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The first generation XP10 series Toyota Vitz was designed by Sotiris Kovos at Toyota's ED2 studio in Europe. Production began in late 1998, with a Japanese on-sale date of January 1999; European sales commenced two months later as the "Toyota Yaris".When introduced to Australasia in October 1999, the "Toyota Echo" name was used, as was the case in Canada when released there in 2003 for the 2004 model year. The "Echo" and "Yaris" names were also given to the export version of the related Japanese market Toyota Platz sedan, also available as a coupe in North America. Often sold alongside the hatchback and marketed as a single line of vehicles, exterior panels common between the Vitz and Platz were restricted to the front doors. However, as Vitz and Platz were designed using the same platform, the mechanicals are largely identical and both share a common dashboard module. There was also a "Yaris Verso" or "Echo Verso" variant sold in some export markets from late 1999, based on the Japanese "Toyota Fun Cargo". The Verso MPV utilizes the same running gear as the Vitz, but features a more spacious interior.
At its introduction in 1998, it won the Car of the Year Japan Award.
