Turbo and Heating Questions from a Beginner

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There are threads covering all three topics already. Start with the FAQ section.

The heater not working is unrelated to the blown head gasket issue. It's typically due to the VSV on the firewall dying (which connects to a bell shaped metal canister with a vacuum line running to it). Bypass the VSV so the vacuum line runs directly to the canister and see if that fixes it (I'm pretty sure this is covered in the MKIII FAQ section).

Testing for a blown HG which is not presenting significant symptoms is difficult. The two big tell-tale's are moisture in the oil (makes it look like chocolate pudding or presents beads of water in the oil when drained) and caustic coolant (you can get pH strips to test for this or a kit with a test tube device and some tablets you add to a sample).

The CT-26 may have been upgraded or it may be another rare version The only way to tell is to count the fins and measure everything. Look for a recent thread about the 7M-GTEU and the turbo-a.... someone posted dimensions in there.

NOTE: the thread states that the 7M-GTEU specifies a "A" group engine... this is inaccurate. The U merely signifies compliance with Unleaded fuel emissions regulations and the U was added as a designator to all Japanese 7M-GTE's (and I think possibly the European market vehicles). The meaning of every letter is available from Toyota.
7 = Generation
M=engine series
G = DOHC (F=SOHC)
T=Turbo (Z = Supercharged)
E = EFI
U = Emissions compliance (JDM and possibly Euro specific label)