Mazda introduced the fifth generation of the 626 in 1997 and offered it in two body shapes: sedan and hatchback, both being built on top of the Mazda GE platform.
The Japanese brand tried to sell the 626 MkV in more markets, and since the European customers were pleased with the lift-back styling, Mazda was obliged to provide one. Thus, the carmaker included one on the lineup but withdrew the station wagon version.
Mazda took a different approach when it designed the 626 and tried to make it subtle, but that resulted in a bland design even for those times. True, there was a chromed stripe on the upper side of the grille and some aerodynamic enhancements on the lower bumper. Still, those were far from the bold-looking cars Mazda used to create. On the other hand, with the hatchback version, the extended greenhouse looked more like a humpback than a fastback. However, one advantage was the third side window placed behind the rear doors, which brought more light into the cabin.
Moving inside, the customers could notice a spacious cabin with a well-designed, rounded dashboard. The carmaker offered velour upholstery and basic amenities with cranked windows and no AC for the base trim levels. Yet, the power windows and locks, AC, and stereo were fitted as standard on the upper trim levels. Unlike the sedan, the Hatchback featured a split-folding rear bench, which could expand the trunk area and allow longer items to be loaded.
Under the hood, the 626 MkV Hatchback offered a choice of gasoline and turbo-diesel engines, which became much more popular on the European market.