The Matrix didn't see any changes for 2006, although new testing procedures resulted in lower horsepower numbers (the actual performance remained the same from 2005.)

The 2006 Matrix is the last model, for now at least, to feature the option of all-wheel drive (AWD). This option will supposedly not be present in the 2007 Matrix, for reasons that have yet to be made clear.

The 2006 Toyota Matrix is available in three trim levels: the standard, the XR, and the XRS. The standard and the XR share the same engine with the Corolla, a 1.8-liter, four-cylinder with 126 horses. All-wheel drive knocks the horsepower down to 118, while the XRS gets 164 horses. Upgrading to the XR gets power windows, mirrors, and locks; a remote key fob; and a rear wiper, while the top-of-the-line XRS comes with 16-inch alloy wheels, antilock brakes, and a six-speed manual transmission. The XRS is available only in front-wheel drive. Fuel economy is about 29-34 miles per gallon.

The 2006 Matrix remains the same peppy and fun car to drive as earlier additions. It feels stable and controlled, with decent steering and acceleration responsiveness.