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This generation (apart from the wagon) got a new rear coil spring five-link rear end with a panhard rod (two years after its main Japanese rival the Nissan Sunny had made the same change), and the wheelbase was longer at 94.5 in (2,400 mm). A new 1.8 L (1,770 cc/108 in³) 3T engine was optional to some markets, while parts of the world retained the old 4K. The most notable inline-four engine advancement came in 1983, however, as Toyota began offering the 1.6 L (1,587 cc/96 in³) 4A-C. The aluminum head, SOHC engine, although bulkier in size and weight than the K and T engines it was offered alongside, was a grand step up in performance. This would be the last generation of Corollas to use any pushrod or iron cylinder head engines, as Toyota made the decision to focus exclusively on aluminium head, OHC engine design from this point forward. This was the first generation to have power steering. In the US market, this was introduced in 1981 for the 1982 model year.
Various facelifts were made during production. In 1979-1980, a four-round headlamp setup was used in most markets. A restyle for 1981 involved two rectangular headlamps. A more extensive facelift was given for 1982, involving a new sloping nose with wraparound headlights, remodeled taillights and new bumpers, which on some models were rubber moulded. From August 1983 (subsequent to the changeover to front-wheel drive for the rest of the range) the Corolla Van received a new 1.5-litre 5K-J engine as well as a light restyling, and also a roof raised by 45 mm (1.8 in).[6] The Wagon/Van underwent a final light facelift in August 1985, including an upgraded 1C-II engine for the diesels.[7] It also received seats that could be folded nearly flat to make the car beddable, and continued in production until being replaced by the 90-series Corolla Van/Wagon in August 1987.