Toyota has long been regarded as a bit of a slow mover in the electric vehicle race, but it’s proving that it’s anything but predictable. At the 2023 Japan Mobility Show, the company made a splash by unveiling two striking Lexus EVs, with promises of their arrival in 2026. Yet, just 14 months later, a new report indicates those plans are now on hold.

According to a report from Japan’s NHK, production of the Lexus LF-ZC and LF-ZL have now be postponed until mid-2027. Unlike many of its competitors, who are slowing EV rollouts due to demand concerns, Toyota’s delay appears to stem from a more strategic reason. The company is taking extra time to refine its manufacturing processes, particularly the implementation of gigacasting.

Read: Future Lexus EVs To Introduce Radical New Design Language

The Lexus LF-ZC and LF-ZL are important vehicles for the Toyota family and feature advanced designs and technologies that will trickle down to other models. Both are to be underpinned by a new EV architecture made from a gigacasted modular structure consisting of front, center, and rear portions. Toyota has said the special configuration means the front and rear of the EVs are structurally independent, allowing it to integrate new and improved batteries in the future.

Speaking of batteries, the new Lexus EVs are set to feature cutting-edge prismatic battery cells, which Toyota promises will deliver a range of up to 1,000 kilometers (621 miles). That’s impressive, especially considering that Toyota isn’t typically one to make exaggerated claims.

Last year, it was also revealed that the new Lexus EVs will be produced at an advanced assembly plant. According to the company, vehicles will be able to drive themselves autonomously with just the battery, motor, tries, and wireless terminal components, allowing it to ditch traditional conveyor belts on the production line.

The LF-ZC and LF-ZL aren’t the only victims of Toyota’s evolving EV timeline. In October, the company revealed that its three-row electric SUV—set to be produced at the Kentucky plant—would also be delayed. Originally planned for a 2025 launch, the SUV’s debut has been pushed back to mid-2026, adding to Toyota’s growing list of postponed EVs.

Depreciation is a fact of life, but what you buy has a big impact on resale values down the line. To help consumers, J.D. Power has released their 2025 U.S. ALG Residual Value Awards which highlight the vehicles that are projected to hold the highest percentage of their manufacturer’s suggested retail price after three years of ownership.

The winners aren’t exactly a surprise as Honda and Lexus walked away with top honors for the fourth consecutive year. J.D. Power’s Danny Battaglia credited part of this success to Honda’s pricing discipline as well as Lexus’ restraint on incentives, which can negatively impact resale values of older vehicles.

More: 2024 Dodge Charger Daytona Starts At $59,595

Besides being named the best premium brand, Lexus picked up the most model-level awards. Class honors went to the IS, LS, NX, RX, and TX. Their mainstream counterpart, Toyota, also picked up awards for the Camry and GR Supra as well as the Tundra and Land Cruiser.

Japanese models dominated the rankings as Honda scored wins for the Civic, Passport and Odyssey, while Subaru picked up accolades for the Crosstrek, Forester, and WRX. Other awards went to the Acura Integra and Nissan Kicks.

American brands might have played second fiddle, but GM racked up five wins. The Chevrolet Corvette was named the best “midsize premium sporty car,” while the Cadillac Escalade was the best large premium SUV. GMC also picked up awards for the Sierra 3500 HD as well as the Hummer EV Pickup and SUV.

Interestingly, the soon to be launched Dodge Charger Daytona was named the best electric car. While it remains to be seen what resale values will look like three years from now, electric coupes are virtually unheard of in America so the Charger Daytona doesn’t really have any competition.

Sticking with EVs, the Tesla Model 3 was dubbed the best premium electric car. The Hyundai Kona EV, on the other hand, was named best electric SUV.

Awards were also given to the BMW X1 and 5-Series, Jeep Gladiator and Wagoneer, and Kia Telluride. Mercedes’ only win was for the Sprinter, which took the commercial van class.

The Lexus RZ has always been a fine, but unremarkable EV. However, it’s getting a lot more interesting as pricing for the 2025 model starts at $43,975 including destination.

That’s $11,200 less than its predecessor and it means the 2025 RZ is cheaper than the 2024 Toyota bZ4X. The latter model begins at $43,070 and has a $1,395 destination fee, which brings the total to $44,465. This means you can save $490 by buying the newer Lexus.

Review: The Lexus RZ 450e Makes Going Electric EZ

The surprising pricing is due to a new entry-level trim known as the 300e. It sports a familiar design as well as LED headlights, rain-sensing wipers, and 18-inch wheels with a two-tone finish.

Despite its entry-level status, the 300e comes nicely equipped with heated NuLuxe front seats featuring 10-way power adjustment on the driver’s side. They’re joined by a power tilt-and-telescopic steering wheel, a dual-zone climate control system, and a 14-inch infotainment system. Other highlights include a wireless smartphone charger and a ten-speaker audio system.

The Lexus Safety System+ 3.0 suite of driver assistance tech comes standard and provides Adaptive Cruise Control, Lane Tracing Assist, and Lane Departure Alert with Steering Assist. Other safety features include Road Sign Assist, a Pre-Collision System with Pedestrian Detection, and a Blind Spot Monitor with Rear Cross-Traffic Alert.

Power is provided by a 72.8 kWh battery pack, which feeds a front-mounted motor producing 201 hp (150 kW / 204 PS) and 196 lb-ft (265 Nm) of torque. This enables the RZ 300e to accelerate from 0-60 mph (0-96 km/h) in 7.4 seconds, hit a top speed of 99 mph (159 km/h), and have an EPA-estimated range of 266 miles (428 km).

While the range isn’t impressive, the car comes with access to the Lexus Reserve program. It enables owners to get a gas- or hybrid-powered Lexus for use on long trips, where charging would be a hassle. Customers get 30 days free and they can be used within the first three years of ownership.

There doesn’t appear to be any other significant changes for 2025, but the RZ 450 also receives a new entry-level variant. It begins at $48,675 and features the same equipment mentioned above.

The key difference is a smaller 71.4 kWh battery pack and a dual-motor all-wheel drive system producing 308 hp (230 kW / 312 PS). It drops the 0-60 mph (0-96 km/h) time to five seconds flat, but the range plummets to 220 miles (354 km).

Elsewhere in the lineup, there are significant price cuts as the RZ 300e Premium drops from $55,175 to $48,175. Likewise, the RZ 450e Premium falls from $59,875 to $52,875.

2025 Lexus RZ Pricing

America is a deeply divided country, but there’s one thing that unites all of us – hatred of car dealers. However, a new study suggests things are getting slightly better.

According to J.D. Power, overall customer satisfaction with purchasing a vehicle climbed from a score of 793 last year to 801 in 2024. That’s basically an 80% grade as scores are based on a 1,000 point scale.

More: Study Finds 25% Of Car Buyers Won’t Return To Dealership That Charged Above MSRP

So what’s behind the improvement? Pricing and inventory. The shortages and markups from the pandemic have largely subsided, meaning some of the power has shifted from dealers back to consumers.

Given these developments, it’s not surprising to learn the number of people paying over MSRP has dropped significantly. J.D. Power says 15% of mass market buyers paid over sticker last year, but that number dropped to 8% in 2024. For premium buyers, the number fell from 10% to 6%.

While everyone can get onboard with lower prices, dealers still have a lot of work to do in regards to personnel, paperwork, and delivery. It also appears the EV buying experience is significantly worse than that of an ICE-powered vehicle.

The buyer satisfaction score for mass market ICE-powered vehicles was 857, but just 822 for EVs. J.D. Power also noted a “similar pattern exists among buyers of premium vehicles.”

Part of this appears to be a lack of dealership employees knowledgeable about electric vehicles. However, even Tesla buyers had “markedly lower satisfaction with the effectiveness of the vehicle features explanation.”

Among premium brands, sales satisfaction was highest at Porsche. They were followed by Infiniti and Jaguar. Genesis got a dismal rating of 781, while Alfa Romeo was second to last with a significantly higher score of 810. That put them two points behind Mercedes and Lexus.

On the mainstream side of things, top honors went to Mini, Buick, and Subaru. Chrysler, Mitsubishi, and Toyota were the worst.

Toyota Chairman, former CEO, and founding family member Akio Toyoda has always been forthright about his views on EVs. While the Japanese automaker has been reserved about its commitment to an all-electric future, trying to toe the line between alternative fuels, hybrids, and EV adoption, Toyoda has gone on record before saying the push by governments and manufacturers towards banning ICE vehicles was shortsighted.

Now, the Toyota chairman has predicted that if an EV-only future is on the horizon, the automotive sector, especially those working in ICE tech, will lose millions of jobs. He made these remarks during an event at Nagoya University in central Japan, where he was unveiling a bust of his father, Shoichiro Toyoda.

A Threat to Jobs and Suppliers

“There are 5.5 million people involved in the automotive industry in Japan. Among them are those who have been doing engine-related (work) for a long time,” said Toyoda. “If electric vehicles simply become the only choice, including for our suppliers, those people’s jobs would be lost.” According to Reuters, Toyoda followed up these comments by reaffirming his preference for gasoline vehicles.

Related: Toyota Slashes EV Production Target By 33%, Report Says

Toyoda’s comments echo similar remarks he’s made over the years. In addition to predicting industry job losses, the Toyota chairman has also blasted politicians for their push for EVs and claimed that Japan would run out of electricity in the summer if all vehicles were electric. Instead, Toyoda advocates for a more balanced path toward carbon neutrality, one that includes hybrids and cleaner internal combustion engine vehicles.

Toyoda’s outspoken stance hasn’t proven to be a popular one in the past. During his tenure as CEO of Toyota, the company was ranked as the third most obstructive company towards government efforts to curb climate change. Earlier this year, his most recent reelection as chairman was objected to by some investors who feel his outlook is flawed.

Toyota Thrives Amid an EV Slowdown

Despite the controversy, Toyota is currently reaping the benefits of a slowing EV market. While the share of EVs continues to grow, the rate at which it does so has seen a significant slowdown, prompting other automakers such as Ford, GM, and Volvo to reassess their previously EV-heavy strategies. Toyota, on the other hand, is selling more cars than any other manufacturer in the US, largely thanks to its robust (and growing) range of hybrid offerings.