2007 Chevrolet Cobalt LT

Designed using the same global compact platform as the cheaper feeling (and slightly older) Saturn Ion, the five-passenger, front-wheel-drive Chevrolet Cobalt was a big jump-up in quality and execution when introduced in 2005.

In fact, Chevy boasted it benchmarked the last-generation Volkswagen Jetta (still sold in Canada as the City Jetta), then bestowed the title of "premium" on the Cobalt.

Yet since the Chevy compact's debut, VW has launched a newer, more upscale Jetta. And furthering GM's strategy of moving Saturn upmarket from Chevrolet, the unloved Ion is being replaced this fall with a near clone of the European Opel Astra; a car that, at times, GM says, has outsold VW's Golf.

So where does that leave the current 2007 Cobalt sedan, Chevy's so-called "premium" compact?

One advantage Chevrolet has always had with the Cobalt is reasonable pricing.

The sedan lineup (there are two-door coupes as well) starts with the bargain basement $14,930 LS.

There's also a sporty $21,600 SS with a larger, more powerful engine and a fully-loaded $22,950 LTZ.

I recently test-drove the middle-child Cobalt LT. It starts at $17,385 and already comes with a decent amount of kit: air conditioning, CD player with MP3 playback and an auxiliary audio input jack, power windows, mirrors and locks, cruise control and 60/40 split folding rear seat are all standard equipment.

With a four-speed automatic transmission (instead of the standard five-speed manual), alloy wheels, rear-spoiler and a new-for-2007 factory-installed remote start system added, the Cobalt LT test car came to $20,475.

Similarly optioned, competing compact sedans – Ford Focus, Honda Civic, Mazda3, Nissan Sentra and Toyota Corolla – are all more expensive. (The aforementioned City Jetta with an autobox and a Luxury Package rings in at $20,165.)

"Premium," whether it's cars, coffee or cumquats, should equate to some sort of quality that's higher than normally expected, especially for the price. In this, the Cobalt LT's quiet cabin and smooth ride deliver the goods.

Even though it goes down the road without an independent rear suspension, the Cobalt LT delivers a relaxed highway ride. Its quiet, straight-line cruising attitude and light steering make for a pleasant enough driving experience.

Just remember, that great ride means there's plenty of body roll. The Cobalt LT's shift from understeer to oversteer comes with little warning. When you start cranking the steering wheel, the light steering is slow to react and pretty numb too.

At least the Cobalt LT isn't slow.

Except for the SS model, with its 173 hp 2.4-litre four-cylinder engine, all Cobalt sedans get a 148 hp 2.2-litre four under their hoods.

Combined with the slushbox, the Cobalt LT gets from zero to 100 km/h in less than 10 seconds. More pragmatic, the 2.2's torque curve comes on early, allowing the Chevy to feel quicker than it really is.

Inside, though, the test Cobalt LT's interior colour scheme – "neutral" – pretty much summed up the cockpit's character, or lack thereof.

Notwithstanding a clear set of driver's instruments and GM's now standard stereo and HVA/C controls, the Cobalt's insides lacked anything one would call distinctive or distinguished.

The driving position is fine, but the seats, both front and back, are resolutely flat with little thigh support. And for those relegated to the rear, the average legroom will have taller folks sitting with their knees uncomfortably up.

Most of these Cobalt criticisms apply to the top-of-the-line LTZ too. Which means as a "premium" compact, the Cobalt has quickly lost ground in the segment to not only the new Jetta, but also the Civic and Mazda3.

Approach the Chevy compact as a value-priced commuter car, especially as equipped here in LT guise, and it starts to make more sense (and cents).

Admittedly, it's not a new Jetta (comparably equipped, $24,475). But then the Chevy's not priced like one either.

With gas prices going nowhere but up, car buyers are starting to recognize the overall cost savings of moving to a compact car.

Chevrolet saw sales in April for the priced-right Cobalt increase by over 33 per cent from April of last year.