Toyota will be unveiling its third generation Avensis, as well as production versions of its iQ city car and Urban Cruiser at the Paris Motor Show next month.

The Avensis, which will be built at Toyota’s Burnaston plant in Derbyshire, will debut in Paris on October 2. The new model will help Toyota compete against newly the new Ford Mondeo and soon to be launched Vauxhall Insignia.

Due to go on sale in January 2009 it features engines that are both more powerful and emit less CO2 emissions than the previous model. Full details and pricing will be announced later in the year.

Joining the new Avensis will be two other new cars due on sale in early next yea. The diminutive iQ and rugged Urban Cruiser, both showcased in design concept form at the Geneva motor show earlier this year, appear in Paris in final production trim. Measuring less than three metres long, the iQ has CO2 emissions of 99g/km.

The Urban Cruiser expands Toyota’s product range into the urban-all wheel drive market much like Nissan’s Qashqai. The model at the show will be powered by a 1.4-litre D-4D diesel engine which produces 133g/km of CO2.