about the same as the Miata (starting at approx. $31,000 MSRP). Granted, you are getting a mechanical, limited-slip differential on the Toyota for the same price.
Related story: At $42,844 All in, is this Toyota GR86 Yuzu Edition A Bargain Or a Potential Buyer's Remorse?
You can see where the problem lies. If the GR86 becomes 300 horsepower or more, it goes into a different performance segment, and in turn a higher price range, likely much closer to $40,000 for the base model. The Mazda Miata will go through an evolution of its own for its next generation, scoring a larger Skyactiv-Z engine, but the company says we shouldn’t expect big gains in power. Bottom line - a 300-horsepower GR86 would not be comparable to the “NE” Miata.
Related story: Toyota GR86 Rally Legacy Concept Gives Plausible Insight To What The Next-Gen 86 Would Be
There are still many questions, but one thing is certain - the GR86 is not going away, just evolving. Toyota already showed us on numerous occasions that it has not forgotten how to make fun performance cars, and I hope the next generation of the compact sports car continues the trend.
I am curious to hear your opinion on this. Should the next-generation GR86 become a 300-horsepower sports car, or will it be priced out of reach for enthusiasts looking for an affordable sports car that isn’t a Miata? Feel free to hit the comment section below, so we can discuss.
Dimitar Angelov's automotive interests made him an expert in a wide variety of vehicles. Japanese brands like Toyota and Nissan are closest to his heart, although performance cars in general are his favorite segment, which is why he is constantly on the lookout for the best deals on the market. Dimitar Angelov's car passion and knack for the written word led him to complete a Master of Arts in Media and Communications, and classic car restoration. 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.
Image source: 2025 Toyota GR86 press, Toyota GR86 Rally Legacy Concept
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