Other improvements for 2007 include a smoother-shifting automatic transmission, a more powerful 125-amp alternator, a standard tire-pressure monitor, and brighter interior trim.The popular 15-inch wheels are now available in chrome; and bigger, 18-inch bright-finish wheels are now standard on the handling-oriented ZQ8.

The GMC Canyon and Chevy Colorado midsize pickups offer roomy cabins.The Crew Cab versions have back seats suitable for adult human beings.Canyon and Colorado are tuned for a more car-like ride and comfort than other midsize pickups.Towing capacity was deliberately limited in favor of a smooth ride and good fuel economy.

In short, the Canyon was designed to do what small pickups do most: Carry people and occasionally haul heavy loads in the bed.On the highway, the Canyon feels solid and stable.Even the Z71, the off-road model, seems remarkably civilized, and the ZQ8 suspension package emphasizes sporty handling on paved roads.

Yet the GMC Canyon is a serious truck capable of serious duty.Properly equipped, the Canyon is rated to tow 4,000 pounds, enough for transporting ATVs, dirt bikes, personal watercraft, light boats or small camping trailers.If you tow more than that, then you do need a full-size truck.But most people don't.

Of course, all of the above is equally true of the nearly identical Chevy Colorado.So why buy the GMC? Because GMC trucks just plain dress better: Think Dockers and golf shirts instead of blue jeans and tees.The prices are often so close that opting for the GMC is easily justified.

Three suspension packages are offered: The rugged Z85 is the standard setup and is available with two-wheel drive (2WD) or four-wheel drive (4WD).The Z71 off-road suspension is also available with 2WD and 4WD.Appropriately, the low-riding ZQ8 sport suspension is only available with 2WD.

The 2.9-liter four-cylinder engine, rated 185 horsepower, comes standard all Canyons except Crew Cabs with 4WD or ZQ8.The equally new 3.7-liter, 242-horsepower inline-5 is standard on Crew Cabs with ZQ8, Z71, and/or 4WD; and optional ($1,000) and/or included in an option package on all other Canyons.

A five-speed manual transmission is standard with the four-cylinder engine in Regular and Extended Cabs.A four-speed automatic ($1,095) is optional in those models, but standard with the five-cylinder engine and in all Crew Cabs.

The most basic Canyons are the W/T (work-truck) models, offered as a Regular Cab 2WD ($13,910), Extended Cab 2WD ($16,310), Regular Cab 4WD ($17,310), and Extended Cab 4WD ($19,510).Seats are vinyl, floors are hose-it-out rubber, and only the base suspension is available.Air conditioning is standard, however, along with tilt steering, cruise control, and a basic AM/FM radio.A tachometer and Driver Information Center are standard as well.Carpeting is available, as is a 60/40 split cloth seat and an upgraded stereo ($435) with CD/MP3 capability.

LS trim ($14,310) makes the cloth bench seat standard and adds basic niceties such as aluminum wheels and chrome bumpers.SLE ($14,990) adds carpeting, upgraded seat fabric, a leather-wrapped steering wheel, and standard CD/MP3 player.SLE is also the lowest trim level at which you can choose the Crew Cab ($20,390).

The SLE-2 package makes the five-cylinder engine and automatic transmission standard, along with bucket seats, a center floor console, deep-tinted glass and a Convenience Package consisting of power windows and programmable door locks with remote keyless entry.

SLT trim for Extended and Crew Cabs comes with heated leather bucket seats, eight-way power adjustment for the driver's seat and six-way power for the passenger, a sliding rear window, recovery hooks, fog lamps, a six-CD changer, self-dimming rearview mirror with compass and temperature readout, and fog lights.

The Z71 High Stance off-road package increases the ground clearance by about an inch and a half, depending on cab style.Z71 adds larger color-keyed fender flares, P265/75R15 on/off-road tires, a locking rear differential, and, on 2WD models, traction control.Z71s with 4WD get skid plates and tow hooks, and Z71 Crew Cabs come with brushed aluminum side steps.

The ZQ8 suspension is designed for improved on-road performance, and lowers the Canyon about an inch relative to the standard suspension.ZQ8 versions ride on a more tightly tuned chassis that includes quick-ratio steering, high-pressure monotube shocks, and rubber/urethane jounce bumpers.For 2007, ZQ8 up-sizes wheels and tires to P235/50R18.

Safety features include the mandated front airbags with GM's Passenger Sensing System, which shuts off the right frontal airbag if the seat is unoccupied or occupied by a child or small adult who might be more injured than protected by an airbag.A light on the dashboard displays the status of the system.GM still recommends buckling children into proper safety seats in the rear compartment of the vehicle.Four-wheel anti-lock brakes (ABS) come standard on all models.Side-curtain air bags are optional ($395).

Gen 6 OnStar ($695) is offered only on up-level models, as is XM Satellite Radio ($199).Power windows, locks and mirrors come standard on Crew Cabs but are optional on Regular Cab and Extended Cab SLE models ($500).A sunroof ($695) is available on Crew Cabs and a Sun & Sound pa.

The GMC Canyon is aggressively styled with angular wheel arches.Its front end is bright and bold in the GMC tradition and looks mean and menacing, albeit in a classy GMC manner.The black center grille with its floating GMC logo is surrounded by brightwork that extends to either side of the truck.It separates a complex looking array of lights composed of daytime running lamps, turn indicators, and high and low beams.A slight dihedral at the front outer edge of the hood enhances Canyon's aggressive appearance.From the side, Canyon looks sharp and edgy, with boldly angular fender flares that rise toward the rear of the truck.

Overall, however, Canyon looks balanced, whether in Regular Cab, Extended Cab, or Crew Cab body styles.All Crew Cab and Extended Cab models share a 126-inch wheelbase, while Regular Cab models ride on a 111-inch wheelbase.Overall length is 207 inches for all but Regular Cabs, which are 192 inches.

Regular and Extended Cabs have 6-foot, 1-inch beds.The crew cab has a 5-foot, 1-inch bed in exchange for its larger cabin.Regular and Extended Cab models have steps in the rear fender ahead of the rear wheels, making it easier to reach and load things in the front of the bed.The tailgate can be opened fully (89 degrees) or dropped 55 degrees to provide support (level with the tops of the wheel wells) for a 4x8-foot sheet of plywood.Extended Cabs use rear-hinged back doors with door handles inside the door jam.Crew Cabs have conventional front-hinged rear doors with door handles that are easy to grip and pull open.

Ride height varies by model.The ZQ8 sport models look slammed with their lower ride height.In fact, they ride about an inch lower in front than the standard 2WD Canyon, with a minimum ground clearance of just 6.2-6.5 inches at the front axle.The standard Canyon has 7.3-7.9 inches of ground clearance, depending on cab style and the number of driven wheels.The Z71 off-road suspension raises the ground clearance to 8.7-9.0 inches, depending on model.

The front seats are chair height, which gives the driver excellent visibility over the hood.Still, our biggest gripe with the Canyon is directed at its seats: The seat bottoms are flat and lack sufficient lateral support, so we always felt like we were sinking to one side or the other.

The Extended Cab is large enough to orient the back seats facing forward, so no one will have to endure the pain of sideways-mounted seats.The rear seats are raised, which improves leg room for rear-seat passengers.Don't expect them to be comfortable, though.The back seat in the Extended Cab is too cramped for anyone but Munchkins on relatively short jaunts.Better to flip the rear seats down, which opens up space for cargo.With modifications (like a fleece mat), it would work passably for a medium-size dog.(None of the midsize pickups are particularly good for canines.) This area works best as interior cargo space, and the front-hinged doors on both sides of the Extended Cab offer good access to this area.

The base Canyon work truck has a no-fault interior right down to its rubber floor mats, so you can get in with muddy work boots and not feel guilty.The SLE models are more comfortable, with carpeting and more luxurious seat fabrics.And they've been brightened a bit for '07, with new chrome accents on the interior door handles, air outlet control knobs, small speaker bezels, instrument cluster rings, and front door sills.Additionally, the center stack and HVAC trim are now painted Nova Silver on SLE and SLT.

Operating the Canyon is easy.The instruments are easy to read at a glance, with big white numerals and orange needles on a black background.Lighting functions are clustered on the dash to the left of the steering wheel; there are no switches in any remote location.Turning on the dome light requires spinning the small wheel used to dim the instrument lights, and we found this a bit challenging in the dark.Particularly for this reason we liked the map lights integrated into the rear-view mirror on higher-line models.

The center stack neatly groups together 4WD, audio, and HVAC functions.The emergency flasher button is high in the center where it's easily seen.The cruise control switches, however, are the same turn-signal-stalk system GM has used since the 1970s, albeit refined.Some people hate it; others are familiar with it and don't seem to mind.

The Canyon features triple seals around the doors, another example of its refinement.The seals not only reduce water and dust intrusion; they also reduce wind noise for a quieter cab.

The 3.7-liter inline-5 develops 242 horsepower and 242 pound-feet of torque for model year 2007, up from 220 and 225 for '06.That might make more of a difference, although it's still a bit weak compared to the optional 4.0-liter V6 engines in the Toyota Tacoma and Nissan Frontier, both of which rate north of 260 pound-feet of torque.Dodge Dakota's top V8 boasts 310 pound-feet of torque now, and will have 320 for '08, but it's also a bigger, heavier truck.In Canyon's defense, we should point out that the inline-5 sustains its peak torque over 90 percent of its rev range, which is important when hauling heavy loads or towing trailers.

The maximum towing load for Canyon with the five-cylinder engine and automatic transmission is 4000 pounds, compared with 6500 for the V6 Tacoma, 6100 for Frontier, and 7150 for the max-V8 Dakota.On the other hand, Canyon runs happily on 87 octane regular; Toyota recommends premium for its V6.

Both Canyon engines were derived from the Vortec 4200 inline-6 used in the Chevy TrailBlazer.GM lopped cylinders off the six to get the five and four.These are modern engines featuring all-aluminum construction, dual overhead camshafts wit four valves per cylinder, variable valve timing, electronic (drive-by-wire) throttle control, and a healthy 10:1 compression ratio.

The four- and five-cylinder engines are not only larger for '07 (thanks to a bigger, 3.76-inch cylinder bore), but greatly improved, with larger intake and exhaust valves, revised cam profiles, new 2M electronic control module, and a number of refinements to reduce noise.

On the road, the Canyon feels solid, with no rattles or squeaks, and the bed doesn't boom or make any other noise.The standard suspension (Z85) is able to work precisely, without interference from chassis flex, resulting in a controlled ride.Canyon is stable and predictable around curves, and a solid stopper when the binders are applied, aided by ABS on loose surfaces.The Canyon is a truck, however, so it doesn't corner and brake like a car.We found it generally tended toward understeer.We found it handled well on washboard roads and didn't bounce around like smaller pickups often do.

We were pleased with the operation of the four-wheel-drive system.There's no doubt when it engages: There's a small clunk when it shifts into four-wheel high (which can be done on the fly) and a bigger clunk when it shifts into four-wheel low (requiring the vehicle be stopped and in neutral).No full-time all-wheel drive is available; this is a truck-style part-time four-wheel-drive system and should not be used on dry pavement.We found it worked well in deep mud.

The Z71 suspension package provides maximum ground clearance, with tires designed for rugged terrain and springs and shocks calibrated for off-road performance without sacrificing too much on-road comfort.We found its ride quality remarkably civilized on the road.The Z71 suspension certainly adds heft to the Canyon, and there's noticeable jiggle from the extra weight of the off-road tires, but not anything like off-road compact pickups of the past.We found it handled rocky hill climbs and rugged terrain well.

We haven't tried the ZQ8 sport suspension in a Canyon, but it rode well in our Chevrolet Colorado.It comes with low-profile, 50-series 18-inch tires, but they don't look particularly sticky.We didn't drive the Colorado ZQ8 in anger, but our impression was that it didn't offer the sports-car handling of the incredible Toyota Tacoma X-Runner.An.

John Matras filed the original report from rural Pennsylvania; with NewCarTestDrive.com editor Mitch McCullough reporting from Southern California; and John Katz reporting from Pennsylvania.