The 2025 Lexus UX300h is the best luxury subcompact hybrid yet

Published 9:10 am Monday, January 13, 2025

The 2025 Lexus UX300h is proof that Toyota was right to keep pursuing hybrids despite government pressure to increase production of all-electric vehicles. Its luxury subcompact SUV is fun to drive, gets incredible mileage, and is much more practical for owners who cannot conveniently and reliably recharge their vehicles, which is most buyers. The company has now applied its hybrid technology to multiple affordable Toyota and luxury Lexus vehicles, increasing their appeal to buyers who want to save gas without going full EV.

Toyota single-handedly created the hybrid market with the original subcompact Prius sedan in 1997. It paired a small gas engine with an electric motor that switched off driving the front wheels to maximize mileage, and which worked together when more power was needed. By the time the Prius debuted in the U.S. in 2004, it had grown into a compact five-door hatchback, but used the same gas-electric powertrain. It was EPA rated at more than 50 miles per gallon, a remarkable figure for the time.

Virtually all manufacturers offer some form of similar hybrids these days. But Toyota is still the leader because it kept refining and upgrading their version, adding all-wheel-drive with an addition motor powering the rear wheels and plug-in hybrid models that can go around 40 miles on electricity alone before switching over to a conventional gas-saving hybrid mode. They are now available in a wide range of affordable and luxury cars, vans and SUVs.

As a result, Lexus dominated an April 2024 comparison of Best Luxury Hybrid SUVs by Road & Track. It had four models in the top 10, including the 2025 300h. The other six were more expensive vehicles by legacy European manufacturers.

The 2025 Lexus UX300h is powered by Toyota’s fifth-generation hybrid powerplant. It combines a 2.0-liter gas engine with two or three electric motors, depending on whether it’s a front-wheel-drive or AWD version. That is the same set up as the new Toyota Prius hatchback or Corolla Cross Hybrid SUV, but such humble-sounding origins are nothing to be ashamed of. All produce a healthy 196 horsepower, the most for any of them, which provides surprisingly strong acceleration because they are such small vehicles. Toyota doesn’t disclose the combined torque figure, but the two electric motors at the front produce a combined 152 pound-feet, while the rear motor generates 62.

As a luxury vehicle, the UX 300h naturally costs more than Prius or Corolla Cross Hybrids, about $10,000 across all trim levels. But the Lexus offers much sharper styling, a higher-grade interior, additional sound insulation, and a more refined ride, especially when equipped with the optional F Sport suspension package that includes adaptive dampers.

Lexus first introduced the UX in 2018 as a 2019 model. UX stands for Urban Explorer and the different versions are represented by different numbers, which designates the various gas and hybrid engines over the years. I’ve now tested virtually every configuration and always have the same reaction. I start out thinking that a luxury subcompact anything is a silly idea, and then end up thoroughly enjoying them.

The 2025 UX is only offered as a front- or all-wheel-drive hybrid 300h. Based on my experience, it is easily the best yet. Not only is it the fifth-generation engine the most powerful to date, it also gets the highest mileage – an unbeatable combination. The EPA rates the FWD version at 45 miles per gallon in the city and 41 on the highway, and the AWD version at 44/40.

The new version also fixes the biggest drawback of the previous models. Gone is the hard-to-use touchpad on the center console that operates the infotainment system. The standard 12.3 touchscreen on the upper trim levels is much easier to operate when driving.

Toyota has long been a leader in safety, and all trim levels of the 2025 UX300h come standard with newest suite, Toyota Safety Sense 3.0 (TSS 3.0). It includes: Pre-Collision System with Pedestrian Detection; Full-Speed Range Dynamic Radar Cruise Control; Lane Departure Alert with Steering Assist; Lane Tracing Assist; Road Sign Assist; Automatic High Beams; and Proactive Driving Assist. Additional safety features are available on the higher trim levels.

In truth, the UX300h is more of a tall hatchback than a boxy SUV. That means it drives more like a car than a truck. My tester was a top-of-the-line model with the F Sport package and AWD. The combination made it feel frisky and nimble, making even short errands enjoyable. I have not tested the base FWD version yet, but I predict it is also fun to drive.

One feature some people might not like is the artificial exhaust sound pumped into the cabin in the Sport and Sport+ driving modes. Lexus calls it Enhanced Engine Sound and it mimics up and down shifts, even though the UX300h comes with a shiftless CVT. I found it amusing and far less intrusive than the one with the all-electric 2025 Hyundai IONIQ 5 N AWD that voted Best Performance and Best Electrified vehicle at the Drive Revolution 2024 competition by the Northwest Automotive Press Association.

The base Lexus UX300h FWD starts at $37,715. The UX300h F Sport Handling begins at $46,180. My tester included a few options that pushed the price to $49,545. That’s a lot for a subcompact anything, But its still thousands below the nearest competitor, the BMW X1, which is a “mild hybrid” that get less mileage.

Toyota deserves credit for persevering with hybrids and applying their technology across such a wide range of vehicles. If you’re in the market for a small but sporty vehicle that meets luxury standards, you should start with the 2025 Lexus UX300h.

2025 Lexus UX300h

Base price: $46,375 (FWD)

Price as tested: $49,545 (F Sport Handling AWD)

Type: Luxury subcompact crossover

Engine: 2.0-liter inline 4, two (FWD) or three (AWD) electric motors (196 hp)

Transmission: Continuously Variable Transmission

Drive modes: Eco, Normal, Sport, Sport+, Custom

EPA estimated mileage: 44/40 as tested

Overall length: 177 inches

Curb weight: 3,300 pounds

Final assembly: Miyawaka, Fukuoka, Japan