All 2007 Nissan Versas arrive with a new 1.8-liter inline four-cylinder engine delivering 122 horsepower at 5,200 rpm and 127 lb.-ft. of torque at 4,800 rpm. These are solid numbers in the subcompact class, as most econoboxes are just pennies over the horsepower and torque century marks. Honda’s Fit rates at 109 hp./105 lb.-ft.; Kia’s Rio5 delivers 110/107; and Toyota’s Yaris yields 106/103, though to be fair, those competitors displace less than 1.6 liters. The Ford Focus ZX5 unleashes 136 horses and 133 lb.-ft. of torque from its standard 2.0-liter inline four-cylinder, which is also PZEV rated. The only way to burn cleaner than PZEV is to go purely electric.

The Versa shines in the transmission department, offering a standard six-speed manual, a late arriving conventional four-speed automatic, and a new continuously variable transmission (CVT). The CVT eliminates gear steps in favor of an infinitely variable gear ratio, thus keeping the engine revving at the most appropriate speed at all times. Nissan says that Versas equipped with the CVT should achieve 30 mpg in the city and 36 mpg on the highway. Compare that to ratings for the six-speed manual at 30 mpg city and 34 mpg highway, and 28 city/35 highway for the four-speed automatic. Our real-world fuel economy in a Versa SL equipped with the standard six-speed manual transmission was 24 mpg under a heavy throttle foot, so consider that number a worst-case scenario.

Front-wheel-drive is the only available driveline configuration. Other Versa highlights include an independent MacPherson strut front suspension, a torsion beam rear suspension, front and rear stabilizer bars, electric power steering, front disc and rear drum brakes, standard 15-inch steel wheels with 185/65 tires, and optional six-spoke alloy wheels.