The race to the bottom—in the best possible way—is officially on. For years, Australian EV enthusiasts have been asking the same question: “When will we get a genuinely affordable electric car that doesn’t feel like a compromise?”
While the imminent arrival of the BYD Atto 1 (known globally as the Seagull) is about to answer that question in late 2025, a new challenger has just entered the chat. MG Motor, the brand that democratized electric driving in Australia with the ZS EV and MG4, has officially confirmed the development of the MG 2 EV.
This pint-sized electric hatch is being designed specifically to target the sub-£20,000 (approx. A$38,000) price bracket in Europe, aiming squarely at the BYD Atto 1 and the Renault 5. For Australian drivers, this signals the beginning of a new era: the battle of the baby EVs.
At EV Evolution, Australia’s premier digital platform for EV enthusiasts, we’ve dug into the confirmed details, the rumours, and the specs to bring you everything you need to know about this future pocket rocket.
🇬🇧 Confirmed: The “Baby MG4” is Real
The confirmation comes directly from MG Motor UK’s product planning boss, David Allison, who recently revealed to automotive media that the MG 2 is “the obvious area of the market that’s next to happen” and that MG “will absolutely be in there.”
While MG Australia has yet to issue a specific local release date, the project’s UK-led development is a massive green light for our market. Why? Because the UK is a Right-Hand Drive (RHD) market just like Australia. Historically, any MG model developed for the UK (like the MG4 and ZS EV) has landed in Australian showrooms shortly after.
The Timeline:
While the BYD Atto 1 is landing in Australia in December 2025, the MG 2 is playing the long game. Current reports point to a launch window of 2027. This means the Atto 1 will have a significant head start, but the MG 2 is shaping up to be a more premium, driver-focused alternative worth waiting for.
🥊 The Matchup: MG 2 vs. BYD Atto 1
This is the rivalry that will define the entry-level market for the next five years.
The Incumbent: BYD Atto 1
- Status: Arriving late 2025.
- Price: Est. $23,990 – $27,990 (+ ORCs).
- Specs: 30kWh or 43.2kWh battery options, delivering 220km to 310km of WLTP range.
- Vibe: It’s a city car first. Front-wheel drive, tall “micro-MPV” styling, and a focus on maximizing interior space in a tiny footprint.
The Challenger: MG 2 EV
- Status: Confirmed for production, due ~2027.
- Price: Targeting sub-€20,000 (~A$33,000 – $38,000). Likely to sit above the Atto 1 but below the MG4.
- Specs (Est): Expected to use a 44kWh battery with a range pushing 320km+ (WLTP).
- Vibe: This is the key differentiator. The MG 2 is expected to ride on the same Modular Scalable Platform (MSP) as the acclaimed MG4. This implies it will be Rear-Wheel Drive (RWD), offering superior handling and a sportier “hot hatch” feel compared to the Atto 1’s sensible city manners.
🧬 Design & Tech: European Flair
One of the most interesting details to emerge is that the MG 2 is being designed in MG’s London design studio. The goal is to avoid the “boxy” micro-car aesthetic common in Asian markets (like the Suzuki Ignis or Kia Picanto) and instead deliver a stylish, “European-centric” supermini.
Think of it as a shrunken MG4: sharp lines, aggressive aero, and a planted stance.
Platform Power:
By using the MSP architecture, the MG 2 gains big-car tech.
- Charging: Likely to support faster DC charging speeds than the Atto 1’s 85kW peak.
- Space: The dedicated EV platform with a flat floor and long wheelbase (relative to its length) should offer surprisingly generous cabin space, potentially matching the Atto 1 despite a sportier roofline.
- XPower Potential? With a RWD platform, the door is open for a dual-motor “XPower” variant down the line—a terrifyingly fun prospect in a car this small.
💰 The Price Reality
Will it beat the BYD Atto 1 on price? Probably not.
MG executives have hinted that they aren’t interested in a “race to the bottom” on price alone. instead, they are targeting value.
If the BYD Atto 1 is the $25k budget king, the MG 2 is shaping up to be the $35k “premium” alternative. It targets the buyer who wants an affordable EV but demands better driving dynamics, a higher-quality interior, and a more substantial road feel than a city runabout can provide.
🇦🇺 Why This Matters for Aussie Enthusiasts
For years, the “affordable EV” meant a used Nissan LEAF with degraded range. The arrival of the BYD Atto 1 in 2025 and the MG 2 in 2027 signals the maturity of our market. We are finally getting choice at the entry level.
Do you want the absolute cheapest, most practical city car? BYD Atto 1.
Do you want a rear-wheel-drive, fun-to-drive hatch that doesn’t break the bank? Wait for the MG 2.
Competition breeds innovation, and with MG and BYD locking horns in the sub-$40k segment, the real winner is the Australian driver.
🤖 Join the EV Evolution
The entry-level EV market is moving fast. With the BYD Atto 1 launching soon, the Leapmotor A10 on the horizon, and now the MG 2 confirmed, keeping track of specs and release dates is a full-time job.
Don’t navigate the market alone.
At EV Evolution, we encourage you to try chatting with the EV Evolution AI chatbot. It is trained on the latest global announcements and local Australian launch details.
- “How does the estimated range of the MG 2 compare to the BYD Atto 1?”
- “When can I order a BYD Atto 1 in Australia?”
- “What is the cheapest EV available in Australia right now?”
Our AI is ready to assist you 24/7, turning rumours into reliable advice for your electric journey.
About EV Evolution
EV Evolution is the leading online platform dedicated to Australian electric vehicle owners and enthusiasts. We foster a vibrant community, delivering essential EV news and insights, and enhancing user engagement through our innovative, AI-powered chatbot for dynamic discussions. Our mission is to empower Australian electric vehicle owners and enthusiasts by fostering a vibrant, AI-driven online community that connects, informs, and advances the nation’s electric vehicle landscape.
