Toyota Eyes Diesel-Electric Future for LandCruiser, Prado, and HiLux

Despite the global shift to electric vehicles, Toyota has reaffirmed its commitment to diesel technology,  especially in key markets like Australia, Europe, and the Middle East.

Speaking at an industry event aligned with the Japan Mobility Show, Toyota’s powertrain head Takashi Uehara said diesel remains a core part of the company’s multi-pathway strategy.

“Diesel technology still has strong demand in many regions,” Uehara stated, citing “high requests and expectations” from both consumers and regional governments.

According to data shared by CarExpert, diesel accounted for 48.4% of Toyota Australia’s sales between January and August 2025, up from 42.6% during the same period last year.

Mild-Hybrids Already Here, Full Diesel-Hybrids Could Follow

Toyota currently offers 48-volt mild-hybrid diesel versions of the HiLux and Prado under the “V-Active” branding; these were the first electrified diesel vehicles to arrive in local showrooms in 2024 in Australia. These systems improve efficiency and lower emissions without compromising on towing and off-road capabilities, key expectations for buyers in Australia and beyond.

Insiders suggest Toyota may be exploring full diesel-electric hybrid systems, combining the torque and range of diesel with electric assistance for better emissions compliance.

Though unconfirmed, this would mirror Toyota’s long-term approach: gradual electrification tailored to each model’s role and market needs.

Multi-Pathway Strategy: Not Just EVs

Toyota’s powertrain roadmap includes a broad mix of technologies: petrol, diesel, hybrid, battery-electric (BEV), and hydrogen fuel-cell (FCEV).

This approach contrasts with rivals like Ford, which is pushing plug-in hybrids and BEVs more aggressively, or Isuzu, which remains diesel-focused but has started exploring mild-hybrid tech for future D-Max models.

Takeaway: Diesel Is Evolving, Not Disappearing

Toyota’s message is clear: diesel remains a viable solution, especially when enhanced with hybrid systems.

With no immediate phase-out in sight and regional demand rising, expect Toyota to keep refining its diesel offerings, possibly leading to a full diesel-hybrid LandCruiser or HiLux in the years ahead.

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