Subaru built its overseas reputation in the late 20th century by appealing directly to gearheads, primarily through its successful World Rally Championship program that showed its cars were not only rapid, but also immensely effective off-road. Its production offerings, like the Impreza WRX STI, illustrated that it could build machines that could embarrass most other performance cars on the black stuff, too.
Subsequently, in an attempt to become more mainstream, it has largely moved away from such enthusiast cars in the last decade or so. The same can be said for the wider automotive industry, but the Japanese brand looks to be embarking on an about-turn when it comes to providing cars that gearheads actually want. It could be that we are about to be treated to something rather tantalizing.
The Manual Gearbox In A Hatch Looks To Be A Dying Breed
2026 Subaru WRX manual transmission gearboxSubaru
One of the biggest trends within the enthusiast arena is the rapid demise of the manual gearbox. With automatic transmissions becoming so efficient and quick, developments that have proven popular with most performance buyers, manufacturers have struggled to justify offering manuals with their performance machines as a result. Some sectors have very little choice indeed, with a good example being the all-wheel drive hot hatch. Just one remains in 2026, the Toyota GR Corolla, following the death of the Volkswagen Golf R manual at the end of 2024.
The Golf R is one of the fastest point-to-point hot hatches on the planet, with its 328-horsepower four-pot engine working with its AWD system to provide effortless acceleration and traction, along with an agile chassis. It was also very engaging with a manual unit, though falling sales led VW to make the decision to only offer the model with a seven-speed DSG auto unit for the 2026 model year. It’s a slick unit that helps boost the car’s pace in a straight line, as well as giving its driver less to think about when driving hard, but the loss of the manual robs the car of some of the drama that enthusiast drivers crave.
Subaru Wants To Revitalize The Affordable AWD Hatch Market
Teaser For Three New Subaru Manual Cars Due In 2027 – June, 2026Subaru
Not content with leaving rival Toyota to hoover up all the buyers who fancy an AWD hot hatch bundled with a manual, Subaru looks to be working on its own creation. In early June 2026, at the Fuji 24 Hours motor race in Japan, the marque carried out a press briefing outlining the fruits of its new Sports Vehicle Planning Office, which is in charge of developing future performance vehicles boasting the Subaru badge.
A few new projects were explored, though one in particular garnered interest from the wider automotive world. The marque’s chief technology officer and executive vice president, Tetsuro Fujinuki, revealed that the brand was working on bringing a new affordable hatchback to market before long. It would essentially act as a “base” for Subaru’s engineers to work from, which could be taken as a hint that the return of the performance-focused STI could be on the table.
This new creation being essentially a hatchback version of the current WRX sedan would thus make sense, and it would provide American gearheads with another affordable and fast AWD hatch with a manual gearbox, if true. The current WRX comes with a turbocharged 2.4-liter Boxer engine that pumps out 271 hp, which – while lacking a fair chunk of grunt versus the Golf R and GR Corolla – should provide plenty of pace with which to have fun. Plus, it should be much cheaper.
The entry-level WRX manual starts from $32,495, an MSRP that sits $7,000 below that of the base GR Corolla. Therefore, we could easily see this new Subaru hatch sitting nicely within that window of opportunity, and providing new buyers with an even cheaper way of getting an AWD hot hatch on their driveway. Equipped with the WRX’s sporty suspension setup and Subaru’s excellent symmetrical AWD system, as well as an intuitive manual, this could be a great way of twinning engagement with the assured traction of AWD in a cheap package.
Given its positioning as a base, there’s every chance Subaru’s engineers could build a higher-power version based on its learnings from the Super Taikyu series, where it campaigns a WRX-based hatchback racer. And that one makes 359 hp. Interesting parallels can be drawn, we think.
Subaru Reckons The Appetite For The Manual Remains Strong
2026 Subaru WRXSubaru
Introducing a new manual-equipped model these days is a pretty bold strategy given the direction most brands, including Subaru, have taken. However, it seems the company has been convinced of the remaining love for the manual that still exists around the world, primarily through its interests in its Japanese homeland. Unlike the US, Subaru ditched the manual version of the WRX over there back in 2019, with every subsequent variation coming with a CVT transmission instead.
This all changed in early 2026, when it unveiled a limited-edition version of the WRX called the STI Sport, which came equipped with a six-speed manual for the first time in seven years. Despite only 600 examples being made available, Subaru received a huge 9,000 applications from gearheads wanting one. This convinced the brand of the interest behind manuals, and is likely the reason for the new manual hatch that is due to land in the coming years.
The Marque Is Going Manual Crazy
2026 Subaru BRZ rear 3/4Subaru
Aside from the in-development manual hatch, Subaru is also working to enhance its current manual models on sale in the US. The WRX sedan will be getting a heavier-duty TY85 six-speed transmission from 2027, a unit that was once used in the WRX STI until it was discontinued in 2021. Subaru had stopped making the gearbox, but it is now being brought back to afford the current WRX more durability over the long run. Being beefier, there’s always the chance Subaru could develop a more powerful version of the sedan, giving more credence to the idea of the STI being resurrected at some point.
The final model is an enhanced variant of the BRZ sports car, which will likely be based on the JDM STI Sport Type RA. This version was made lighter than the standard car, while also being lavished with upgrades like rev-matching and no-lift upshifting for the manual transmission. The gearbox will also be graced with a slightly altered interlock block between the fourth and fifth gears to afford crisper shifts. For those who were left crestfallen over the continual death of the manual, Subaru is proving that all hope that it could make a return is far from lost.
The GR Corolla Is A Great Option In The Meantime
2026 Toyota GR Corolla Premium Plus driving front 3/4Toyota
If you can’t wait for Subaru’s new AWD manual weapon to arrive, the only option you’ll have is to drop some cash on a 2026 GR Corolla. For less than $40k, you’ll have a practical Japanese hatch with a turbocharged 1.6-liter inline-three engine that shares 300 hp between all four wheels via a six-speed manual gearbox. Thanks to it tipping the scales at just 3,296 pounds, it’ll race past 60 mph in comfortably under five seconds.
In addition, its lightweight frame ensures that it’s amazing fun to throw around a track or your favorite driving road, too. Its GR-Four AWD setup is fantastic, and allows for fun to be injected into the driving experience due to it being able to send up to 70% of the engine’s grunt to the rear axle, affording it a bit of tail-end action when needed. By the same token, a maximum of 60% of the engine’s might can be fired towards the front wheels, which provides the traction and sure-footedness expected of a traditional AWD performance car.
The steering is also precise, while its finely tuned independent suspension arrangement brings a playful, yet approachable, handling balance to the party. It’s on the stiffer side though, so expect to have to trade in some ride comfort on the road. Plus, thanks to its captivating six-speed transmission, the GR Corolla makes you feel like you’re controlling it, and not that you’re telling a supercomputer where you want it to take you.
Subaru will have some work to do in making its new challenger as entertaining as the GR Corolla, but however it turns out, we’re just happy that some manufacturers are working to ensure the good ‘ol manual doesn’t go the way of the dodo.
Sources: Subaru.
