PLANO, Texas — The highest-selling SUV in the USA will completely be provided as a hybrid mannequin as a part of a redesign of the RAV4 lineup, Toyota Motor introduced Tuesday evening.
The world’s largest automaker mentioned the 2026 Toyota RAV4 solely might be provided as a hybrid or plug-in hybrid, eliminating a standard gasoline engine within the automobile for the primary time. It’ll nonetheless have a 2.5-liter four-cylinder engine, however with hybrid applied sciences corresponding to batteries and electrical motors.
Regardless of a slower-than-expected adoption of all-electric autos, automakers have appeared to hybrid fashions — which mix electrical automobile applied sciences with conventional inside combustion engines — to extend efficiency and assist them meet gas financial system laws.
Toyota, which began providing hybrids with the Toyota Prius in late Nineteen Nineties, has been a world chief and advocate for hybrid adoption, regardless of an trade push in recent times for automakers to completely provide all-electric autos.
Toyota’s electrified automobile gross sales within the U.S. — together with hybrids, plug-in hybrids and all-electric autos — accounted for 43.1% of the corporate’s 2.3 million models bought domestically in 2024.
RAV4 gross sales elevated 9.3% final 12 months to almost 475,200 models bought, together with a 29.3% improve in RAV4 hybrids and 19.3% acquire in plug-in hybrid electrical autos. Roughly half of RAV4 gross sales final 12 months have been hybrids.
Gross sales of all-electric autos and hybrid fashions reached a file 20% of recent automotive and truck gross sales within the U.S. final 12 months, to three.2 million electrified autos, based on auto information agency Motor Intelligence. That encompasses 1.9 million hybrid autos, together with plug-in fashions, and 1.3 million all-electric fashions.
Hybrid-only
David Christ, head of the Toyota model in North America, mentioned the corporate determined to completely provide the RAV4 as a hybrid due to its already established recognition and rising buyer demand.
“The hybrid is quicker turning; it has extra gross sales orders on it, and the customers and sellers are asking for it,” he advised CNBC Tuesday throughout an occasion on the automaker’s North American headquarters. “It was fairly clear that the patron is voting for the hybrid.”
Christ mentioned the automaker expects to proceed rising its hybrid choices, together with further plug-in hybrid electrical automobile choices.
Seven of Toyota’s present autos are completely hybrid fashions, together with the Camry and Prius vehicles, Sienna minivan and Sequoia SUV. RAV4 would be the eighth.
2026 Toyota RAV4 household of autos
Toyota
RAV4 hybrids accounted for 44% of gross sales final 12 months, Toyota reported, whereas plug-in fashions — which supply all-electric ranges with a standard engine that must be plugged in — have been 6.5%.
The redesigned RAV4 is ready to go on sale at U.S. Toyota dealerships in later this 12 months. The all-hybrid RAV4 lineup is a part of a next-generation redesign of the automobile that included inside and exterior design modifications, in addition to upgrades to the automobile’s efficiency and applied sciences.
The corporate declined to reveal pricing till nearer to the automobile’s launch. The present RAV4 begins at $30,645. The hybrid variant begins at about $33,700. Pricing consists of obligatory supply charges.
The RAV4 has steadily elevated gross sales since its U.S. introduction for the 1996 mannequin 12 months. Final 12 months’s gross sales of the automobile elevated 9.3% year-over-year to a brand new file — making it the best-selling non-pickup nameplate within the U.S. final 12 months.
Tariffs
The RAV4 faces new challenges this 12 months with President Donald Trump’s ongoing tariffs of 25% on autos imported into the U.S., in addition to many vehicle components.
Toyota produces the RAV4 at a plant in Kentucky, however a majority of its U.S. gross sales come from autos constructed at a plant in Ontario, Canada. It presently completely imports plug-in hybrid fashions for U.S. customers from Japan.
Roughly half of Toyota’s U.S. gross sales are imported from outdoors of the U.S., together with 84.3% of RAV4 fashions, in addition to its common Tacoma midsize pickup truck from Mexico.
Mark Templin, chief working officer of Toyota Motor North America, mentioned the corporate plans to supply extra RAV4 fashions at its Kentucky plant, however declined to supply particular plans for potential modifications in manufacturing to mitigate tariffs.
“It’s going to work its approach out. I believe we’ll construct extra RAV4s in Kentucky, which can assist. However that is such an enormous quantity automotive. … It was the No. 1 promoting automobile in your entire market, even beating out the F-150,” he advised CNBC. “Now we’re bringing out one which’s even higher than that automotive. So, I believe that we’ll want a number of crops to construct that.”
Cox Automotive studies the RAV4 completed third in gross sales final 12 months behind the Ford F-Sequence and Chevrolet Silverado truck fashions, which embrace a number of variants. Nonetheless, different third-party information companies have mentioned the RAV4 topped gross sales of the Detroit pickups final 12 months when breaking out the fashions, such because the Ford F-150 from the bigger group.
Toyota’s days’ provide — an adjusted quantity based mostly on the speed of gross sales — has been among the many lowest within the automotive trade, particularly for the RAV4.
Cox Automotive studies Toyota’s current days’ provide is at 29 days and the RAV4 is among the many fastest-selling autos within the automotive trade. The trade common is 66 days, based on Cox.
Templin mentioned the automaker has been conducting situation planning for various tariff and manufacturing outcomes, however the state of affairs stays fluid amid Trump’s commerce negotiations with different international locations.
“The worst factor for an trade is uncertainty,” Templin mentioned. “Consistency is the most effective factor we may all ask for.”
