Volkswagen Taos vs Toyota Grand Highlander Hybrid

The 2023 Volkswagen Taos was a compact SUV designed to appeal to a broad audience with its stylish and sporty appearance. It was engineered for affordability and practicality, making it a popular choice in North America, especially in Canada, where it aimed to capture the market left by the discontinued Volkswagen Golf. The Taos was available in Trendline, Comfortline, and Highline trims, with prices ranging from $26,995 to $37,695, excluding a $2,050 destination charge. The Highline trim, which we tested, featured 4Motion all-wheel drive, bold 19-inch alloy wheels, and a premium interior that resembled a cut-rate Audi, offering a spacious cabin nearly as roomy as the larger Tiguan.

In contrast, the 2026 Toyota Grand Highlander Hybrid was a larger, more luxurious SUV with a focus on efficiency and performance. It offered a range of powertrains, including a turbocharged gas engine, a hybrid powertrain, and the powerful Hybrid Max configuration with 362 horsepower and full-time AWD. The Grand Highlander was available in XLE, Limited, and Platinum Hybrid Max trims, with prices for hybrid models ranging from $57,465 to $69,060, including a $1,930 destination charge. The Platinum Hybrid Max trim, which we evaluated, featured a conservative design reminiscent of the RAV4, with a spacious interior that could accommodate up to eight passengers and ample cargo space.

The 2023 Volkswagen Taos was powered by a turbocharged 1.5-litre four-cylinder engine producing 158 horsepower and 184 lb-ft of torque. It offered a choice between front-wheel drive with an eight-speed automatic transmission and all-wheel drive with a seven-speed dual-clutch automatic. The Taos had up to five driving modes and additional settings for the 4Motion AWD system. However, the powertrain response was unpredictable, with occasional surges of torque and delays in response. On a mountainous driving loop, the Taos averaged 8.8 L/100 km, slightly above the official rating of 8.5 L/100 km for AWD models. Despite its lack of power compared to rivals, the Taos offered a nimble and stable driving experience with excellent visibility and sharp steering.

The 2026 Toyota Grand Highlander Hybrid Max, on the other hand, emphasized performance with its turbocharged 2.4-litre four-cylinder engine and electronic full-time AWD, producing 362 net horsepower. It featured a traditional six-speed automatic transmission, avoiding the droning common in CVTs. The Hybrid Max offered a balance of power and efficiency, with a combined fuel economy rating of 8.8 L/100 km and a towing capacity of up to 2,268 kilograms. During testing, it averaged 9.1 L/100 km on a mixed driving route and 10.1 L/100 km on a mountainous loop. The Hybrid Max provided rewarding acceleration, a soft ride quality, and secure handling, although it felt large on narrow mountain roads.

The 2023 Volkswagen Taos offered a comfortable and spacious interior, with Trendline trim featuring cloth seats, Comfortline trim with CloudTex upholstery, and Highline trim with real leather. Standard cold-weather equipment included heated side mirrors, heated washer nozzles, heated front seats, and a heated steering wheel. The Highline trim added rain-sensing wipers, dual-zone automatic climate control, and ventilated front seats. The Taos provided ample rear-seat room and comfort, with a panoramic sunroof in the Highline trim. Cargo space was generous, with 790 litres behind the back seat and 1,866 litres with the rear seat folded down, slightly reduced with 4Motion.

The 2026 Toyota Grand Highlander Hybrid offered comfortable seating in all three rows, with a maximum cargo space of over 2,700 litres. The Platinum trim featured a Portobello interior with leather and artificial suede upholstery, heated and ventilated front and second-row seats, and supportive cushions. The Grand Highlander had second-row captain’s chairs with a removable centre console, allowing easy access to the third row. The rearmost seats were reasonably comfortable for adults and tall teens, with ample crush space behind them. Cargo space was 586 litres behind the third row, 1,640 litres with the third row folded, and 2,761 litres with the second row folded.

The 2023 Volkswagen Taos came with standard digital instrumentation, with an eight-inch screen for Trendline and Comfortline trims and a 10.25-inch display for the Highline. The infotainment system ranged from a basic 6.5-inch touchscreen with Bluetooth in the Trendline to an 8-inch touchscreen with wireless Apple CarPlay, Android Auto, and SiriusXM in the Comfortline and Highline. The Highline also featured a native navigation system and an eight-speaker Beats Audio system. However, the user experience was marred by hidden virtual controls, a cumbersome radio tuning process, and ineffective voice-recognition technology.

The 2026 Toyota Grand Highlander Hybrid featured a 7-inch digital driver display in XLE trim and a 12.3-inch digital panel in Limited and Platinum trims. All models had a 12.3-inch touchscreen infotainment system with wireless Apple CarPlay, Android Auto, SiriusXM, and access to Apple Music and Amazon Music. Toyota Connected Services offered features like automatic collision notification and a digital voice assistant. The system was easy to use, though the font was sometimes hard to read. The Platinum trim included a head-up display, a digital rear-view mirror, and a JBL premium audio system.

The 2023 Volkswagen Taos improved its standard safety features, including Front Assist, blind-spot monitoring, and rear cross-traffic alert. The Comfortline added Lane Assist, Travel Assist, Emergency Assist, and an active blind-spot monitoring system. The Taos also featured a post-collision automatic braking system, automatic high-beam headlights, parking sensors with automatic braking, and a road-sign recognition system. Travel Assist performed well, navigating curves and maintaining distance on highways. However, crash-test ratings from NHTSA and IIHS were decent but not perfect.

The 2026 Toyota Grand Highlander Hybrid came with Toyota Safety Sense 3.0, including lane keep assist and adaptive cruise control. Proactive Driving Assist was also standard, though it was often found irritating. The safety tech operated accurately, though the lane keep assist occasionally strayed too close to lane markers. The Grand Highlander earned a five-star overall rating from NHTSA but fell short of the IIHS Top Safety Pick due to headlight performance and frontal-impact protection.