Hyundai Could Be The Next Automaker To Go Hybrid-Only

• Hyundai could make some models hybrid-only, like Toyota.
• A few vehicles, like small hatchbacks, could keep internal-combustion powertrains.
• Hyundai’s hybrid vehicles are already outselling combustion ones.

Toyota recently decided that several of its models once available with gasoline engines—including Camry, Land Cruiser, RAV4, Sequoia, and Sienna—can now only be purchased with a hybrid powertrain. The strategy has seemingly worked so well that one of Toyota’s key rivals is considering a similar tactic within its lineup.

Hyundai Australia CEO Gavin Donaldson told CarExpert that the company is considering moving its mainstream cars to hybrid powertrains exclusively, noting that Toyota has done “exceptionally well” in its switch to hybridization. He said:

‘Would we consider making our mainstream cars more hybrid? I think that’s inevitable. I think moving out of ICE into hybrid and EVs [electric vehicles] is inevitable.’

In the United States, Toyota still offers seven models with gasoline and hybrid versions compared to eight that are hybrid-only. As for the company’s gas-only models, just four remain in the lineup if you count the Corolla Hatchback and GR Corolla as separate vehicles.

Photo by: Hyundai

Hyundai’s Hybrid Strategy

Hyundai’s powertrain strategy up to this point has differed from Toyota’s, making a more aggressive push toward full electrification while also offering a range of hybrids, plug-in hybrids, hydrogen fuel cell vehicles, and internal combustion engines. This is the first meaningful mention of a shift away from ICE vehicles. 

“Right now, we have some other products that are ICE powertrains, [and] unless there’s an alternative we’ve got to consider where we want to keep them in the portfolio,” the Australian CEO said, hedging his statement slightly.

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Hyundai’s current lineup does not have any hybrid-only models, but like Toyota, it only has four vehicles that are strictly ICE: Kona, Elantra N, Santa Cruz, and Venue. It might make sense to keep small affordable cars available with ICE powertrains based on price, but larger models like Sonata, Santa Fe, and Palisade could easily transition to a hybrid-only lineup structure.

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Source: Hyundai

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Motor1’s Take: Despite consumer confusion around hybrids, they function exactly like an ICE vehicle, only with improved fuel economy. Aside from a handful of enthusiast performance vehicles, heavy-duty trucks, and affordable economy vehicles, there are few reasons why the majority of vehicles shouldn’t have a hybrid powertrain in 2026. The increased cost is minimal; most of them are more powerful than their ICE counterparts, and the fuel savings quickly offset the price increase during the ownership period.

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