Here in Canada, all-wheel drive (AWD) is a big deal. There are a great many roads and conditions in this country where having traction to all four wheels can be a significant benefit. And we’re not just talking about snow here, though that’s top of mind for many of us. It’s also surprising how often you can find yourself turning onto a dirt or gravel road when you drive outside of major centres.
Because of these factors, SUVs have become the default selection for many Canadians, in part because most of them offer AWD. (If you’re one of those Canadians, check out our guide to the best SUVs with four-wheel drive (4WD) here, where you’ll find listings for popular models like the Honda CR-V, Hyundai Kona, Toyota RAV4, and others.) But what you may not know is that you don’t need to buy an SUV to get power to both axles. There are sedans and hatchbacks with AWD available in Canada, and while they may not have a high seating position or ground clearance, they offer better efficiency, affordability, and on-road performance in exchange.
Below, you’ll find a list of the best all-wheel drive cars available in Canada for 2025. This doesn’t cover every single AWD car on the market. Some automakers offer standard AWD on most of their new car line-ups, particularly luxury brands. Instead, we’ve hand-selected our favourites, along with suggestions for alternatives where appropriate.
Pricing includes the manufacturer’s suggested retail price (MSRP) plus destination charges and dealer fees unless indicated. While they were accurate at time of publication, prices are subject to change. We haven’t included minivans in this list, but they can be strong SUV alternatives as well. Consider the Chrysler Pacifica and Toyota Sienna, both of which have AWD variants.
One more quick note: while AWD is important for gaining traction in winter conditions, it doesn’t replace the need for winter tires. In conditions below 7 degrees Celsius, the rubber in all-season tires becomes stiff and loses its grip on asphalt. As the saying goes, AWD helps you get going, but winter tires help you stop. That’s just as important, so please don’t skip winter tires no matter where you live in Canada.
Best Cars with AWD in Canada
- Acura TLX
- BMW 5 Series
- Genesis G90
- Lexus IS
- Mazda3
- Mercedes-Benz E 450
- Nissan Altima
- Porsche 911
- Subaru Impreza
- Toyota Corolla Hybrid
- Volvo V90 Cross Country
- Honourable mentions
Acura TLX
While mainstream automakers tend to offer front-wheel drive (FWD) or even rear-wheel drive (RWD) as the default in cars, luxury cars sold in Canada almost universally have AWD as standard equipment. Acura’s Super Handling All-wheel Drive system (SH-AWD) is unique to the brand, even under the Honda umbrella. It’s similar to the i-VTM4 AWD system found in the Honda Pilot and Ridgeline, but for Acura it’s tuned for cornering performance instead of off-road capability. If you’re seeking a car with SH-AWD, you’ll need to look to the mid-size TLX, where the feature is standard along with a 2.0-litre turbocharged four-cylinder engine that creates 272 horsepower and 280 pound-feet of torque. The 2025 Acura TLX with standard all-wheel drive starts at $57,717 in Canada.
BMW 5 Series
BMW sells just about everything in its line-up with standard xDrive AWD in Canada. For 2024, a new 5 Series launched in both gas-powered and electric formats at the same time, both with xDrive AWD as standard. If you’re ready to go electric, opt for the 2025 BMW i5 M60. Power output is rated at 590 hp and 547 pound-feet of torque from the pair of electric motors, or up to 605 lb-ft when the M Sport Boost or M Launch Control functions are activated. The 2025 BMW i5 starts in Canada at a price of $98,957. If you still prefer to use gasoline, the 2025 BMW 530i uses a 2.0-litre turbo four-cylinder engine creating 255 hp and 295 lb-ft of torque, increases of 7 hp and 38 lb-ft over the previous-generation model. For the 2025 BMW 530i, pricing in Canada starts at $74,457.
Genesis G90
Hyundai Auto Group’s luxury division is celebrating its 10th anniversary in 2025. It’s turned heads since its launch in Canada with its innovative sales model that includes all-in no-haggle pricing, home-based test drives and purchasing, five years of scheduled maintenance with valet service, and more. All Genesis sedans come with standard AWD in Canada, including the flagship G90. Redesigned for the 2023 model year, it comes with a 3.5-litre turbocharged and supercharged V6 engine making 409 horsepower and 405 pound-feet of torque, figures that hustle this limo-worthy large sedan around with elegance. Expect the latest driver assist safety features plus a slick infotainment complete with Apple CarPlay and Android Auto. The 2025 Genesis G90 starts in Canada at an all-in price of $117,000.
Lexus IS
The Lexus NX and RX crossovers are very popular options in Canada, not the least of the reasons being that both are built in Canada at Toyota Motor Manufacturing Canada in Cambridge, Ontario. But if it’s a Lexus AWD sedan you’re after, check out the Lexus IS 350 AWD. This small car is technically a compact, but it’s the closest thing to a subcompact you’ll find on this list. It makes 311 horsepower and 280 pound-feet of torque with its 3.5-litre V6, and while that’s not the most powerful figure you can get in a compact luxury sedan, it does come with that Lexus reputation for reliability. The 2025 Lexus IS 350 has a Canadian starting price of $61,738.
Mazda3
When Mazda launched AWD in its Mazda3 sedan and Mazda3 Sport hatchback a few years ago, it was a big deal. Even now, there are relatively few mainstream-leaning compact cars that can drive all four wheels. Two engines are available with AWD in both body styles, but we’d opt for the hatch and the 2.5-litre turbo four, which cranks out 250 horsepower and 320 pound-feet of torque if you fill it with 93-octane fuel (or 227 hp and 310 lb-ft if you opt for 87-octane). This does require opting for the automatic transmission, but it’s a trade we feel is worthwhile. For this AWD configuration of the 2025 Mazda3 Sport, you’ll pay $40,887 in Canada.
Mercedes-Benz E 450
Like other luxury brands, Mercedes-Benz makes its 4Matic AWD standard on just about everything it sells in Canada. Sadly, Mercedes-Benz has discontinued the E-Class wagon, but the sedan version is also well worth considering. The Mercedes-Benz E 450 produces 375 horsepower and 369 pound-feet from its 3.0-litre turbocharged inline-six, and it also includes cutting-edge Mercedes MBUX touchscreen infotainment system and 540 litres of cargo space. The 2025 Mercedes-Benz E 450 sells in Canada starting from $84,900. Note this price is before fees, which the automaker allows its dealers to set individually in Canada.
Nissan Altima
In a midsize sedan market where it can be hard to stand out, Nissan Canada has found a way. The Nissan Altima has been offered with standard AWD in our market since the 2019 model year, meaning you can get into a roomy sedan that drives all four wheels for just under $35,000. The Altima comes with a single engine offering to go with its dual-axle power, a 2.5-litre four-cylinder engine that makes 182 horsepower and 178 pound-feet of torque. Sadly, since Nissan’s innovative variable-compression VC-Turbo engine isn’t sold with AWD in the United States, it’s not offered at all in our market. The 2025 Nissan Altima with standard AWD is sold in Canada starting from $34,585. Rumour has it this sedan is nearing the end of its life and is slated to be discontinued by the 2026 model year.
Porsche 911
The 911 is a classic sports car that needs no introduction, but did you know that it’s not only possible but entirely reasonable to daily drive one in Canada year-round? A 911 handles the elements exceedingly well when equipped with AWD. Currently, the most affordable 911 with AWD is the Carrera 4 GTS, which delivers 478 hp and 420 lb-ft from its 3.6-litre flat-six. In Canada, the 2025 Porsche 911 Carrera 4 GTS has a starting price of $217,042.
Subaru Impreza
Subaru is well known in Canada for its broad offering of all-wheel drive vehicles. Apart from the BRZ sport coupe, everything Subaru sells comes with standard symmetrical AWD. This means the Subaru Impreza, which was redesigned in 2024, holds the distinction of being the most affordable AWD car in Canada at a starting price of $29,270 including destination charges and fees. (2025 pricing has not been announced as of this writing.) Its 2.0-litre four-cylinder engine with Subaru’s distinctive horizontally opposed cylinder configuration produces 152 horsepower and 145 pound-feet of torque. Note that as of last year’s redesign, the Impreza and the related Subaru Crosstrek are no longer sold with a manual transmission as part of the powertrain, meaning buyers will default to the continuously variable transmission (CVT). Presently, the Impreza is sold only as a hatchback in Canada. If you’d prefer a sedan, the sporty Subaru WRX is an alternate option. We also enjoy the Subaru Outback, though whether that’s a lifted wagon (and therefore a car) or a low-slung crossover could be considered up for debate.
Toyota Corolla Hybrid
Once upon a time, compact cars were a big deal in the Canadian automotive market. But then SUVs became a hot commodity, and today cars account for just 15 percent, give or take, of all vehicles sold in Canada. If you don’t want to give up an AWD vehicle but long for simpler days, check out the Toyota Corolla Hybrid. Toyota offers AWD on most trims of the Corolla Hybrid for 2025. Plus, with a 1.8-litre four-cylinder engine and electric motor producing a combined 134 horsepower and a combined fuel consumption rating of no more than 5.3 litres per 100 kilometres, this combination of dual-axle drive and fuel economy is impressively practical and fuel-efficient. The 2025 Toyota Corolla Hybrid AWD starts in Canada at a price of $29,885.
Volvo V90 Cross Country
Before we sign up, we need to give wagons some love. The Volvo V90 wagon is an absolute stunner, and we thought we’d lost it when Volvo discontinued it in Canada after the 2019 model year. But in a surprise twist, we got it back in 2022 when the V90 Cross Country made it to our shores. This is an ideal SUV alternative loaded with practicality with its 20.4-centimetre ground clearance, 714 litres of cargo space or 1,517 litres if you fold the rear seats, and a 2.0-litre turbocharged and supercharged four-cylinder engine producing 295 horsepower and 310 lb-ft of torque. And, of course, like most Volvos sold in Canada, AWD is standard. The 2025 Volvo V90 Cross Country carries a starting price in Canada of $73,989.
Honourable mentions
We’ve previously featured the Audi S5 on this list. It’s entering a new generation for 2025, and pricing and Canadian testing are not available as of this writing. We’ll reassess it once we have more information.
The Dodge Charger is currently in transition from gas-guzzling muscle car to a more efficient and partially electrified platform. AWD will be standard, and pricing for Canada is currently listed at $57,790. Deliveries are expected to begin sometime in the first half of 2025.
Note: Images may show US models.
