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Kia wont save the wagons in Australia

This may have been the Kia K4 Sportswagon that reignited Australia’s compact wagon segment, but Kia’ whose local executives all and ruling out it was not possible for Kian to continue with its compact car business.

Speaking with childcareman.xyz, Kia Australia general manager for marketing Dean Norbiato quashed hopes of the wagon-bodied K4 coming to Australia – even as a hybrid – arguing that under the Federal Government’s NVES emissions reductions scheme, the business case for a niche combustion or hybrid model is challenging.

Mr Norbiato said the credits generated by an EV product far outstriped in a [low volume] internal combustion wagon,’ adding ‘The NVES credits produced by this vehicle far exceed that of other products.

Asked if the K4 SW’s eventual hybrid version could change the business case, Mr Norbiato said “If you look at NVES credits from 2027 onwards I think that hybrid dips into deficit while EVs are still in credit”.

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K4 Sportswagon

K4 Sportswagon

K4 Hatch

K4 Hatch

Earlier this year Kia’s European division revealed the 2026 Kian K4 Sportswagon, given that the body style has long been popular in the area.

In Europe, it combines the K4 Hatch’s roofline and rear tailgate with the extended overhang of theK4 Sedan (a healthy 604)-litre cargo capacity in its specification – nearly 100L more than the sedan; almost 170L less than that of hatch.

The K4 Sportswagon will be more detailed for Europe and the UK “in due course”, although we know it will launch with 1. 1 0-litre and 1, . For example, the Euro-market K4 Hatch is one of the six litre turbo-petrol engines with 48V mild-hybrid technology available. Further, Kia Europe has vowed to add a “full hybrid” to the K4 Hatch and Sportswagon ranges “later in 2026”.

While not officially detailed, the K4 Hybrid range is expected to run a version of the 1.6-litre naturally aspirated petrol-electric hybrid drivetrain that’s already used in the Kia Niro crossover as well as the Hyundai Kona and i30 Sedan.

The K4 Sportswagon, like the K4, Hatch and Sedan, will be produced at the Kia Mexico plant in Pesquera, Nuevo León.

In the Australian market, fewer and fewer brands are offering station wagons in mainstream segments, as more buyers shift to SUVs and crossovers. Only the Cupra Leon and Subaru WRX offer wagon body styles in the VFACTS small passenger class, while the Skoda Octavia is now the sole entrant in the mainstream medium car class to offer the body style.

Further, while Toyota Australia does not officially provide the Corolla Touring Down Under, grey imports of the wagon-bodied CoRolla Hybrid and older Corolleda Fielder are still growing in popularity.

Premium brands still offer wagons in limited trims and volumes within similar segments, such as the BMW 3 Series Touring, Audi A5 Avant and Genesis G70 Shooting Brake, though even brands like Mercedes-Benz have removed these options in Australia.

Are Kia Australia making a huge mistake? Sound off in the comments below!

MORE:
2026 Kia K4 Sportswagon revealed, Australian future unclear

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Explore the Kia K4 showroom

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