Sylvie Willis
With rising gas prices and increasing awareness of the environmental impact of fuel consumption, it is no surprise that fuel efficiency is a key consideration for Canadian car buyers. Natural Resources Canada recognises the most fuel-efficient new light-duty vehicles sold in Canada, with the best-in-class vehicles having the lowest combined fuel consumption rating, based on 55% city and 45% highway driving. While hybrid and electric cars are growing in popularity, there is still a market for affordable, fuel-efficient, gasoline-powered cars. So, which are the most fuel-efficient cars in Canada?
| Characteristics | Values |
|---|---|
| Best fuel-efficient car in Canada | 2020 Hyundai Ioniq Hybrid |
| Fuel economy | 4.1L/ 100 km |
| Other options | Toyota Prius, Toyota Corolla Hybrid, Kia Niro |
| Most fuel-efficient non-hybrid in Canada | 2020 Mitsubishi Mirage (CVT) |
| Fuel economy (non-hybrid) | 6.2L/100 km |
| Runners-up (non-hybrid) | Honda Fit, Kia Rio, Toyota Yaris |
| Best electric vehicles in Canada | N/A |
| Fuel economy (electric vehicles) | N/A |
| Best gasoline-powered car | Nissan Versa |
| Fuel economy (gasoline-powered) | 1.6L engine |
| Best affordable new car in Canada | Nissan Versa |
| Best affordable car under $30,000 | Gasoline-powered cars |
| Best fuel-efficient SUV | 2025 Toyota Corolla Cross |
| Fuel economy (SUV) | 7.4L/100 km |
| Best fuel-efficient car without a plug | 2025 Hyundai Elantra Hybrid |
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What You'll Learn
Electric and hybrid cars
Electric Cars
- Fiat 500e: With a price point of under $35,000, the Fiat 500e is now Canada's most affordable all-electric car. It offers a compact hatchback design and is a great option for those who are environmentally conscious but also budget-minded.
- Hyundai Ioniq 5: The Ioniq 5 provides excellent stability, comfort, and safety on the road, along with the latest in Hyundai's tech offerings. It has received praise and awards from critics and is a popular choice for those seeking a stable and comfortable electric car.
- BMW iX: The BMW iX is considered one of the best electric SUVs available in Canada. It offers standard AWD and has a range of 322 hp and 349 km with 20-inch wheels. It can charge quickly, reaching 80% charge in just 31 minutes.
- Kia EV6: The Kia EV6 has been credited with converting many drivers to electric, thanks to its stylish looks, innovative interior, and excellent drivetrain. It offers five different levels of regenerative braking and is available in multiple configurations in Canada.
- Porsche Taycan: While no independent assessment is available, the Porsche Taycan is included on a list of electric cars to consider in Canada.
- Tesla Model X and Model Y: These Tesla SUVs have received positive reviews from owners in Canada, who are generally satisfied with their features, drive dynamics, and the Supercharger network. However, some owners have expressed dissatisfaction with vehicle build quality, maintenance, and insurance costs.
Hybrid Cars
- Toyota Prius: The Toyota Prius is a popular choice for those seeking fuel efficiency. It offers all-wheel drive and excellent fuel economy, with an economy of 4.8 L/100 km, making it a favourite among rideshare drivers. It also has a range of standard features, including adaptive cruise control, lane-keep assist, and wireless Apple CarPlay and Android Auto.
- Hyundai Ioniq Hybrid: The 2020 model of this car was named the most fuel-efficient vehicle in Canada, with a fuel economy as low as 4.1L/ 100 km.
- Honda Insight Hybrid: The Honda Insight offers a similar experience to the Toyota Prius but with a more discrete, sporty aesthetic. It handles and performs like a gas-powered vehicle and is a great option for those seeking an affordable hybrid vehicle, with an MSRP of $28,490.
- Subaru Crosstrek Hybrid: The Subaru Crosstrek Hybrid has the appearance of a gas-powered off-roading SUV, but it's actually a plug-in hybrid with a range of up to 27 km on electric power. It offers all-wheel drive and high ground clearance, making it suitable for rough winter conditions or off-roading.
- Kia Niro: The Kia Niro is a highly competitive option in terms of fuel consumption, delivering up to 4.4 L/100 km of combined fuel consumption. It also has a plug-in hybrid model that gives a 55 km electric driving range.
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Fuel economy
When it comes to choosing a fuel-efficient vehicle in Canada, there are several options to consider. The 2020 Hyundai Ioniq Hybrid has been rated as the most fuel-efficient vehicle in Canada, with a fuel economy of 4.1L/100 km. Other top choices for fuel-efficient cars in Canada include the Toyota Prius, Toyota Corolla Hybrid, and Kia Niro. The 2020 Mitsubishi Mirage (CVT) is the most fuel-efficient non-hybrid car in Canada, with a fuel economy of 6.2L/100 km. Runners-up in this category include the Honda Fit, Kia Rio, and Toyota Yaris.
Diesel vehicles generally offer better fuel economy than their gasoline counterparts. On average, diesel trucks have been found to deliver up to 30% better fuel economy on highway driving. For example, the diesel Duramax offers 305 horsepower and 495 lb-ft of torque, while its gasoline rivals have slightly lower fuel efficiency numbers.
Hybrid vehicles are also a popular choice for those seeking fuel efficiency. The Toyota Prius, for instance, has become synonymous with hybrid technology and fuel economy in Canada. The 2025 Prius offers an impressive 4.8 L/100 km, whether driving in the city or on the highway. The Toyota Corolla Cross, a hybrid SUV, also boasts a fuel economy of 7.4 L/100 km. Another notable hybrid option is the Honda Civic, which offers excellent fuel efficiency, advanced safety features, and a range of convenient amenities.
For those seeking a fuel-efficient gasoline-powered car, the Nissan Versa is a top choice. It is the only car in its class not propelled by a 2.0L engine, instead utilising a 1.6L engine to produce 122 horsepower and keep ownership costs low. The 2025 Toyota Corolla Cross is another dependable, fuel-efficient option in the SUV category, with a starting price of $29,985 for the FWD model and $31,485 for the AWD version.
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Cost of fuel-efficient cars
The cost of a fuel-efficient car in Canada varies depending on the make and model. For instance, the 2025 Toyota Prius, a hybrid vehicle with a sporty look and all-wheel drive, has a starting price of $41,160. The 2025 Honda Civic Hybrid, another popular option, is priced slightly higher than its non-hybrid counterpart due to its advanced features, which include a 2.0-litre engine and a fuel consumption rate of 4.9L/100 km combined. The compact Hyundai Elantra Hybrid, offered exclusively with the Elantra's Luxury trim in 2025, is priced at $33,785.
It is worth noting that the cost of fuel-efficient cars can be influenced by factors such as the type of fuel, engine size, and vehicle size. For example, diesel vehicles often provide better fuel economy than gasoline-powered cars, and smaller engines tend to be more fuel-efficient. Additionally, the overall size of the vehicle can impact fuel efficiency, with smaller cars generally being more fuel-efficient than larger SUVs or trucks.
When considering the cost of a fuel-efficient car, it is important to factor in the potential savings on fuel expenses. According to the 2021 Fuel Consumption Guide, Canadians' average annual fuel cost is $1,962 for 20,000 kilometres, with an 11.8% annual increase in gasoline prices. By choosing a fuel-efficient vehicle, such as the 2020 Hyundai Ioniq Hybrid (4.1L/100 km) or the 2020 Mitsubishi Mirage (6.2L/100 km), individuals can significantly reduce their fuel costs.
While the upfront cost of a fuel-efficient car may be higher than that of a traditional gasoline-powered vehicle, the long-term savings on fuel can make it a more economical choice. Additionally, it is worth noting that the insurance costs for fuel-efficient cars are generally not impacted by their fuel efficiency but rather by factors such as driving habits and vehicle safety features. Therefore, when considering the cost of a fuel-efficient car in Canada, individuals should weigh the initial purchase price against the potential savings on fuel expenses over the vehicle's lifetime.
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Top fuel-efficient cars in Canada
With rising gas prices, fuel efficiency is an important consideration when buying a new car. Here are some of the top fuel-efficient cars in Canada:
Hybrid Vehicles
The 2020 Hyundai Ioniq Hybrid was titled the most fuel-efficient vehicle in Canada, with a fuel economy of 4.1L/100 km. Other excellent options include the Toyota Prius, which is a popular choice for rideshare drivers, the Toyota Corolla Hybrid, and the Kia Niro. The 2025 Hyundai Elantra Hybrid is another great option, with a combined output of 139 hp and 195 lb-ft of torque.
Non-Hybrid Vehicles
If you're looking for a non-hybrid vehicle, the 2020 Mitsubishi Mirage (CVT) is the most fuel-efficient option in Canada, with 6.2L/100 km. Other good choices include the Honda Fit, Kia Rio, and Toyota Yaris. The Nissan Versa is also worth considering, as it is one of the most affordable new cars in Canada, with a 1.6L engine and excellent fuel economy.
Electric Vehicles
While this list focuses on fuel-efficient cars with internal combustion engines, it's worth noting that electric vehicles are becoming increasingly popular. If you're interested in an electric car, Canada has several options, including the Toyota C-HR, a subcompact crossover with a fuel economy of 8.2 L/100 km.
Other Factors to Consider
It's important to remember that driving habits and vehicle maintenance also impact fuel efficiency. Additionally, while hybrid and electric vehicles offer excellent fuel economy, they may come with a higher price tag.
By choosing one of these fuel-efficient vehicles, Canadians can save money on gasoline and contribute to a more eco-friendly future.
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Fuel efficiency ratings
Fuel efficiency is an important consideration for many car buyers, especially with the rising cost of gas. The fuel efficiency of a car is typically measured in litres per 100km (litres/100km), also referred to as 'fuel economy'. The lower the number of litres, the better the fuel economy. Natural Resources Canada (NRCan) recognises the most fuel-efficient new light-duty vehicles sold in Canada and uses a "combined" rating that reflects 55% city driving and 45% highway driving.
According to NRCan, the most fuel-efficient vehicles tend to be diesel or electric trucks. The diesel Duramax, for example, delivers 305 horsepower and 495 lb-ft of torque, with a fuel economy of 9.6 L/100 km for two-wheel-drive models. The Honda Odyssey is another example of a fuel-efficient vehicle, with a 3.5L V6 engine that makes 280 horsepower and 262 lb-ft of torque, and a fuel economy of 6.6 L/100 km.
For those seeking a gasoline-powered car, the Nissan Versa is an affordable option with a 1.6L engine and a fuel economy of 7.4 L/100 km. The Toyota Corolla Cross is another fuel-efficient SUV, with a 2.0L engine and a fuel economy of 7.4 L/100 km. The Mitsubishi Mirage is also a great choice for those looking for a compact car with a tiny footprint, affordable price, and excellent fuel economy of 6.2L/100 km.
Hybrid vehicles are becoming increasingly popular in Canada, with the Toyota Prius being a well-known option, offering all-wheel drive and a fuel economy of 4.8 L/100 km. The Hyundai Ioniq Hybrid is another excellent choice, with a fuel economy as low as 4.1L/ 100 km, making it the most fuel-efficient vehicle in Canada in 2020. The 2025 Hyundai Elantra Hybrid is also worth considering, with a 1.6-litre four-cylinder engine and a combined output of 139 hp and 195 lb-ft of torque.
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Frequently asked questions
The 2020 Hyundai Ioniq Hybrid has been titled the most fuel-efficient vehicle in Canada, with a fuel economy of 4.1L/100 km.
Other fuel-efficient hybrid options include the Toyota Prius, Toyota Corolla Hybrid, and Kia Niro. The 2025 Hyundai Elantra Hybrid is also a good choice, with a combined output of 139 hp and 195 lb-ft of torque.
The 2020 Mitsubishi Mirage (CVT) is the most fuel-efficient non-hybrid car in Canada, with a fuel economy of 6.2L/100 km. Other non-hybrid options include the Honda Fit, Kia Rio, and Toyota Yaris.
The 2025 Toyota Corolla Cross is a fuel-efficient SUV, with a fuel economy of 7.4L/100 km. The Nissan Kicks and Volkswagen Taos are also fuel-efficient options in this category.
To improve fuel efficiency, consider a car with a smaller engine and more gears. Driving habits also impact fuel efficiency, so driving at a consistent speed and avoiding rapid acceleration or deceleration can help improve fuel economy.
