2023 Toyota Highlander Hybrid Reviews, Pricing & Specs

You can buy a 2023 Toyota Highlander Hybrid for a new vehicle price of just over $50,000: $51,435 for the base Hybrid LE, to be exact, including the $1,930 destination charge and other fees. That includes all-wheel drive (AWD), which is standard in Canada. (A front-wheel drive version is available in the U.S. but is not offered here.) From there, you can upgrade to the Highlander Hybrid XLE AWD, which is offered with a Special Edition package for 2023, or Limited, which lets you tack on a Platinum package. The limited-run Bronze Edition that was available with the XLE has sold out.

Our 2023 Highlander Hybrid test vehicle arrived in the top Limited trim with the Platinum package. The manufacturer’s suggested retail price (MSRP) in Canada for this combination as a new car is $61,800, including destination.

Appearance changes for 2023 are minimal. There is a new Cypress Green paint colour, and otherwise, the Highlander Hybrid is the same as before.

The current-generation Highlander is over-styled. Exaggerated forms wage a visual assault on your retinas, from the scowling headlights and simulated front bumper air intakes to the wildly flared rear fenders and dramatically sculpted rear forms.

Granted, Toyota has taken plenty of criticism for boring design in the past, but the pendulum has swung too far in the other direction. Not only that, but without a set of 20-inch wheels to help fill the swollen wheel arches, most versions of the Highlander look like they need to try Ozempic.

That same philosophy continues inside, where everything looks super-sized. From the large air vents and giant 12.3-inch touchscreen infotainment system to the big climate control knobs and bulging JBL tweeter speaker surrounds, the cabin is anything but subtle or elegant.

Not only that, but the multi-layered dashboard’s mismatched textures and tones, paired with reflections from the display and black plastic trim, make the interior visually obnoxious. Sitting in the driver’s seat, it’s almost as though every element of the dashboard is screaming for your attention.

Perhaps the approach would be less jarring if the Highlander’s cabin reeked of quality. But it doesn’t. Primary controls like the transmission shifter, power door locks, and turn signal stalk sound and feel inexpensive when used, and nearly all storage areas are unlined, virtually guaranteeing scraping and rattling sounds as you drive.

In addition, the door panel pods housing the power window controls flex too much under pressure and the test vehicle’s leather upholstery would not remain tucked into the plastic driver’s side seat base. The front seatback storage pockets appeared warped, matching the edges of the rather flimsy all-weather floor mats at each seating location.

Overall, our test vehicle’s interior looked, felt, and sounded of dubious quality. However, it certainly was quiet on the road. Toyota claims it expended considerable attention to this factor.

The Highlander Hybrid pairs a 2.5-litre Atkinson-cycle four-cylinder engine with two electric motor-generators, plus a third to power the rear wheels on demand to create standard AWD. One of the front motors helps to propel the SUV, and both serve to keep the battery pack underneath the rear seat charged. Regenerative brakes also contribute charging assistance.

Toyota says the Highlander Hybrid is good for 243 combined horsepower, charged with motivating 2,060 kilograms (4,550 pounds) in Limited trim. The electric assist motors help the SUV to accelerate and, if you push the EV mode button on the centre console, can power the Highlander Hybrid solely on electricity at low speeds, such as when creeping along in traffic or seeking a parking space at a shopping centre.

The gas engine offers no more than 175 pound-feet of torque, so high-speed passing power is almost non-existent. Also, though Toyota claims you can tow 1,588 kilograms (3,500 pounds) with the Highlander Hybrid, that doesn’t seem like a good idea. There simply isn’t much power to spare, and when driving in the mountains with two people aboard, the test vehicle’s brakes faded, eroding trust in them.

Drivers can choose between Eco, Normal, and Sport driving modes. Along with AWD, there is an overly optimistic Trail mode button on the centre console, but we don’t recommend heading too far off the pavement. Our test vehicle handled light trail work at low speeds, and had no trouble on a washboard gravel surface. Still, the Highlander Hybrid’s 20.3 centimetres of ground clearance and electric AWD are best suited to helping with traction in winter weather.

The point of the Highlander Hybrid is fuel economy, so a Predictive Efficient Drive system learns your driving habits and considers upcoming road and traffic conditions to maximize efficiency. It’s not very talented, though. According to Natural Resources Canada, a Highlander Hybrid should average 6.7 litres per 100 kilometres in combined driving. It returned 8.2 L/100 km on the evaluation loop.

This SUV is soul-crushing to drive. Soft suspension tuning makes it feel like you’re riding around on underinflated tires, the regular groaning of the continuously variable transmission (CVT) will make you sleepier than a noise machine on a hot and muggy day, and the steering is as about as engaging as a high-school physics lesson on a sunny summer afternoon.

Ultimately, the Highlander Hybrid is a tool for cities and suburbs, made for people who drive only because they must and simply want a reliable and safe family-sized SUV. The compliant ride soaks up the bumps and cracks in the road, and aside from initial bounce and wallow over undulations, the Highlander remains fairly smooth regardless of the situation. In addition, the SUV is remarkably quiet on the highway. But there isn’t a single thing about driving a Highlander Hybrid that is remotely close to engaging or exciting.

Fortunately, the cupholders in the centre console can easily handle the largest size cups from your favourite coffee shop. You’re going to need it.

By now, you might be thinking that what’s important about a vehicle like the 2023 Toyota Highlander Hybrid is not how it looks, feels, and drives, but how it handles the demands of daily family life. Fair enough. And to that, we’d point out that there is a reason that Toyota has added the larger 2024 Grand Highlander model to its lineup.

Depending on the trim level and how you outfit the SUV, the Highlander Hybrid carries seven or eight people. However, since most have standard second-row captain’s chairs and the third-row seat is best only for occasional use when no other alternatives for carrying extra people exist, we think this SUV would serve Toyota better as a two-row model.

Standard equipment includes three-zone automatic climate control and heated front seats, and our Platinum packaged test vehicle had a heated steering wheel, heated and ventilated front seats, and heated second-row captain’s chairs. So, people should have no problem finding a comfortable temperature.

In addition, both front seats offer power adjustment, including for height. They are large and supportive, but we did wish for added driver’s seat cushion angle adjustment to add more thigh support.

Likewise, the second-row captain’s chairs will make nearly any passenger happy. In our test vehicle, the side window sunshades nearly covered all of the glass, so parents of newborns riding in rear-facing child safety seats can block most of Mr. Sun’s rays. In addition, softly padded front seatbacks allow the second-row passengers to slide forward to make more space for third-row riders without a significant compromise in comfort.

Entering the third row isn’t easy. Clearance between the second-row captain’s chairs and between the door frame and the seat is tight, so adults will grumble about this seating assignment. With the second-row moved forward, we could fit back there, but the third-row cushion and backrest are flat and about as comfortable as an economy-class seat on a trans-Pacific flight. That’s why we think it is best used only when absolutely necessary, like a Kia Sorento’s.

The Highlander has a useful shelf on its dashboard, and this year the centre section serves as an available wireless charging pad. Toyota also places rubber-lined cupholders and a storage tray between the second-row seats. Otherwise, the SUV’s storage areas are unlined with any material, an odd choice considering the effort made to quiet the cabin.

Not only that, but the centre armrest storage console design is unnecessarily complex. The armrest doesn’t raise to provide access to the storage bin below. Instead you slide the top open, producing narrower access than you might expect. Then, within the bin, a tray is in the way, making it hard to see and reach for items beneath it. To use the maximum space, you need to remove the tray, which makes little sense to us.

Cargo space between the available hands-free power liftgate and third-row seat measures 453 litres, and there is an underfloor storage area. For some reason, we had trouble folding the third-row seats using one hand, but once they were flat, the SUV offered a generous 1,370 litres of cargo area. Unfortunately, the optional all-weather cargo mat looks awful and compromises utility.

For maximum volume, fold the second-row seats to create a maximum of 2,387 litres of cargo space.

For 2023, the most significant change to the Highlander Hybrid is fresh technology. Upper trim levels get a new 12.3-inch digital instrumentation display with Casual, Smart, Tough, and Sporty themes. However, we did not find the controls for the screen to be intuitive, creating an additional source of irritation.

In the middle of the Highlander’s dashboard, new Toyota Audio Multimedia infotainment systems take up residence. An 8.0-inch touchscreen is standard in lower trims while the Limited gets a larger 12.3-inch display. Both benefit from over-the-air software updates and feature dual-device Bluetooth pairing, wireless Apple CarPlay and Android Auto, HD Radio, and SiriusXM satellite radio.

Several connected service plans are standard, with varying complementary trial subscription lengths. Remote Connect is also standard, allowing Highlander owners to remotely access lighting, locks, vehicle status, and engine starting using a smartphone app.

To take full advantage of all the new infotainment system has to offer, the Drive Connect service plan is necessary. It comes with an Intelligent Assistant natural voice recognition system that you can summon by simply saying: “Hey, Toyota.” In addition, this plan equips the Highlander Hybrid with a cloud-based native navigation system.

In addition, the test vehicle included a comprehensive head-up display and an 11-speaker, 1,200-watt JBL sound system with Clari-Fi technology. Normally, Toyota’s JBL audio systems fail to impress, but this one produced decent sound quality.

Overall, the Toyota Audio Multimedia platform is easy to understand and use, though we think the graphics should be bolder with sharper contrast. Sometimes, it is hard to see things on the screen. Nevertheless, with an active Drive Connect subscription, the technology works well. And without Drive Connect, simply pair your smartphone and use the wireless Apple CarPlay and Android Auto compatibility.

Typically, safety is high on any midsize SUV shopper’s list, and the 2023 Toyota Highlander Hybrid doesn’t disappoint in this regard.

Every Highlander is equipped with Toyota Safety Sense 2.5+ (TSS 2.5+), a standard collection of advanced driving assistance systems (ADAS). The TSS 2.5+ collection includes adaptive cruise control, forward collision warning with pedestrian detection, automatic emergency braking, lane-departure warning with steering assist, lane-keeping assist, lane-centring assist, automatic high-beam headlights, and a road sign assist system.

Blind-spot monitoring with rear cross-traffic alert is also standard. Highlander Hybrid Limited and Platinum versions gain front and rear parking sensors with automatic braking, and the Platinum has a standard (and excellent) surround-view camera.

The ADAS works well except for some occasional confusion when lanes converge or broaden from one into two, and on farm roads with partially obscured or worn lane markings. Also, it struggled to navigate around the left turn lanes in the middle of a rural two-lane highway. However, when driving in moderate to heavy highway traffic, TSS 2.5+ works beautifully and is easy to trust.

Safety Connect is also standard, equipping the Highlander with emergency assistance (SOS button), automatic collision notification, collision assistance, and a vehicle locator. In addition, the Highlander Hybrid gets excellent overall crash-test ratings from both the Insurance Institute for Highway Safety (IIHS) and the National Highway Traffic Safety Administration (NHTSA).

If you want a midsize three-row SUV with a hybrid powertrain, you have few choices, especially if you’re on a tight budget. The only alternatives to the 2023 Highlander Hybrid are the Ford Explorer Hybrid, Kia Sorento Hybrid and Plug-in Hybrid, and Mazda CX-90 PHEV (Plug-in Hybrid).

When comparing all four models in top-spec trim with AWD, the Toyota is about $600 less than a Ford Explorer Limited Hybrid but comes with more standard equipment. It saves about $2,500 over a Mazda CX-90 GT PHEV. Still, the Mazda’s PHEV capability might make it worth settling for less equipment to reduce the CX-90’s price, or paying the surcharge for the top trim. The Mazda also qualifies for partial federal and provincial EV incentive programs as a plug-in hybrid, essentially wiping out that $2,500 difference.

However, the three-row Kia Sorento Plug-in Hybrid in SX trim is $2,000 less than the Toyota, and that’s before factoring in the full $5,000 rebate it qualifies for under the federal iZEV program, as well as provincial programs where they exist. Granted, the Kia isn’t quite as roomy inside, but it offers three rows of seats and impressive efficiency. Plus, it uses turbocharging and a traditional automatic transmission, making it more satisfying to drive.

Unfortunately, our Highlander Hybrid test vehicle came nowhere near matching the official fuel economy rating. This is common, but the gulf between expectations and reality nevertheless makes it hard to accept the Toyota’s droning powertrain. And, since the Highlander’s third-row seat is almost as useless as the one in the Sorento, we think the more stylish, turbocharged Kia looks pretty darn good in comparison.

Note: Images show a US model.