Toyota bucks the trend as new EVs drive growth

Toyota's electric vehicle lineup had a strong third quarter, bucking a broader slowdown in EV sales. Toyota and Lexus together sold 633,233 vehicles in the US last quarter, up slightly from a year earlier. The company now offers several EV options: the Toyota bZ (its best-selling EV, starting around $35,000), the C-HR, and the bZ Woodland, plus the Lexus RZ and a new Lexus ES available as both a hybrid and an EV. Through September, the bZ had sold nearly 25,000 units for the year, putting it ahead of the Chevy Equinox EV, which had been GM's top-selling EV.

This matters for anyone shopping for an electric vehicle because it means more affordable EV choices are reaching dealer lots, not fewer. The $35,000 starting price for the bZ puts it in the same range as other budget-friendly EVs like the Chevy Bolt, Nissan Leaf, and Hyundai Ioniq 5. Toyota also plans to add a three-row electric SUV, the Lexus TZ, later this year, and a Toyota Highlander EV sometime in 2027, so the lineup of options will keep growing.

Separately, Toyota opened a new battery research facility in Michigan aimed at improving batteries for its future vehicles. This is a sign the company is investing further in EV technology rather than pulling back, which could mean better range or performance in upcoming models. None of this ties to a specific rebate or incentive right now, since the $7,500 federal EV tax credit expired at the end of September last year.