The Kia Rio compact sedan is truly a budget personal car, low on features, but high on fuel economy, safety, reliability, and affordability. Some equate low price with low quality, but the redesigned all-new 2006 Kia Rio boasts a better engine, chassis refinements, and improved fuel economy to broaden its appeal. The superior Kia warranty doesn't hurt either.

The 2006 Kia Rio comes in either base or LX sedan or a Rio5 hatchback, which has a slightly shorter wheelbase, but a sportier appearance and more than twice the cargo room with the seats folded down (49.6 cubic feet vs. 24 in the sedan). All have a new 1.6-liter I4 that gets 110-hp, up from 104 last year. A 5-speed manual is standard, but the LX has the option of a 4-speed automatic. The base is nearly feature-free: no air conditioning, no radio, no power features. It does have intermittent wipers and a tachometer, and a steering wheel, however. The LX adds air, a CD player, and 60/40 split-fold seats. ABS brakes are optional. A Power Package adds power features and heated mirrors, and a Sports Package adds Rio5 features, such as 15-inch alloy wheels, a rear spoiler, metallic interior trim, a leather steering wheel, and foglights.

Also new in 2006 are more airbags. All models of the 2006 Rio now come with 6 airbags, include dual front and side and side curtain. The improved Rio is also longer and wider, with a 98-inch wheelbase, meaning more legroom for passengers. In fact, the Rio leads its segment for interior room. This is appealing to owners, who also like the great 32/35 mpg, quiet insulated ride, and sportier handling. Price tag and overall economy are the biggest selling points. Criticisms focus on the lack of features, especially cruise control and a radio in the base model. The seatbelt warning can be annoying.