The "Panda" term refers to a popular black and white color scheme on AE86 Corolla Sprinter Trueno. The 86 term translates to "Hachi-Roku" (the number 8-6 in Japanese). Hence "PANDA86".
The Toyota Corolla Sprinter Trueno (AE86) is a small, lightweight coupe introduced by Toyota in 1983 as part of the fifth generation Toyota Corolla line-up. For the purpose of brevity, the insider-chassis code of "AE86" is used to describe the whole range. The AE86 (along with the lower spec AE85 versions) was rear wheel drive, and is said to be the last rear-drive car of its type, at a time when most passenger cars were being switched to front-drive.
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