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Toyota to Relaunch MR2 as Mid-Engined Hybrid Sports Car
Toyota is set to revive the MR2 nameplate with a new mid-engined sports car, powered by a 2.0-litre hybrid engine producing up to 600bhp, as part of its GR performance brand expansion.
By Charlotte Redford · 4 min read
Toyota is preparing to relaunch the MR2 as a mid-engined sports car, with a new 2.0-litre engine that could deliver up to 600bhp in race trim. The model is part of a broader transformation of Toyota's GR performance division into a standalone brand, similar to BMW M or Mercedes-AMG, and is being developed alongside a new Celica and a range of dedicated sports cars.
The reborn MR2 is expected to use a new four-cylinder engine, codenamed G20E, which Toyota is developing specifically for hybrid sports cars. The engine, based on the 1.6-litre unit in the current GR Yaris, is designed to be compact and low-slung, enabling a low centre of gravity and tight dimensions crucial for a mid-engined layout. In standard tune, it is said to produce around 400-450bhp, with the race version exceeding 600bhp, potentially making it one of the most powerful four-cylinder engines ever built.
Toyota has been testing the engine in a modified, mid-engined GR Yaris prototype, which has competed in Japan's Super Taikyu endurance series. The prototype, named GR Yaris M, is part of a development programme that has seen chairman Akio Toyoda, known for his 'no more boring cars' mantra, take the wheel in races. Tomoya Takahashi, president of Toyota's motorsport division, said the project reflects a shift in the company's mindset, embracing niche models that serve as halo products rather than purely commercial ventures.
The MR2's return comes as the market for mid-engined sports cars shrinks, with the Lotus Emira now the only mainstream offering. Alpine's next-generation A110 is set to become an EV, and the MR2 will be one of the few petrol-powered options. The new car is expected to retain the MR2's tail-happy handling character, with a drivetrain capable of sending power to the rear or all four wheels, depending on the final setup.
The GR division, which has its roots in Gazoo Racing, is being expanded to include a family of sports cars at various price points, with the new GR GT supercar and its GT3 racing variant leading the range. The Celica, meanwhile, is expected to form the basis of Toyota's next World Rally Championship challenger. The MR2 and Celica will join the GR Yaris, GR Supra, and GR 86 in a line-up that Toyota is positioning as a dedicated performance brand.
Development of the MR2 is progressing in plain sight, with the prototype actively racing, a move that Takahashi said would have been unthinkable under the old Toyota. 'In the 2000s, we had what was known as the global master plan, and Toyota had become a company that only built cars that made money,' he said. 'If we were the old Toyota, the response to this project would have been: What are you talking about? Forget it!'
The new MR2 is expected to arrive by 2028, with the engine compatible with hybrid and plug-in hybrid powertrains, taking advantage of a shorter piston stroke to save space. The mid-engined layout, developed in collaboration with Toyoda, is designed to address the dynamic shortcomings of front-engined performance cars, such as understeer and tyre wear, allowing drivers to control the car exactly as they intend.
