Autoblog and Yahoo may earn commission from links in this article.The impending resurrection of the Toyota MR2 is one of the worst-kept secrets in the industry, and while Toyota itself has not outright confirmed that the nameplate will be revived, it has strongly hinted at it, and mid-engine prototypes based on the GR Yaris hot hatch have been shown on numerous occasions. Now, Autocar reports that the MR2 will return in 2028, and since this is expected to be marketed as a Gazoo Racing product, just like the GR GT supercar, Toyota badges may be conspicuously absent, building the GR sub-brand into a relatively independent entity, similar to BMW M.Toyota's Mid-Engine Sports Car Will Have Big PowerYou_SuiKoyoAZ/XOver the past couple of years, Toyota has been evolving the 1.6-liter turbocharged four-cylinder G16E-GTS engine found in the GR Yaris and GR Corolla, turning it into a 2.0-liter power plant called the G20E. This is easily capable of 400-450 horsepower in a basic state of tune, with north of 600 hp possible when the wick is turned up. With the M139 engine in the departing Mercedes-AMG A45 S producing only 416 hp, the G20E will be easily capable of stealing the title of most powerful production four-cylinder engine on the planet, but outright power isn't the new sports car's only focus.AdvertisementAdvertisementToyota Gazoo Racing boss Tomoya Takahashi noted that the fantastic weight distribution of the original MR2 was both its Achilles' heel and its Trump card, saying, "What made the car turn so well also let it spin out easily on corners," adding that Toyota hopes the first thing people notice when they first drive the new car, expected to be called GR MR2, "is how well the car turns." To achieve that without the mid-engine sports car being snappy, the new MR2 may adopt an all-wheel drive system. Toyota notes that having the bulk of an AWD sports car's weight concentrated around the middle puts less strain on the front axle, reducing understeer and minimizing tire wear. A hybrid component is also likely to help the sports car meet European emissions limits, and the entire package is likely to be wrapped up in a package that looks very similar to the Toyota FT-SE, a concept that was originally intended to foreshadow a high-performance EV.Autoblog's TakeToyotaAs we noted earlier, Toyota has been working on a mid-engine AWD setup for some time, and while this new report is unsubstantiated, the source is reputable and the timeline makes sense for Toyota, which works efficiently but almost never rushes a product through development. A 2028 release date may seem distant, but it's encouraging to know that Toyota is obsessing over the details to ensure that its new MR2 feels light and fun despite being far safer and more efficient than the original. If all goes well, a new Celica may also be introduced on the same platform, giving buyers some affordable Gazoo Racing options under the same banner as the brand's new motorsport-bred supercar.Joel Stocksdale/AutoblogView the 3 images of this gallery on the original articleThis story was originally published by Autoblog on Aug 25, 2026, where it first appeared in the News section. Add Autoblog as a Preferred Source by clicking here.