Toyota's all-out attempt to capture America's Generation Y buyers of hot-looking, hot-performing small cars started last year with the simultaneous introductions of the Scion xA 5-door hatchback runabout and the xB microvan, but they are calling the new tC hatchback coupe the first true Scion. The tC is built on the same chassis as the Toyota Avensis, which is sold only in Europe, and uses the 2.4-liter inline four-cylinder engine used throughout the American Toyota lineup, but that doesn't mean this is just another Toyota. This little rocket was developed in only 13 months with a single purpose in mind.

The Scion tC means to make mincemeat of the Honda Civic that is so popular with Gen Y drivers by offering a single, very well equipped model at a nearly unbeatable low price and a menu of options that will allow owners to build cars unique to their tastes. The engine is quiet, smooth, and plenty powerful. The steering, ride quality, and handling are commendable. Braking is powerful, with ABS and electronic brake force distribution standard. This car is surprisingly quiet, the interior materials are first-rate, and attention to detail is evident. The bucket seats are comfortable and there's enough room to suit tall drivers. A 160-watt stereo is standard, and a full array of airbags is available.

This is perhaps the best small Japanese coupe we have ever driven, at a price that is ridiculously low.

The Scion tC hatchback coupe ($15,950) comes only one way, with no model name attached. (They apparently couldn't call it xC because Volvo already uses XC90 for its sport utility). It comes with all the major comfort and convenience items built in, including air conditioning, power steering, brakes, locks and mirrors, a tilt wheel, a 160-watt Pioneer 6-CD changer AM/FM setup, sport bucket seats with cloth seating and position memory, two-tiered console, reclining front and rear seats, keyless entry, engine immobilizer, cargo cover, and a dozen other items.
There are only two factory-installed options, the automatic transmission at $845 and the side and roof air bag system for $650. To make the car more palatable to more people, Scion has chosen a menu of 40 different freestanding options, more than any other car in its class, ranging from a $4500 supercharger kit good for 200 horsepower to a selection of different chrome and leather shift knobs. Special Toyota Racing Development (TRD) high-performance items for the Scion tC include 18- and 19-inch wheels, a lowering kit, struts and shock absorbers, rear anti-roll bar, a high-performance clutch, a quick shifter, a stainless steel muffler, and a shift-point indicator light kit. Toyota's high-performance arm is already working on a 300-horsepower package of parts for the lunatic fringe.

The look of the Scion tC is one of purposeful performance. It's not blatant, and it doesn't come with spoilers, rocker moldings or wings, but all the ingredients are there. The somewhat bland overall look is meant to be "a blank canvas" for young hot-rodders and customizers. The standard panorama glass roof is an unexpected bonus in this price class, fitted without gaskets for a tight, no-creaks fit. It filters 97 percent of UV rays and 100 percent of infrared, to avoid damage to occupants.

The doors are quite long for such a small car, and the door handles of the reach-around-and-pull variety that we like. The long rear side window suggests a two-door sedan more than a hatchback coupe, and makes the design flow from front to rear gracefully. Wheel arches are exaggerated, suggesting that larger tires and wheels will be fitted as soon as the car is bought (or the buyer can opt for the 18- or 19-inch factory wheels and tires).

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The body panel fits are typically Toyota, tight and straight, and quality leaks from every pore. The tC is the first purpose-built Scion, the other two having been developed from concept vehicles, and although it is inexpensive, it is anything but cheap.

Inside the Scion tC, there are lots more positive surprises. Materials are first-rate, there aren't a whole lot of different grains and textures, and the swoopy brushed-metal center stack housing vents, sound system, and climate control system, is a marvel of modern design. Everything fits together beautifully, works intuitively, and looks great.

The front bucket seats look and feel like they were designed for racing, but that doesn't mean to say they're too narrow or too hard. Very comfortable, with enough fore/aft adjustment to suit very tall American drivers regardless of age. The driver's and shotgun seats can be reclined all the way down into what Scion calls a "sleep" position, and the rear seats recline through 10 stops and 45 degrees of recline to convert the interior into a conversation bin. With seats up, there's more than 26 inches of cargo length there; with the second seats dropped, almost 60 inches; and with the front passenger seat folded over, almost 104 inches of cargo length available.