(Plano, Texas) Toyota has seen the future, and it includes even more hybrids—with a few electric vehicles mixed in.
“I think this week is really exciting because we’re able to emphasize our multi pathway approach with a product like RAV4 and we’re able to really demonstrate that we are committed to growing our BEV volume through product power, not through just building more and shoving them down our dealers throats,” said Cooper Ericksen, Toyota’s Senior Vice President of Product Planning and Strategy.
During a two day “Headquarters Confidential” event at their Plano, Texas home, Toyota gave us a glimpse at some of their plans for this year, which include 24 new or refreshed models.
The centerpiece was a new RAV4, Toyota’s best selling product. The sixth generation RAV4 will only come as a hybrid or plug in hybrid. Toyota’s best selling sedan, the Camry, has been hybrid only for the last few years. So has the Sienna minivan.
“The stories of somebody that says ‘Oh I don’t want a hybrid,’ they are few and far between,” says Erickson. “For every one of those customers, I think the reality is that we’re seeing there’s probably either a thousand customers who say ‘I don’t care’ or it’s, “I can get a Camry with 51 miles per gallon.”
There will be a number of different trims, covering Core Rugged and Sport styles, as well as a new GR SPORT performance model of the RAV4.
“When you look at the exterior styling of this vehicle, as well as the interior styling it’s attractive,” says Michael Tripp, Toyota Group Vice President of Marketing. “It’s got an aggressive but not overly aggressive styling.”
The plug-in hybrid version will be able to go 50 miles in pure electric mode, before the gasoline engine kicks in.
RAV4 pricing will be announced closer to the vehicle's arrival in dealerships late this year.
The “Headquarters Confidential” event was a way for Toyota to give reporters a peek under the hood, both of future product plans and their operations in Texas.
We got a peek at some future products that we can’t talk about yet, saw some mobility initiatives and took a tour of Toyota’s relatively eight year old headquarters building. Five thousand people work here. It feels like a small city, and includes a number of amenities for the work force. That includes a bank, dry cleaners and even a Wal Mart, where workers can pick up prescriptions.
But, at its heart, this event is about Toyota and Lexus vehicles.
The slow and deliberate strategy when it comes to electric vehicles continues at Toyota. The oddly named BZ4X will get an easier to remember designation. It’s now simply the BZ.
“We did what Toyota does best,” said David Christ, Toyota Division General Manager. “We focused on continuous improvement.”
The Toyota BZ gets some other enhancements as well.
“It’s sportier,” says Christ. “It has over 50 percent more power on all wheel drive models, and gets up to 314 miles of range, which is about a 25 percent increase.”
Christ says a high speed DC charging port will allow the BZ battery to be recharged in about thirty minutes.
Its sister vehicle on the Lexus side, the RZ gets similar updates, as well as a performance F-sport model.
“With a maximum output of 402 horsepower, it’s the most powerful of the RZ models and the most dynamic to drive,” says Lexus Vice President of Marketing Cynthia Tenhouse.
That includes a special “M Mode” where paddle shifters can take you through eight “electronic gears.”
The biggest electrification news for Lexus however, is its entry level sedan. The ES will be available in hybrid and electric.
“It’s longer. It’s wider. It’s taller than the previous generation,” says Tenhouse.
The battery electric version of the ES is expected to have about three hundred miles range. Both versions have much sleeker styling and significantly updated interiors.
Back to the Toyota side, the small SUV, the CHR is making a comeback as an electric only model. It will become Toyota’s entry level electric vehicle.
“The high power electric motor has 338 horsepower, and it will go from zero to sixty in just five seconds,” says Christ.
The Toyota CHR will come standard with all wheel drive and have a range of 290 miles.
Toyota’s biggest media event of the year occurring under the spectre of massive tariffs.
“A 25 percent tariff on all imported vehicles is not sustainable longer term without significant price increases,” says Mark Templin, Chief Operating Officer of Toyota North America.
Templin also raising concerns about the impact of Tariffs on the supply base. Toyota has said tariffs will cost it 1.3 billion dollars over just two months. Templin says they could also impact sales.
“This year, at this particular moment, the U.S. auto industry is tracking to come in around 16.1 million units. But that could take a significant hit. It just depends.”
Toyota and Lexus should sell about 2.3 million units this year, says Templin, if nothing changes.
The RAV 4, unveiled at the Toyota event, is built in Canada and the U.S., with more than half of the production now done in Canada. Toyota has said it’s possible that some production could shift to the U.S., but no formal announcement has been made.
For now, Toyota executives remain in close contact with the Trump administration. Templin remains reasonably optimistic.
“We expect trade deals to be made with other countries that will help mitigate the tariffs, while further enabling more vehicles to be built here in the U.S.”
Jeff Gilbert's transportation and accommodations provided by Toyota.