The best-selling vehicle in the United States, the Toyota Camry, is set to undergo a major transformation in the coming years. Starting with the 2025 model year, the Camry will be available only as a hybrid, marking a significant shift in the automotive industry.
Currently, the Camry is offered in both a hybrid and a combustion engine variant. However, Toyota has decided to discontinue the combustion engine option and offer the Camry exclusively as a hybrid vehicle. This means that the 2025 Camry will feature both a gas-powered engine and an electric motor.
This move aligns the Camry with other Toyota vehicles that are produced solely in hybrid form. The Sienna minivan, Venza SUV, Sequoia SUV, Prius, and several other models are already available exclusively as hybrids. Toyota’s commitment to hybrid technology is apparent, as the company aims to provide a hybrid version of all its vehicles in the future.
The decision to make the Camry a pure hybrid is a significant one, considering its longstanding popularity. For the past two decades, the Camry has been the best-selling non-SUV/pickup vehicle in the United States. It is also one of the most recognizable Toyota models, alongside the Prius.
The Prius played a crucial role in popularizing hybrid vehicles when it was first introduced in the United States in 2001. It became a symbol of forward-thinking technology and quickly gained widespread acceptance. Toyota subsequently incorporated hybrid technology into other models, including the Camry.
In recent years, Toyota’s hybrid models have continued to gain popularity. Despite the availability of fully electric vehicles (EVs) and their lower prices, customers are still willing to pay more for Toyota’s hybrid models. According to data from Edmunds.com, customers are paying up to 2.5% more than the manufacturer’s suggested retail price (MSRP) for Toyota hybrids.
One of the reasons for this continued demand for hybrids is that they are easier for customers to understand and integrate into their daily routines. Unlike EVs, hybrids do not require drivers to significantly alter their habits or worry about finding charging stations. They offer better fuel efficiency, reducing the need for frequent refueling.
While the EV market is growing, with around 9% of all new-car sales being electric vehicles, hybrids still hold a significant market share. The abundance of electric cars in the same price range has led to more discounts to attract customers. In contrast, hybrids offer a more familiar and accessible option.
Toyota’s cautious approach to fully electric vehicles has been evident in its limited product lineup. Currently, the company offers only two electric SUVs in the United States, the BZ4X and the Lexus RZ 450e. Toyota executives have expressed skepticism about customer acceptance of EVs and emphasize that hybrids are a more efficient use of expensive batteries in reducing carbon emissions.
The new Camry hybrid, like other Toyota hybrids, will not be a plug-in variant. Instead, the vehicle’s four-cylinder engine will charge the batteries to power two electric motors. The system can generate impressive power in front-wheel-drive or all-wheel-drive variants.
In addition to the Camry, Toyota introduced another hybrid model called the Crown Signia, a sport utility vehicle (SUV) with sleek design elements reminiscent of the luxury Crown sedan. This reflects Toyota’s commitment to expanding its hybrid lineup and providing consumers with more hybrid options.
Overall, the shift towards making the Camry hybrid-only starting in 2025 is a significant step for Toyota. It demonstrates the growing acceptance of advanced hybrid technology and Toyota’s dedication to providing sustainable and efficient vehicles for its customers. As the best-selling non-SUV/pickup vehicle in the United States, the Camry’s transition to a hybrid-only model marks an important milestone in the automotive industry.
