If you think the car in these pictures looks strangely familiar, you'd be right. The Chevrolet Aveo is the replacement for the Kalos supermini launched in 2005.

It is easiest to tell the Chevrolet Aveo from its predecessor at the front, thanks to its bold new face, which is among the first to be inspired by the Chevrolet WTCC Concept seen at motorshows over the last few years.

The nose certainly gives the Aveo presence, although the looks could have been improved by shifting the famous golden 'bow tie' badge onto the black grille mesh and moving the numberplate to the horizontal bar.

Updating the Giugiaro-designed lines of the Kalos, the Aveo sees less emphasis placed on the pumped-up rear wheelarches and a pair of silver vents inserted in the base of the windscreen pillars.

The rear has been jazzed up with a new set of rear lights and a black strip along the bumper.

The overall look is smart, but lacks the Euro-chic image other superminis ooze.

Tactile interior

Chevrolet has done a better job inside, where a pair of swooping silver lines draw the occupants' eyes to the centre console. There's not much clutter, and all the instrumentation is well laid out and very easy to see.

It might not be the last word in style, but the quality of both the materials used and the workmanship is a vast improvement over the Kalos. Plenty of tactile materials which are soft to the touch are a welcome addition too.

There is a good amount of space up front while head and legroom for rear passengers is impressive for such a small car. That's because the Chevy Aveo has one of the longest wheelbases in its class, while still retaining modest external dimensions.

In the back, the boot measures a decent, but not class leading 220-litres, which can grow to a useful 980 litres when the rear seats are dropped.

Improved consumption and emissions

Chevrolet boasts the two engines on offer improve fuel consumption by up to 17 per cent and reduce CO2 emissions by up to 15 per cent over the Kalos.

The 83bhp 1.2-litre petrol engine can deliver a 12.8 second 0-62mph time with a top speed of 106mph. Its CO2 emissions of 132g/km place it into tax band C, which currently costs £120, while it can average 51.4mpg.

We tested the 98bhp 1.4-litre model with a manual gearbox – an automatic is also available – and found its performance more than adequate for the kind of round-town driving it'll spend most of its time covering.

Headline figures for the 1.4 manual are 0-62mph 11.9 seconds and a top speed of 109mph, and proved to be nippy enough for round-town journeys, although it became noisy at speed.

But despite this improved performance, fuel economy is just 3.5mpg less at an average of 47.9mpg. And its CO2 emissions of 140g/km place the 1.4 in the same tax band as the 1.2; but 2009's new tax rules mean it will actually cost less to tax from 2009/10 onwards.

An automatic version of the 1.4 is also available, which will have higher running costs with higher fuel consumption and tax costs.

The Chevrolet Aveo is softly sprung, meaning while it soaks up lumps and bumps, suffers with body roll when cornering at speed. The steering lacks feedback, partly due to a having a steering wheel which feels too big to make quick, corrective manoeuvres.

Well equipped

Where the Chevy Aveo will certainly appeal to buyers is when it comes to its price, and good equipment levels.

Available in three trims, S, LS and LT, the Aveo is available from £7,695 - £1,472 less than a Honda Jazz, £1,100 less than a Nissan Micra and a massive £2,620 less than a Volkswagen Polo.

The S model, which is only available with the 1.2-litre engine offers front and side airbags, electric front windows, remote central locking, an MP3-compatible CD Player and immobiliser. A version of the three-door Aveo can be specified with air-con for £400.

An extra £1,150 will get the LS, again available only with the 1.2. This model adds air-con, electric rear windows, electrically-adjustable heated door mirrors, body coloured door handles and mirrors, 15-inch wheels, a trip computer and a height-adjustable driver’s seat.

The range-topping LT model, which comes in with the 1.4-litre unit only is priced at £9,545 (or £10,645 for the auto) adds 15-inch alloys, front fog lamps, a rear roof spoiler, leather-covered steering wheel, remote audio controls and a metallic-effect interior.