Toyota Upgrades 2025 GR Corolla – and it’s Likely to Expand the Appeal of the Hot Hatch

When Toyota rolled out the GR Corolla two years ago it did a lot to change the image of a compact model long known for its plain vanilla styling and lackluster styling. But for many potential buyers there was one big drawback: its lack of an automatic transmission. That’s the biggest issue Toyota is addressing with the 2025 GR Corolla update. Here’s more.

Developed by Toyota’s Gazoo Racing team, the GR Corolla was the spicy alternative the automaker’s ever-popular but decidedly plebian compact model long needed. Delivering roughly double the power of the mainstream model, the GR Corolla added a couple other features hot hatch fans fell in love with: a 6-speed manual gearbox and all-wheel-drive to make sure all that power gets to the pavement.

The problem is that today’s pocket rocket fans are, likely as not, unable to figure out what to do with a clutch and stick shift, limiting the number of potential buyers.

That’s the most significant thing Toyota is addressing with the debut of the 2025 GR Corolla – which now gets an 8-speed Gazoo Racing Direct Automatic Transmission with paddle shifters.

DAT’s the big news for 2025

Dubbed the DAT, the 8-speed gearbox “is a sports car enthusiast’s dream,” Toyota officials said at a late Thursday reveal in California.

This isn’t the first time Toyota has introduced a Direct Automatic Transmission. It offers that option for both the GR Supra and GR86. But those are programmed to respond to vehicle behavior, the automaker explains, sensing acceleration and deceleration G-forces. With the GR Corolla, it claims, the transmission is something of a mind-reader.

“It anticipates when gear shifting is optimal even before changes in vehicle behavior occur, achieving gear selection that reflects the driver’s intentions and, thus, leads to shifting that is similar to that of professional drivers.”

The new gearbox has four modes, including Normal, ECO and Custom but, Toyota, adds, it was tuned primarily around its Sport mode.

Engine upgrades:

All versions of the GR Corolla will use Toyota’s turbocharged G16E-GTS 1.6 liter 3-cylinder turbo engine for 2025. As before, it turns out 300 horsepower – but torque increases from 273 to 295 pound-feet for the coming model-year.

Models with the DAT now get a standard transmission cooler – but buyers also can opt for factory-installed sub-radiator on Premium grade trim packages. It’s standard on the Premium-Plus trim.

Initially offered on the launch edition, all versions of the GR Corolla will now come with front and rear Torsen limited-slip differentials. New front and rear rebound springs have also been added for 2025, with a number of other suspension tweaks designed to keep the hot hatch planted on the ground during the most aggressive driving maneuvers.

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Design upgrades

No mid-cycle update is complete without at least a few exterior and interior tweaks – and the 2025 Toyota GR Corolla is no exception. But most of them are made for functional improvements.

For one thing, they make room for the transmission oil cooler and sub-radiator. The brake ducts have revised to enhance cooling air flow, as well as turbulence around the front tires.

An updated bumper also improves cooling, as well as reducing aerodynamic drag.

Connected tech

You can’t build a car these days, whether a 3-row family SUV or a hot hatch, without loading it up with technology.

The 2025 GR Corolla features twin digital 8-inch gauge cluster and infotainment screens. The hatchback now gets the Toyota Audio Multimedia system with its own voice assistant you can activate simply by saying, “Hey, Toyota.” The system supports both Apple CarPlay and Android Auto.

A 4G WiFi system that can handle up to five connected devices is available with an AT&T subscription.

The GR Corolla also features the Toyota Safety Sense 3.0 suite of driver assistance technologies.

Complimentary driving course

All GR Corolla buyers will get a one-year free membership in the National Auto Sports Association.

Among the benefits: a 1-day high-performance driving event that can be claimed any time during the first year of ownership.

Pricing and availability

The 2025 Toyota GR Corolla will arrive in U.S. showrooms this coming Winter, the automaker said.

Further details, including pricing, will be announced later this year.

The 2024 hot hatch starts at $36,500, with the top-line package jumping to $46,275.