Toyota and Lexus posted a record 2.5 million US sales in 2025, with hybrids and plug‑in models making up 47% of the mix. Explore the key trends – read on!
Toyota and its luxury arm Lexus wrapped up 2025 with a remarkable performance in the United States, moving 2.5 million vehicles – an 8% jump from the previous year. Almost half of those sales (47%) came from electrified models, a share that would have seemed overly ambitious a decade ago.
Electrified lineup fuels growth
Hybrid, plug‑in hybrid (PHEV) and fully electric vehicles together accounted for a 17.6% increase in volume, approaching 1.2 million units. The biggest hurdle now isn’t consumer demand but the ability to keep up with supply, as many of the popular hybrids are already outpacing production capacity.
Top‑performing models
- Grand Highlander Hybrid – sales exploded by 165% after gaining a new electrified powertrain.
- Tacoma Hybrid – surged 223%, setting a fresh record of 274,638 units, up 42.4% year‑over‑year and eclipsing its 2021 high of 252,490.
- TX Hybrid & TX Plug‑in – the TX family saw a 90% jump for the hybrid version and a 123% surge for the plug‑in variant.
- RX Plug‑in Hybrid – climbed 38%, reinforcing Lexus’s shift toward electrified SUVs.
Models that slipped
Not every electrified vehicle rode the wave. The RAV4 Hybrid fell about 13%, partly due to a model‑year transition late in the calendar year. The Corolla Cross Hybrid dropped 16%, and the Venza Hybrid virtually disappeared after production ended.
Consumer taste: SUVs over sedans
The Crown lineup illustrates a clear split. The crossover‑styled Crown variant lost over 37% of its sales, while the SUV‑oriented Crown Signia doubled its numbers. American buyers are clearly favoring electrified SUVs rather than elevated sedans.
Lexus luxury segment
Lexus recorded its best year ever with 370,260 vehicles sold, a 7% rise. While the pure‑electric RZ dipped 34%, the brand’s plug‑in and hybrid SUVs drove the momentum. In contrast, the flagship LS Hybrid slumped nearly 60%, with zero sales reported in December, highlighting a shift away from traditional luxury sedans toward electric SUVs and crossovers.
What’s next?
With hybrid and plug‑in models now the engine of growth for both Toyota and Lexus, the challenge will be expanding production to meet relentless demand. The trend also signals a broader market move: American consumers are gravitating toward electrified SUVs, leaving behind the once‑dominant sedan segment.
Stay tuned as Toyota’s electrification strategy continues to reshape the US automotive landscape.