PLANO, Texas — The highest-selling SUV in the US will completely be supplied 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 supplied as a hybrid or plug-in hybrid, eliminating a conventional gasoline engine within the car for the primary time. It’s going to nonetheless have a 2.5-liter four-cylinder engine, however with hybrid applied sciences akin to batteries and electrical motors.
Regardless of a slower-than-expected adoption of all-electric vehicles, automakers have regarded to hybrid models — which mix electrical car applied sciences with conventional inside combustion engines — to extend efficiency and assist them meet gas financial system rules.
Toyota, which began providing hybrids with the Toyota Prius in late 1990s, has been a world chief and advocate for hybrid adoption, regardless of an trade push lately for automakers to completely supply all-electric autos.
Toyota’s electrified car 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 yr to just about 475,200 models bought, together with a 29.3% improve in RAV4 hybrids and 19.3% achieve in plug-in hybrid electrical autos. Roughly half of RAV4 gross sales final yr have been hybrids.
Gross sales of all-electric autos and hybrid fashions reached a record 20% of latest automotive and truck gross sales within the U.S. final yr, to three.2 million electrified autos, in keeping with auto knowledge 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 supply the RAV4 as a hybrid due to its already established reputation and rising buyer demand.
“The hybrid is quicker turning; it has extra gross sales orders on it, and the shoppers 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 buyer is voting for the hybrid.”
Christ mentioned the automaker expects to proceed rising its hybrid choices, together with extra plug-in hybrid electrical car choices.
Seven of Toyota’s present autos are completely hybrid fashions, together with the Camry and Prius automobiles, 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 yr, Toyota reported, whereas plug-in fashions — which provide all-electric ranges with a conventional engine that must be plugged in — have been 6.5%.
The redesigned RAV4 is about to go on sale at U.S. Toyota dealerships in later this yr. The all-hybrid RAV4 lineup is a part of a next-generation redesign of the car that included inside and exterior design adjustments, in addition to upgrades to the car’s efficiency and applied sciences.
The corporate declined to reveal pricing till nearer to the car’s launch. The present RAV4 begins at $30,645. The hybrid variant begins at about $33,700. Pricing consists of necessary supply charges.
The RAV4 has steadily elevated gross sales since its U.S. introduction for the 1996 mannequin yr. Final yr’s gross sales of the car elevated 9.3% year-over-year to a brand new report — making it the best-selling non-pickup nameplate within the U.S. final yr.
Tariffs
The RAV4 faces new challenges this yr with President Donald Trump‘s ongoing tariffs of 25% on autos imported into the U.S., in addition to many vehicle elements.
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. shoppers 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 well-liked 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 adjustments 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 a giant quantity automotive. … It was the No. 1 promoting car in the whole 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 vegetation to construct that.”
Cox Automotive studies the RAV4 completed third in gross sales final yr behind the Ford F-Sequence and Chevrolet Silverado truck fashions, which embody a number of variants. Nonetheless, different third-party data firms have mentioned the RAV4 topped gross sales of the Detroit pickups final yr when breaking out the fashions, such because the Ford F-150 from the bigger group.
Toyota’s days’ provide — an adjusted quantity primarily based 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, in keeping with Cox.
Templin mentioned the automaker has been conducting state of affairs planning for various tariff and manufacturing outcomes, however the scenario 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 might all ask for.”