The latest-generation Toyota RAV4, which debuted globally in May 2025, made a significant appearance at the Japan Mobility Show 2025.
With UMW Toyota Motor (UMWT) having previously committed to local hybrid vehicle assembly, the sight of the electrified RAV4 fuels speculation: could 2026 finally be the year the crossover is locally assembled (CKD) to aggressively compete with rivals like the Honda CR-V and Hyundai Tucson?
UMWT has previously sold the RAV4 in Malaysia as a fully-imported (CBU) model, which placed it at a price disadvantage against its locally-assembled competitors. However, the new generation arrives exclusively with electrified powertrains—Hybrid Electric Vehicle (HEV) and Plug-in Hybrid Electric Vehicle (PHEV) options—dropping the traditional gasoline engine.
This shift aligns perfectly with UMWT’s strategic investment into upgrading its Bukit Raja plant for local assembly of hybrid models. Local assembly would allow the RAV4 to benefit from tax incentives and achieve the competitive pricing needed to challenge the compact SUV segment leaders.
Electrified Performance and Design
The new RAV4 is built to feel like it can go anywhere. Key features of the new generation include:
- PHEV System: The Plug-in Hybrid model features a new, high-capacity hybrid system that, with a higher capacity battery, offers a targeted BEV cruising range of 150 km. It also supports DC rapid charging to reach 80% capacity in about 30 minutes.
- Performance: Motor output is boosted by 12% for unique off-road driving performance.
- Usability: The design is based on three core elements: “Big Foot,” “Lift-up,” and “Utility”. The boot capacity has been expanded from 733L to 749L, and the interior features an intuitive “Island architecture” design.
- Safety & Tech: The SUV adopts the Arene software development platform, enabling a new-generation multimedia system and the latest Toyota Safety Sense package, which includes functions like an improved Emergency Driving Stop System (EDSS).
With its advanced hybrid technology and rugged new styling (available in Core, ADVENTURE, and GR SPORT trims), the new RAV4 is ideally positioned to capitalize on UMWT’s CKD expansion. The coming year will be critical in determining if this highly anticipated SUV will finally take its place among Malaysia’s SUV heavyweights.
