The compact Corolla is the least expensive offering in Toyota's extensive lineup. With the subcompact Yaris now gone, the Corolla is the starting point for entry-level buyers moving up from used cars. For the 2022 calendar year, the Corolla was the best-selling compact sedan in the United States, far surpassing sales of competitors such as the Honda Civic, Hyundai Elantra, Kia Forte, Mazda Mazda3, Nissan Sentra, and Volkswagen Jetta.
For the 2023 model year, the Toyota Corolla sedan sports mildly refreshed front and rear styling. Under the skin, however, updates are more extensive. All non-hybrid Corolla sedans upgrade to a more robust and fuel-efficient 2.0-liter 4-cylinder engine this year. At the same time, Corolla hybrid models get increased system power. Also, in 2023, the Corolla Hybrid is available for the first time with all-wheel drive (AWD). Additionally, all Corollas upgrade to a standard 8-inch infotainment screen and Toyota Safety Sense 3.0.
The previous price-leader Corolla L Sedan and its 15-inch steel wheels are gone from the lineup. Also dropped for the 2023 model year is the sporty Apex Edition Sedan, its function as a Corolla performance derivative with upgraded suspension eclipsed by the 300-horsepower, turbocharged GR Corolla hot hatch. Gone as well for 2023 is the SE trim's 6-speed manual gearbox; all Corollas (except for the GR Corolla) now have a continuously variable automatic transmission (CVT).
For 2023, the expanded Corolla lineup includes the following configurations and trim levels:
- Gas-only sedan: LE, SE, and XSE
- Hybrid sedan: LE, SE, SE Infrared, and XLE Hybrid
- Hybrid AWD sedan: LE, SE, and SE Infrared
- Hatchback: SE and XSE
The GR Corolla hatchback is a specialty performance car and is outside the scope of this review. The 2023 Corolla base prices range from $23,005 to $27,175, not including the $1,095 destination charge.
Previously, JD Power reviewed the 2021 Toyota Corolla. This review focuses on the Corolla's updates for 2023 and how they potentially impact its overall appeal to consumers.

Photo: Ron Sessions
The Toyota Corolla competes in the Compact Car market segment. According to data collected from verified new-vehicle buyers for the JD Power 2022 Automotive Performance, Execution and Layout (APEAL) Study, 56 percent of new Toyota Corolla buyers are male (vs. 59 percent for the segment), and the median age of a new Corolla buyer is 48 years (vs. 46).
As part of the APEAL Study, owners rated the Corolla in 10 primary categories. Listed below in descending order, you'll find their preferences, from their most favorite thing about the vehicle to their least favorite:
- Fuel economy
- Exterior styling
- Driving feel
- Feeling of safety
- Powertrain
- Setting up and starting
- Infotainment
- Interior design
- Driving comfort
- Getting in and out
In the 2022 APEAL Study, the Corolla ranks 8th out of 13 Compact Car models.
What Our Independent Expert Says About the Toyota Corolla - Find the best Toyota deals!
In the following sections, our independent expert analyzes a Corolla Hybrid SE AWD sedan equipped with the following options:
- SE Premium package (blind-spot warning, rear cross-traffic warning, power tilt/slide moonroof, heated power outside mirrors with turn-signal repeaters)
- JBL premium audio
- Frameless rearview mirror with HomeLink
- Alloy wheel locks
- Accessory all-weather rubber floor mats for interior and trunk
The test vehicle's price was $30,428, including the $1,095 destination charge.
More Powerful Base Gas Engine and Hybrid System for Corolla Sedans - Find the best Toyota deals!

Photo: Ron Sessions
For 2023, Toyota replaces the prior year's base 139-hp, 1.8-liter 4-cylinder engine for non-hybrid Corolla L, LE, and XLE sedans with a 169-hp, 2.0-liter 4-cylinder on all non-hybrid Corolla sedans. This engine, shared with the Corolla Hatchback, pairs with a CVT that blends a physical first gear with a pulley system that Toyota says provides a crisper launch from rest. With 30 more horsepower and 25 more pound-feet of torque than the prior year's 1.8-liter, Toyota says the new 2.0-liter engine is about two full seconds quicker from zero-to-60 mph than the previous 1.8-liter. The bonus is that, with an EPA-estimated 35 mpg in combined city and highway driving, the larger and more powerful engine is also 2 mpg thriftier.
The 2023 Corolla Hybrid Sedan also gets a bump in power compared to the 2022 model courtesy of efficiency improvements inside the motor/transaxle, which blends the output of the 1.8-liter gas engine and electric motors. As a result, the hybrid system's net horsepower rises from 121 for the 2022 model to 138 for the 2023 model. However, fuel economy dips slightly for the 2023 hybrid model, with the 50-mpg EPA combined city/highway estimate for the XE and XLE front-wheel-drive (FWD) versions coming up 2 mpg short versus the 2022 model. However, according to Toyota, the zero-to-60-mph estimate improves to 9 seconds.
For 2023, the Corolla adds AWD to the lineup. Unfortunately, AWD is only available in the hybrid-powered sedan, not the gas-powered Corolla Sedan or Hatchback. Nevertheless, AWD drive is a big deal for buyers in parts of the country that routinely experience inclement weather. The improved all-weather traction of AWD—not often available in sedans—is one of the significant reasons buyers choose SUVs over cars for everyday transportation.
Like other Toyota hybrids offering AWD, the Corolla uses a rear electric motor to power the rear wheels instead of a conventional driveshaft. The rear motor doesn't add to the total system power but comes into play on-demand when needed to maintain traction. For example, AWD is active when the Corolla launches from a stop to prevent the initial wheelspin of the front tires. After that, the system can direct up to 50 percent of the hybrid's drive torque to the rear wheels as needed. With all four wheels available to find the available traction, AWD also offers more predictable handling by helping to maintain steering response during cornering.
All-wheel drive does, however, bring a minor fuel economy penalty of around 2-3 mpg, depending on vehicle trim and tire size.

Photo: Ron Sessions
For 2023, the Corolla upgrades from Toyota Safety Sense 2.0 to the new 3.0 (TSS 3.0) version. Using higher-resolution system sensors with expanded coverage and updated system software, TSS 3.0 brings several key improvements.
The TSS 3.0 forward-collision warning system brings improved sensing for detecting motorcycles and bicycles. It also adds the ability to detect oncoming vehicles in an adjacent lane when turning and those approaching laterally at intersections. The system provides both audible and visual alerts and can provide automatic emergency braking to mitigate or avoid a collision.
In addition to using painted lines to determine if the Corolla remains in its chosen lane, lane-keeping assistance software expands to include roadside features such as guardrails and curbing to help make that determination before giving the driver audible and visual alerts. If ignored by the driver, the system initiates mild, corrective counter-steering torque unless the driver activates the turn signal.
Also, for 2023, Toyota recalibrates the adaptive cruise control system with more linear speed adjustments when changing lanes. In addition, when the driver sets the adaptive cruise control and lane markings are visible, lane-centering assistance (or Lane Tracing Assist in Toyota parlance) keeps the Corolla centered between the markings. New for 2023, software adjustments reduce the constant minor steering adjustments that are annoying and unnecessary. These updates give the Corolla driver more leeway to move around in the lane as needed to avoid potholes, truck tire treads, and other road obstacles without fighting the centering feature. The lane-centering system also receives updates to enable the Corolla to give more space within its lane when passing an adjacent vehicle.
Also new with TSS 3.0 is an emergency driving stop feature. It monitors driver steering-wheel movements and other measures of attentiveness. The system can bring the vehicle to a gradual halt if the driver is non-responsive.
The traffic-sign recognition feature now includes notifications on yield, stop, do not enter, and other intersection and pedestrian warning signs in the driver's multi-information display.
With inputs from the Corolla's front camera and radar sensor, a new Proactive Driving Assist can provide gentle braking for curves. The system helped take the edge off a particularly twisty section of the road with some surprisingly sharp turns and lightly braked in advance of the curves, slowing the car just a few miles per hour before I was even aware I needed to slow down. Proactive Driving Assist can also help maintain a comfortable and safe distance between a preceding vehicle, bicyclist, or pedestrian.

Photo: Ron Sessions
With greater hybrid system net power, the 2023 Corolla Hybrid Sedan will easily best its 2022 counterpart from zero-to-60 mph in a sprint. But the real story here is how responsive the 2023 hybrid feels around town, at part-throttle, and when tipping into the throttle. Under mild acceleration and pulling away from a traffic light, the electric motors kick in seamlessly, amplifying torque and providing a subtle but satisfying boost.
Toyota's had decades to refine its gas-electric hybrid systems. In the new Corolla, the blending of the two power sources is impressive. There are no pauses, bumps, or jerks. The best way to know the Corolla has switched from gas to electric propulsion is by watching the tachometer needle swing to zero and observing the green EV dash telltale light up during steady-state, low-load cruising, coasting, or brake application.
The sporty SE trim is new for the Corolla Hybrid for 2023. It offers sport suspension, software with a firmer steering feel, larger 225/40R18 Dunlop SP Sport 5000 tires, and 4-wheel disc brakes. So, the SE not only looks way sportier than the base LE, but it also has improved road-holding and steering feel. It's no hot rod, but the improvements for 2023 make it a more enjoyable daily ride.
According to EPA estimates, the stiffer-walled 18-inch SE tires do exact a 3-4 mpg fuel economy penalty compared to the skinnier 205/55R16-shod base LE. However, the tradeoff is worth it, with impressive fuel economy, sportier looks, and more engaging handling. I averaged 44.2 mpg over seven days and 275 miles of mixed residential and interstate highway driving.
The Corolla Hybrid SE offers standard 4-wheel disc brakes with good top-of-pedal response and ease of modulation. In addition, there is no discernable step between brake feel or the deceleration rate between the hydraulic/mechanical foot brakes or the regenerative brakes.
With the lithium-ion hybrid battery tucked away under the rear seat, there is no loss of the Corolla's generous rear-seat passenger space or cargo room. In addition, the 60/40 split rear seatbacks fold down when needed, substantially increasing trunk space for longer items such as ladders, 2x4s from the home-improvement store, or skis.

Photo: Ron Sessions
Toyota covers the compact car waterfront with a wide variety of Corolla models, including sedan and hatchback body styles, gas and gas-electric hybrid powertrains, and FWD and AWD layouts. What they all have in common is exceptional value, good fuel economy, and the brand's latest infotainment and advanced driver-assistive safety technology. Factor in the brand's stellar reputation for quality, reliability, and dependability, and it's no wonder the smallest Toyota 4-door is the best-selling offering in the compact car segment.
Ron Sessions is a seasoned vehicle evaluator with more than three decades of experience. He has penned hundreds of road tests for automotive and consumer websites, enthusiast magazines, newsletters, technical journals, and newspapers.