Toyota’s electric vehicle strategy is gaining momentum in the United States. After years of cautious moves in the EV space, the automaker is now seeing strong demand for its bZ electric crossover, which is quickly climbing the country’s EV sales rankings.
Early 2026 numbers suggest Toyota could soon become one of the strongest non-Tesla players in the U.S. electric vehicle market.
Strong Sales Start the Year
Toyota reported 10,029 bZ units sold in the U.S. between January and March 2026. That result represents a 79% increase compared with the same period last year.
Because of that growth, the electric crossover is now positioned to become the best-selling non-Tesla EV in the U.S. for the first quarter of 2026.
The strong performance highlights how quickly Toyota’s EV efforts are gaining traction.
Beating Major EV Rivals
Toyota’s rising sales place the bZ ahead of several popular electric models.
Hyundai sold 9,790 Ioniq 5 vehicles during the same period, while Chevrolet delivered 9,589 Equinox EVs. Meanwhile, Ford reported 4,600 Mustang Mach-E sales in the first quarter.
Tesla still leads the U.S. EV market overall with its Model Y and Model 3. However, among traditional automakers, Toyota’s electric crossover is now one of the top performers.
A Challenging Market for EVs
Toyota’s progress comes during a slower period for the U.S. EV market.
Industry estimates from Cox Automotive show that electric vehicle sales dropped about 28% in the first quarter of 2026, falling to roughly 213,000 units.
Several factors contributed to the decline. Some automakers have adjusted their EV plans, while changes in federal incentives have also affected demand.
As a result, EVs accounted for around 5.8% of the total U.S. vehicle market, slightly lower than the year before.
Toyota Expands Its Electric Lineup
Despite the broader market slowdown, Toyota plans to accelerate its EV rollout.
The company expects to launch three additional electric models in 2026, expanding its presence in key segments.
Industry analysts believe this expanded lineup could help Toyota strengthen its position in the EV market even further.
For a brand once criticized for moving slowly into battery-electric vehicles, Toyota’s recent momentum shows that the competition in America’s EV market is evolving quickly.
