The Japanese giant has argued new-generation technology and safety features make up for the new RAV4's price hikes up to $5930.
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Toyota has pointed to the “value proposition” offered by the new RAV4 after prices surged by up to $5930 with the switch to the new-generation model in showrooms now.
The entry-level RAV4 GX now starts from $45,990 plus on-road costs – up $3730 – or about $50,000 drive-away, and climbs to about $65,000 drive-away for the top-of-the-range hybrid – before the plug-in hybrid, which exceeds $70,000, is considered.
It may represent sticker shock for buyers upgrading from a five-year-old RAV4, as the RRP of today’s GX is higher than a well-equipped, front-wheel-drive Cruiser hybrid – with a sunroof, leather seats, and more – in 2021, before inflation.
Few new cars are as affordable as they were five years ago, and Toyota argues the features built into the base model are worth the price rises.
“What you’ve got to always look at is the value proposition, based on what you're getting in the package,” Toyota Australia sales and marketing boss John Pappas told Drive.
“And with RAV, even at that entry level, when you look at the package inside that vehicle, now with the new Arene platform, the new multimedia system, the Safety Sense package number four, they're all firsts for Toyota.
“The [new] RAV4 is the safest RAV we've ever built, so that is a very big package of benefits even at an entry level for us.”
New features in the entry-level GX focus on upgrades applied across the range, including all-new infotainment technology based around 10.5-inch and 12.9-inch screens, up from 8.0 and 10.5 inches in 2025 cars.
A 12.3-inch digital instrument cluster is now standard across the range, rather than limited to the high-spec Cruiser grade, while an updated safety feature suite with technology such as front cross-traffic alert has been introduced.
However, the latest RAV4 GX has deleted rain-sensing wipers, and reverted from a leather-look steering wheel wrap to plastic (or urethane).
Compared to a 2021 RAV4 GX hybrid, it has gained push-button start, front cross-traffic alert, and door exit warning, among a few other items.
It is dearer than entry-level models from rival brands, such as a Hyundai Tucson Hybrid ($42,850 plus on-roads) and Kia Sportage S Hybrid ($44,450 plus on-roads) and in many states, the Honda CR-V e:HEV X ($49,990 drive-away).
Higher up the range, the RAV4 Cruiser AWD’s $60,340 plus on-roads RRP is in line with a Sportage GT-Line Hybrid AWD ($60,370 plus on-roads), Tucson Premium Hybrid AWD ($58,350 plus on-roads) and a Nissan X-Trail Ti-L e-Power ($58,215 plus on-roads).
Even more expensive than the regular ‘plug-less’ hybrid RAV4 is the plug-in hybrid, which is priced from $58,840 to $66,340 plus on-road costs.
Pappas defended the GR Sport's price in light of it representing a new high for a RAV4 in Australia, and Chinese car brands selling PHEVs with comparable luxury features and electric range – but less performance and more sedate styling – at less than $50,000 drive-away.
“I'm not disrespecting the environment we're in at the moment, because that's an evolving situation every single day,” he said.
“And we can't forecast, you know, what's going to happen in three months’ time, so I'm being very respectful of the environment.
“But yeah, our research shows that we think that car [RAV4 PHEV] will do well for us and it will be around 30 per cent [of RAV4 sales in 2026].”
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Alex Misoyannis has been writing about cars since 2017, when he started his own website, Redline. He contributed for Drive in 2018, before joining CarAdvice in 2019, becoming a regular contributing journalist within the news team in 2020. Cars have played a central role throughout Alex’s life, from flicking through car magazines at a young age, to growing up around performance vehicles in a car-loving family. Highly Commended - Young Writer of the Year 2024 (Under 30) Rising Star Journalist, 2024 Winner Scoop of The Year - 2024 Winner
