The Vista, Toyota's high-grade front-engine, front-wheel-drive passenger car line, was remodeled in July 1990 to enter the third generation. Its sister car, the Camry, was also remodeled at the same time. As with the second-generation model, the body variations included a 4-door sedan and a 4-door hardtop. The sedan replaced the 6-light side windows with 4-light windows, eliminating the rear quarter windows and introducing pressed doors with integrated window sashes. The bumpers, side moldings, door handles, and door mirrors were all painted in the same color as the body, producing a unified, clear-cut image.

The engine lineup included 2-liter sports twin-cam and 1.8- and 2-liter "high-mecha" twin-cam gasoline engines, as well as a 2-liter turbo diesel. The drivetrain configuration was either front-engine, front-wheel-drive or full-time 4-wheel-drive (available with 2-liter models). Some model grades offered the vehicle-speed sensitive 4-wheel steering system and the wheel-stroke-sensitive TEMS suspension as an option. With a minor model change in July 1992, the GT model equipped with the 3S-GE engine was discontinued.