ARKANSAS, Nov 16 (Future Headlines)- Japanese automaker Toyota has announced a groundbreaking decision regarding the next generation of its best-selling sedan, the Camry. The 2025 Camry, set to hit showrooms next spring, will exclusively feature a gas-electric hybrid powertrain, marking a significant leap toward mainstream hybrid adoption in the U.S. automotive market. This move reflects Toyota’s commitment to hybrid technology and aligns with the company’s multi-pathway approach to satisfy diverse customer needs across global markets.

The 2025 Toyota Camry will be available solely with a gas-electric hybrid powertrain, signaling a departure from traditional combustion engine models. This decision eliminates the four- and six-cylinder combustion models that constituted approximately 85% of sales in the current model year.

Toyota cites compliance with more stringent U.S. fuel economy regulations as a driving factor behind the shift to an all-hybrid vehicle line. This decision aligns with broader industry trends toward cleaner and more fuel-efficient technologies.

The hybrid powertrain in the 2025 Camry combines a 2.5-liter gasoline engine with an electric drive system, providing improved performance. The new electronic all-wheel-drive system contributes to a robust 232 combined horsepower, representing nearly a 15% increase compared to the outgoing Camry with a mechanical all-wheel-drive system.

The ninth generation of the midsize Camry sedan enters a segment where traditional combustion models from Detroit brands are diminishing. Competitors in this space include the Honda Accord, Hyundai Sonata, and the electric Tesla Model 3. Toyota’s strategic move aims to maintain a strong presence in the sedan market while adapting to evolving consumer preferences.

Notably, the Tesla Model 3 outsold the Camry in California, a key market for Toyota, during the first nine months of 2023. This underscores the importance of electric and hybrid offerings in regions with a strong focus on sustainability.

Specifics on pricing and fuel-efficiency figures for the 2025 Camry were not disclosed by Toyota. However, the company mentioned that the cheapest Camry hybrid model currently sells for approximately $2,400 more than the least expensive combustion Camry. Hybrid powertrains typically command a premium of $1,500 to $2,000 over combustion models.

The current Camry hybrid is rated at an impressive 52 miles per gallon (mpg) in combined city and highway driving, compared to the 32-mpg rating for the conventional four-cylinder Camry. The hybrid model offers tangible fuel cost savings of $650 annually compared to its combustion counterpart.

Toyota has previously employed an all-hybrid powertrain approach with the Sienna minivan, resulting in strong market performance. The Sienna’s success suggests consumer acceptance and demand for hybrid technology across different vehicle segments.

Reporting by Alireza Sabet; Editing by Sarah White