Earlier this year one of our editors had the opportunity to take a scenic drive from Seattle to Orange County, California, a distance of roughly 1,400 miles. The catch was that the ride would be courtesy of a 2006 Kia Rio5, one of the smallest and least expensive cars sold in the U.S. Surprisingly, he arrived back at his desk Monday morning with mostly praise for the little Korean import, which gets our nod as the Most Improved New Car for 2006.

Previous Rio models, known as the Rio sedan and the Cinco wagon, were far from ideal in the areas of handling and design. They were cheap rather than inexpensive, and utterly devoid of value. Kia engineers recognized that the only direction to go was up. Obviously, the folks at Kia aren’t fond of baby steps, for the 2006 Rio is leagues above the model it replaces, featuring a 110-horsepower engine that offers up to 38 mpg on the highway, a new design that is extremely stylish in the realm of bland econocars, a comfortable and versatile interior, and six standard airbags. Mid-level LX sedans get standard air conditioning, a split rear seat, a CD player, and tilt steering, while the SX five-door adds alloy wheels, a leather-wrapped steering wheel, and fog lights. Base prices range from about $11,000 to $14,000 and include Kia’s famous 10-year/100,000-mile warranty.

As improved as the look and feel may be, the 2006 Kia Rio makes the biggest impression when driven. The powertrain, consisting of a 1.6-liter four-cylinder engine and a five-speed manual transmission, provides enough power for darting around town and cruising at comfortable highway speeds; aggressive passing is even possible with some downshifting. The steering has a nice heft to it, the brakes are well modulated, and that shifter is an unexpected delight, at least for this category. There’s some squat and dive and a bit of body roll, but it’s all a trade-off for the comfortable ride.

Kia has done a commendable job with the 2006 Rio, making it not only better than its previous self but also much of the current competition. – Thom Blackett