Following a lackluster start, Toyota aims to revamp the game with its forthcoming lineup of electric vehicles. The 2023 Toyota Highlander Hybrid, a plug-in hybrid version of its popular midsize SUV, is set to revolutionize the industry with its fully electric capabilities. The new model may similarly gain widespread recognition under various familiar monikers, analogous to the Tacoma and Tundra.
The Japanese company has faced criticism for its slow adoption of fully electric vehicles. Currently, Toyota offers only two electric vehicles in the US market: the bZ4X and the Lexus RZ. The project is likely to continue for at least another two years.
Toyota and its luxury brand Lexus reported a combined sales figure of more than 565,000 vehicles in the United States during the first quarter of 2024. Among them, just 3,500 models were exclusively electric, accounting for a mere 0.6% of Toyota’s total sales.
As of now, numerous auto manufacturers have achieved a substantial milestone: boasting double-digit or even 100% electric vehicle (EV) market share in their gross sales. Rivian, the electric vehicle manufacturer that brought its inaugural automobile to market in October 2021, marked a milestone by delivering 13,588 electric vehicles during its first quarter.
Despite initially lagging behind, Toyota has successfully caught up on its hybrid strategy, now encompassing a range of electrified vehicles, including hybrids, plug-in hybrids (PHEVs), battery-electric vehicles (BEVs), and fuel-cell electric vehicles (FCEVs).
Toyota vows to accelerate its electric vehicle (EV) strategy by leveraging cutting-edge battery technology and innovative manufacturing processes to deliver more affordable and efficient options that will help keep pace with the rapidly evolving industry.
Toyota set to debut electric Highlander SUV in the US market.
At the 2025 4Runner launch event, David Christ, General Manager of Toyota’s US Division, announced that the company has focused exclusively on building battery-electric vehicles (BEVs) up until this point.
Christ noted that more battery-electric vehicles (BEVs) were imminent, stating, “You’re going to see extra BEVs from us sooner or later.” The company plans to introduce an all-electric version of its popular Toyota Highlander SUV.
Toyota announced plans to manufacture its inaugural US-assembled electric vehicle (EV), a three-row full-size electrical sport utility vehicle (SUV), at its Georgetown, Kentucky facility, marking a significant milestone in the company’s electrification strategy for North America. Toyota committed an additional $1.3 billion in February to facilitate its transition into electric vehicle manufacturing.
In accordance with Toyota’s plans, this will be an electric model of its popular Highlander SUV. A potential Lexus three-row electric SUV, dubbed “TZ,” is in the works, according to a recent trademark filing.
Toyota has announced a new electric compact pickup and an EV version of its mid-size Tacoma. Regardless of this, its success will ultimately depend on the marketplace.
A potential electric full-size Tundra pickup is under consideration at Toyota, with the company carefully monitoring demand from competitors like the Ford Lightning, Rivian R1T, and Tesla Cybertruck before making a decision.
Toyota will significantly expand its plug-in hybrid electric vehicle (PHEV) lineup. Christ explained that they would soon roll out plug-in availability across their entire product lineup. Toyota’s next-generation plug-in hybrid electric vehicles (PHEVs) might just incorporate the ruggedness of its Sequoia SUV, Tundra pickup truck, and off-road prowess of the Tacoma?
Electrek’s Take
According to reports, Toyota sold a staggering 169,500 Highlander SUVs within the US in 2023, making it the automaker’s second-best selling SUV after the RAV4. Given its entirely electric powertrain?
Meanwhile, larger electric sport utility vehicles are rapidly ascending the sales charts in the United States. The Rivian R1S ranked as the fourth top-selling electric vehicle (EV) in the United States for the past year. South Korean automaker Kia reported a strong start to the year, selling over 4,000 units of its first three-row electric SUV, the EV9, in the first quarter since its December launch.
Ford is reviving production of its larger SUVs as the company readies a novel low-cost electric vehicle (EV) platform for mass market appeal.
Primary fashion trends are expected to focus on compact electric pickups and SUVs. Scheduled for release in 2026, the upcoming electric vehicle (EV) from Ford is expected to debut with a starting price tag around $25,000.
By 2026, it may not seem unusual for a Toyota Highlander to be electric, given the plethora of automakers planning to introduce new EV models or upgrade their existing ones around that time.
The key takeaway from the report suggests that Toyota may reconsider its “bZ” branding strategy, potentially opting for more familiar models like the Highlander or Tundra to resonate with customers.
