• Toyota plans Celica return with possible hybrid turbo engine and all-wheel drive.
  • New powertrain could replace smaller engines struggling with emissions rules.
  • Reports say 395 hp output can be boosted to 600 hp with bigger turbocharger.

A 1.6-liter three-cylinder turbo helped make the GR Yaris and Corolla into the great drivers cars they are, bolstering Toyota’s performance credentials in the process. Now the brand is sidelining that engine for something entirely different in its new coupe, which company officials have now confirmed to Autocar is being referred to as the Celica Sports. That’s not the only news either, as a Toyota spokesperson also revealed that it will have four-wheel drive.

Although there’s a lot of nostalgia wrapped up in the Celica name, which hasn’t been used for 20 years, the comeback will be very modern under the hood, and will allegedly incorporate hybrid technology as well as a heap more capacity than the Yaris and Corolla offer.

Related: Toyota Won’t Deny Mid-Engine Celica After Secret WRC Prototype Surfaces

One of the reasons for that shift isn’t related to performance, but tailpipe emissions, Gazoo Racing marketing boss Mikio Hayashi told Autocar.

“The displacement size of 1.6 litres cannot meet emission regulations, so we have to consider the possibility of a 2.0-litre,” Hayashi said, effectively confirming that the little triple has been sidelined. He also claimed “nothing has been decided yet” about whether to make the sports car’s powertrain a hybrid, PHEV or plain old combustion setup.

But while he claimed he couldn’t yet reveal what would take its place, we already have a solid idea about the foundations.

Up To 600 HP

Toyota Confirms The Celica Sports Name And AWD In One Shot

Back in 2024 Toyota revealed it would soon introduce a 2.0-liter G20E four-cylinder engine that is officially rated at 395 hp (400 PS), but can apparently produce up to 592 hp (600 PS) with a bigger turbocharger.

The engine could also find its way into the GR Yaris and GR Corolla, where its 395 hp stock output would provide a big boost over the 276 hp (280 PS) and 304 hp (308 PS) of today’s cars. And it’s also a shoe-in for a new mid-engined sports car which has been confirmed by Toyota, though the name of that sports car hasn’t been revealed.

Front- Or Mid-Engined?

Toyota Confirms The Celica Sports Name And AWD In One Shot
Illustration Thanos Pappas / Carscoops

Sticking to the template laid down by the three generations of the two-seater that ran from 1984 to 2007, any new MR2 should have its engine in the middle, while a new Celica’s ought to be in the nose. But over in the rally world Toyota is testing a mid-engined spaceframe-chassis WRC car that will replace the competition GR Yaris, and images show it wearing what looks like Celica-type bodywork.

Toyota execs even refused to deny that it was a Celica when asked. We created the render to give you an idea of how it could look without disguise.

Japan’s Best Car even claims the production Celica could move to a mid-engined format, which would help set it apart from the next Supra and GR86. But that would only make sense if the new Celica was also the new MR2 – something reported by Japanese media – because it would be nuts to develop two relatively affordable mid-engined cars with only two seats.

Lead image Marcio Pereira @ X