Best New Small SUVs Under $40,000 in Australia

Famed for their user-friendly nature while driving - and parking - in and around the urban jungle, great fuel efficiency and affordability, the popularity of compact SUVs is showing no signs of letting up.

With so many options on the market, though, it can be difficult to know your best options in the small SUV world, so we’ve put ten of our favourites priced under $40k here in Australia in the spotlight.

The following small SUVs caught our attention for a mix of their fun-loving nature on the road, fuel efficiency, interior practicality, long warranty coverage and their respective safety standings.

Join us as we put ten of the best small SUVs with a price tag less than $40,000 under the microscope.

Hyundai Kona 1.6 Hybrid

Starting from $36,000*

The Hyundai Kona is a small SUV that makes a bold first impression.

With its futuristic styling package, impressive interior acreage, a great suspension package for a mix of Australian road conditions and a lengthy safety equipment list, the Kona ticks all the important boxers for small SUV buyers.

Better yet, Hyundai now has a hybrid version of the Kona priced under $40,000 which drops fuel economy figures from 6.6L to just 3.9L/100km, making it one of the most fuel-efficient of the segment for a pretty reasonable price.

• Engine: 1.6-litre four-cylinder petrol + electric motor hybrid

• Power & Torque: 104kW / 265Nm

• Fuel Economy: 3.9L/100km

• Infotainment: 12.3-inch with wireless Apple CarPlay & Android Auto

• Boot Space: 407 - 1,241L

• ANCAP Safety Rating: Four-star (tested 2023)

• Warranty: Five-year/unlimited-kilometre

Suzuki Jimny GLX

Starting from $31,990*

There’s probably no vehicle that embodies the term cheap and cheerful in the modern automotive sphere than the Suzuki Jimny.

While some of its rivals are marketed for their versatility, the Jimny is a true performer that doesn’t shy away from a challenge off-road, making it the leading pound-for-pound fighter in the world of affordable small SUVs with a bonafide 4x4 system.

• Engine: 1.5-litre four-cylinder petrol

• Power & Torque: 75kW / 130Nm

• Fuel Economy: 6.4 - 6.9L per 100km

• Boot Space: 85 - 377L

• ANCAP Safety Rating: Three-star (tested 2018) 

• Warranty: Five-year/unlimited-kilometre

Toyota Yaris Cross GXL AWD

Starting from $31,000*

Toyota’s pint-sized SUV, the Yaris Cross, has been quick to earn acclaim, with all versions of the hybrid-only lineup priced under $40,000 here in Australia, including all-wheel drive layouts.

While it doesn’t have the biggest footprint, Toyota has done well to make the Yaris Cross a useable, reasonably practical package that offers outstanding fuel efficiency and the option of some sportier variants filled with technology at the top of the range.

• Engine: 1.5-litre three-cylinder petrol + electric motor hybrid

• Power & Torque: 85kW

• Fuel Economy: 3.8 - 4.1L/100km

• Boot Space: 390L

• ANCAP Safety Rating: Five-star (GR sport unrated)  

• Warranty: Five-year/unlimited-kilometre (ten years for hybrid battery)

Nissan Qashqai ST+

Starting from $33,890*

While a number of small SUVs are compromised in terms of rear seat accommodation and boot space, the Nissan Qashqai over-performs on the practicality front.

With a well-equipped base model, there’s a lot to like about the Qashqai, especially when you peek inside and see a very useable second row and 429L of boot space, making it one of the most practical compact SUVs on the market.

• Engine: 1.3-litre turbocharged four-cylinder petrol

• Power & Torque: 110kW / 250Nm

• Fuel Economy: 6.1L/100km

• Boot Space: 429 - 1,524L

• ANCAP Safety Rating: Five-star (tested 2021)

• Warranty: Five-year/unlimited-kilometre

Mazda CX-3 G20 Evolve

Starting from $31,200*

The Mazda CX-3 is one of the best-selling small SUVs, impressing buyers with its cute styling package, great fuel economy and a reasonably sleek interior design, even in the base model.

While it’s not the biggest or most practical member of the segment, the CX-3 excels around town, where it’s happy to squeeze into any vacant spot and offers great, zippy handling for the urban jungle.

• Engine: 2.0-litre four-cylinder petrol

• Power & Torque: 110kW / 195Nm

• Fuel Economy: 6.3L/100km

• Boot Space: 264 - 1,147L

• ANCAP Safety Rating: Expired five-star rating (tested 2015)

• Warranty: Five-year/unlimited-kilometre warranty

Subaru Crosstrek 2.0R

Starting from $38,490*

The Subaru Crosstrek is a fantastic compact SUV if you intend to get its toes dirty on a weekend.

With great ground clearance, the confidence of an all-wheel drive layout and a comfortable suspension package that handles country roads without breaking a sweat, the Crosstrek remains a must-have on any small SUV shortlist if you plan on hitting the Great Outdoors.

• Engine: 2.0-litre four-cylinder petrol

• Power & Torque: 115kW / 196Nm

• Fuel Economy: 7.2L/100km

• Boot Space: 291 - 883L

• ANCAP Safety Rating: Unrated

• Warranty: Five-year/unlimited-kilometre

Mitsubishi ASX ES

Starting from $27,990*

The Mitsubishi ASX is one of the original small SUVs here in Australia, first hitting the market way back in 2010 - well before compact SUVs were cool.

Since then, the Mitsubishi ASX has been a great option for those looking for a zippy little SUV to run around town, remaining arguably the benchmark in the segment for outright value and ownership thanks to Mitsubishi’s capped-price servicing and ten-year warranty.

• Engine: 2.0-litre four-cylinder petrol

• Power & Torque: 110kW / 197Nm

• Fuel Economy: 7.6L/100km

• Boot Space: 393 - 1,193L

• ANCAP Safety Rating: Expired five-star rating (tested 2014)

• Warranty: 10-year/200,000-kilometre (when serviced on time, in network)

Kia Seltos Sport+

Starting from $35,800*

If you’re after a small SUV that offers a tonne of space inside, the Kia Seltos is worth a closer inspection.

With its boxy design, the Seltos’ cabin feels super spacious, while those willing to splash out a little extra for the 1.6-litre turbocharged engine will not be disappointed with its on-road performance.

Combine that with Kia’s long warranty coverage and extremely generous features list and the Seltos is a great offering in the small SUV segment.

• Engine: 1.6-litre turbocharged four-cylinder petrol

• Power & Torque: 146kW / 265Nm

• Fuel Economy: 7.4L/100km

• Boot Space: 468 - 1,428L

• ANCAP Safety Rating: Five-star (tested 2019)

• Warranty: Seven-year/unlimited-kilometre

MG ZST Essence

Starting from $30,490*

While the MG ZS is by far the company’s most popular small SUV, the ZST is the one to pick within the lineup.

With a more powerful turbocharged engine, lengthier equipment list and a stack more active safety gear, the MG ZST is a great value proposition within Australia’s small SUV landscape, especially when you take into account it’s one of just two car brands offering a ten-year warranty.

• Engine: 1.3-litre turbocharged three-cylinder petrol

• Power & Torque: 115kW / 230Nm

• Fuel Economy: 7.1L/100km

• Boot Space: 359 - 1,187L

• ANCAP Safety Rating: Unrated

• Warranty: Ten-year/250,000-kilometre

Volkswagen T-Roc Style

Starting from $33,490*

If you’re after a more refined take on the small SUV segment that won’t break the bank account, the VW T-Roc may be the answer to your prayers.

Volkswagen offers two versions of the T-Roc priced below $40k, both of which are smooth on the road with zippy handling and a pint-sized footprint that is a breeze to park.

VW’s entry-level T-Roc CityLife comes well-equipped for the price, though we’d consider spending a little extra on the T-Roc Style to pick up 18-inch alloys, a 10.25-inch digital instrument cluster and upgraded Anthracite upholstery.

• Engine: 1.4-litre turbocharged four-cylinder petrol

• Power & Torque: 110kW / 250Nm

• Fuel Economy: 6.3L/100km

• Boot Space: 445 - 1,290L

• ANCAP Safety Rating: Unrated

• Warranty: Five-year/unlimited-kilometre

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If you need help narrowing down your options for a small SUV, be sure to reach out to our car-buying specialists who can help you skip the waitlists and even find you the best price.

* Prices accurate at time of writing.