What's the difference?
Honda used to be a big deal in Australia back in the 1990s and early 2000s but I wouldn’t be surprised if it’s moved off your radar in recent years.
The Japanese carmaker has seemingly fallen out of favour in the last few years following its move to an agency retail model which negates haggling on price with dealers.
However, Honda is making a resurgence and it’s putting a heavier focus on hybrid power.
The ZR-V small-to-medium SUV has been updated for 2026 and picks up new, more affordable hybrid trims, among other minor tweaks. Read on to see if this car should be on your shortlist.
The Toyota RAV4 is arguably Australia’s darling and has been for years. It’s long set the benchmark in the mid-size SUV segment - a position rivals like the Hyundai Tucson, Kia Sportage and Mazda CX-5 would love to occupy.
It’s also been close to a decade since we’ve seen anything new from the RAV4, so expectations for this sixth-generation update are understandably high. For this family review, we’re testing the flagship Cruiser Hybrid 2WD, which brings the most features and the biggest price tag in the line-up.
On paper, it promises meaningful upgrades, particularly in technology and refinement, while holding onto the practicality and efficiency that made it so popular in the first place.
But with stronger competition and rising expectations in this segment, the question is no longer whether the RAV4 is good, it’s whether it’s done enough to stay at the top.
The Honda ZR-V has always been an engaging and fun car that’s the right size for many people. The frugal hybrid powertrain has always been the pick too.
It’s great that Honda has finally introduced more affordable hybrid trims with this update which addresses one of my biggest criticisms of this car previously.
If you’re willing to forgo some luxury features, this entry-level hybrid trim is a fantastic car that still offers enough creature comforts to be driven daily.
Hopefully Honda has some renewed sales success with this car as I believe it’s a clear benchmark for the segment.
The new Toyota RAV4 Cruiser Hybrid 2WD builds on what made it so popular in the first place. It’s easy to drive, efficient and well equipped, with enough features to suit a wide range of buyers.
The updated technology is a clear step forward and lifts the overall experience, but there are still elements that feel out of step with the flagship positioning, particularly the use of hard plastics and some less refined finishes. Even so, it remains a practical and well-rounded option in the segment.
The exterior of the ZR-V has always left me feeling quite… meh. It’s a mundane and generic look that doesn’t stand out from the crowd, but that's no bad thing because not everyone wants a flashy car.
That said, I’m still not a fan of the front grille, which makes it look like this car has a moustache.
The dark red paint looks nice, though when it’s paired with these generic-looking grey alloy wheels and black wheel arch cladding, it cheapens the look. The top-spec e:HEV LX looks more attractive.
Inside, it’s similarly standard and doesn’t break the mould. Everything is where you’d expect it to be, which is great for functionality.
The wildest part of the interior is the centre tunnel which features a push-button gear selector and a split console section including a small storage area underneath that’s big enough for a phone.
Looking around, it’s a sea of black finishes, which is a bit boring. However, I do like the mesh panel that spans the dashboard and houses the air vents. It’s a premium touch.
The previous RAV4 had a distinct, unmistakable look, particularly from the rear but the new design feels a little more subdued by comparison.
It leans into a more conventional SUV shape, with a front grille that borrows heavily from the HiLux, including a strong use of body-coloured panelling. It still presents well at the kerb, but it doesn’t quite have the same standout presence as before.
Inside is where the biggest changes have happened. The dashboard sits lower, there are more storage cubbies and the new displays modernise the space nicely. There are fewer physical buttons than before, with some seat and climate controls now integrated into the touchscreen. It’s not my preference, but overall the layout remains intuitive and easy to navigate.
Looking around the cabin, it still feels very Toyota in its execution. There’s a noticeable use of plastics, even in this flagship grade, though there are enough soft-touch areas to keep things feeling solid and well put together.
One small drawback is the dual-opening, reversible centre console lid as it tends to squeak and doesn’t feel quite as robust as the rest of the interior.
In base-model form, it’s expected the ZR-V will have fabric upholstery. However, the seats still feel premium and are deliciously padded. They’re manually adjusted but I was still able to find a good driving position with ease.
One feature I was looking for was heated seats, especially on these brisk Melbourne mornings. It’s rare for a car with fabric seats to get heated seats, though. If you want them that badly, they’re available on higher trims.
Ahead of the driver is a leather-wrapped steering wheel which feels lovely. I particularly like the tactile feel of the buttons and switches.
The digital instrument cluster is clear and crisp. It offers multiple views to customise it, as well as a range of infographic pages to cycle through. I wish you could see the fuel consumption and hybrid system graphics at the same time, but thankfully they’re just a single scroll away from each other.
Moving across, the central touchscreen multimedia system is looking a small in 2026, measuring only 9.0 inches, although it’s still high-resolution and the colours are vibrant.
It appears computing power has been given a boost along with the integration of Google Built-in, as jumping from menu to menu has never been snappier.
Speaking of Google Built-in, it’s great to have the flexibility of using the integrated Google Maps and apps like Spotify and Apple Music, without needing your phone.
However, it’s still nice having Apple CarPlay and Android Auto, though the latter is strangely only offered in wired form. With my iPhone 15 Pro Max, the wireless connection was rock solid, though known interference points did cause CarPlay to stutter.
It’s great to see Honda retaining a physical climate control cluster as it’s intuitive to use. The dials in particular have a satisfying click when twirled.
In terms of storage there are two cupholders, two USB-C ports, a big centre console box, as well as an adequately sized glove box. It’s worth noting this trim level forgoes a wireless charger, meaning you’ll need to plug in to charge your phone.
Moving to the second row, there’s a surprising amount of space, even for adults. At a leggy 182cm, I have plenty of legroom and headroom.
You would easily be able to get two adults in the second row, though you’d be pushing it to fit three as the middle seat is narrow and raised. Kids will be fine, though.
Adding to the annoyance of the middle rear seat, the seat belt is mounted from the roof, which can obstruct rear visibility.
In terms of amenities there are air vents on the back of the front centre console, two USB-C ports, map pockets on the back of each front seat, as well as a fold-down centre armrest with cupholders.
There are also ISOFIX points on the two outboard seats, as well as top-tether child seat anchorages on all three rear seats.
Around the back it’s expected the entry-level hybrid will feature a manually operated tailgate. It’s light to open and close.
With the rear seats upright there’s 380L of boot space available, which is decent for this size of car. This figure includes a small underfloor section.
If you fold the rear seats the boot space expands to 1312L, which is cavernous for this type of car. The rear seats cleverly fold forwards and down at the same time, creating a seamless flat floor.
Boot-related amenities include a number of hooks, a 12V socket plus some lights. As is the case with many hybrids, the ZR-V e:HEV doesn’t come with any spare wheel. You need to make do with a tyre repair kit, which is nowhere near as handy if you have a proper puncture away from a tyre repair shop.
As far as mid-size SUVs go, the Toyota RAV4 still hits a solid beat when it comes to overall practicality. It doesn't get everything right but it does enough.
The space up front is generous and the seats are comfortable, especially with their added heat and ventilation functions. Access is decent enough with wide door apertures and an easy ground clearance and the only drawback is the high lip in the footwell, which can catch your foot slightly when getting out.
Storage is a highlight due the sheer number of options with a deep middle console, centre trays, sunglasses holder and dashboard shelving. Add in a couple of cupholders and drink bottle holders and it shouldn't be difficult to keep the cockpit tidy.
In the second row, there’s plenty of space for adults, with good leg- and headroom and a seat that’s supportive enough for longer trips. The leather trim feels nice, and practical touches like large map pockets and cupholders are appreciated.
However, for a flagship grade, it feels a little underdone on features. You get rear air vents and USB-C ports, but miss out on things like climate control, sunblinds and more thoughtful storage solutions. There are two ISOFIX points and three top-tether anchors, though realistically two child seats will fit best.
As mentioned, the technology upgrades are a big step forward. The new multimedia system is clean, responsive and easy to use, and while wireless Apple CarPlay can get confused if you have multiple device connections stored, it works seamlessly once pared back to one.
There’s built-in satellite navigation, a highly customisable digital instrument cluster that can display directions, and a solid mix of charging options including dual wireless pads, a 12-volt socket and four USB-C ports (two in each row).
Around the back, the boot is well-shaped and easy to load, with a claimed 705L of capacity when measured to the roofline. A powered tailgate, 12-volt socket and temporary spare tyre all add to its usability.
That said, the adjustable boot floor and cargo cover feel a bit flimsy and awkward in practice, which is slightly at odds with the otherwise practical and family-friendly focus.
Honda has shuffled the ZR-V line-up for 2026, decreasing the petrol variants to a single, entry-level trim, while increasing the hybrid grades from one to three.
On test here is the ZR-V e:HEV X, which is the cheapest hybrid. It’s priced from $43,400, drive-away, which is $3500 more than the base petrol trim and $8500 less than the top-spec hybrid option.
This is priced keenly against entry-level versions of the Hyundai Kona Hybrid and Toyota Corolla Cross Hybrid, while undercutting the Nissan Qashqai e-Power hybrid.
For the price you get standard 18-inch alloy wheels, adaptive LED headlights, a 10.2-inch digital instrument cluster, a 9.0-inch touchscreen multimedia system with wireless Apple CarPlay and wired Android Auto, dual-zone climate control and cloth upholstery.
Now standard across the ZR-V line-up is Google Built-in which allows for Google Maps integration, the Google Assistant, plus you can download a number of apps, including Spotify, from the Google Play Store.
If you’re after features like a power tailgate, premium sound system, wireless charger, leather upholstery, plus heated seats with electric adjustment, you’ll need to look higher in the line-up. These are largely all nice-to-haves than musts, anyway.
There are six grades available in the new RAV4 line-up, split across a hybrid powertrain for now, with a plug-in hybrid set to join the range soon. We’re in the flagship Cruiser FWD hybrid for this family test, which is priced from $56,990, before on-road costs, and yes, that’s creeping close to $6.0K more than the outgoing model.
But here’s the twist, it’s still one of the more affordable options compared to its nearest rivals. The Hyundai Tucson Hybrid Premium starts at $58,350 MSRP, while the Kia Sportage GT-Line Hybrid FWD jumps significantly higher at $71,540 MSRP.
Even the Mazda CX-5 Akera, which sits in the same segment from $54,990, doesn’t offer a hybrid powertrain. So while the price hike stings a little, the value argument still stacks up.
Straight outta the gate, the biggest glow-up is the tech. The new 12.9-inch touchscreen runs Toyota’s 'Arene' operating system, bringing cleaner graphics, a more intuitive layout and over-the-air updates. It’s not as flashy as some rivals, but it’s a big step forward from the outgoing system and it’s easier to live with day-to-day.
There’s also a refreshed 12.3-inch digital instrument cluster, wireless Apple CarPlay and Android Auto, a colour head-up display and a digital rearview mirror.
Add in the nine-speaker JBL sound system, dual wireless charging pads, four USB-C ports and built-in satellite navigation and you have a nicely rounded tech package.
Being the flagship, the Cruiser leans into the premium feel with heated and ventilated electric front seats, leather upholstery, heated rear outboard seats and a panoramic moonroof. But interestingly, those last two are the only standout upgrades over lower grades.
Practical items include a powered tailgate, 12-volt socket and a temporary spare tyre but you miss out on some top-grade items in the second row that you might expect. Like climate control, device pockets and sunblinds. Omissions families will notice.
Power in the ZR-V hybrid continues to come from a 2.0-litre four-cylinder petrol engine with two electric motors. Total system outputs are 135kW and 315Nm.
This is sent to the front wheels only via an electronic continuously variable transmission (eCVT).
The Honda hybrid system positions the engine primarily as a generator for the battery pack at lower speeds, however once you reach 60-70km/h it can couple with the front axle and directly power the wheels.
It’s a smart system that allows for an electric zippy feel at lower speeds with the backing of a petrol engine at higher speeds.
Under the bonnet, the RAV4 pairs a 2.5-litre four-cylinder petrol engine with an electric motor as part of its updated hybrid system. Toyota doesn’t quote a combined torque figure, and total power has dropped slightly to 143kW, down 17kW from the previous front-wheel drive variant.
On paper, that reduction might raise a few eyebrows, but in practice it’s not something you notice often. What is more apparent is the improvement in refinement, with smoother transitions between electric and petrol power that make the overall driving experience feel more polished.
Honda claims the ZR-V hybrid consumes an average of 5.0L/100km on the combined cycle, according to ADR testing.
In practice, I’ve seen way less than this, which is fantastic. On one particular drive around the city I achieved a mind-boggling average of 3.7L/100km, but my overall average hovered around 4.5L/100km.
There is a 57L fuel tank and a minimum of 91 RON regular unleaded petrol is required.
You should easily be able to travel more than 1000km per refill, so don’t expect to be visiting servos very often.
Efficiency remains a strong point for the RAV4. Toyota claims a combined cycle (urban/extra-urban) fuel consumption figure of 4.5L/100km, and with a 55-litre fuel tank, that equates to a theoretical driving range of over 1000km.
In the real world, my average came in at 5.5L/100km across a mix of urban and open-road driving, which is an impressive result. The only caveat is Toyota’s recommendation for 95 RON premium fuel, which may add slightly to running costs over time.
The ZR-V’s hybrid powertrain has oodles of zip, thanks to there being two electric motors which handle a lot of the low-speed grunt.
It’s surprising how much of the driving can be done on electric power alone, provided there’s enough battery charge. Even at highway and freeway speeds the engine will switch off and coast on electric power alone.
When the petrol engine kicks on, you can barely feel it in the cabin or through the accelerator pedal. Instead you’ll only hear a familiar CVT-like drone as the engine charges the battery.
The petrol engine drone is noticeable but the note it makes more pleasant than a Toyota hybrid. Plus when you push the accelerator that bit harder it pretends to shift through gears, making the driving experience more engaging.
At higher speeds there’s plenty of oomph as the petrol engine and electric motors work in tandem. It feels like the powertrain is never stressed, making for an effortless touring feel.
There are a number of different regenerative braking modes accessed via the paddle shifters. The default is the weakest which allows you to coast more like a regular, pure-combustion car.
You can ramp up the intensity of the regenerative braking but there is no 'one-pedal' driving mode and you’re required to use the brake pedal to come to a complete stop.
From the driver’s seat you have a commanding view of the road ahead thanks to the elevated driving position. There are also large side mirrors and a big rear envelope, giving good all-around visibility.
Around town the ZR-V has a nimble feel thanks to its light-ish steering. This translates to a dynamic feel with a touch more weight out on the open road.
It’s surprising how engaging and fun this car is to drive, especially because it’s a regular SUV with no obvious sporty characteristics.
The suspension errs towards soft, but this helps soak up sharper bumps. This car never feels uncomfortable from behind the wheel which is at least partially down to the 18-inch alloy wheels being the right diameter for a car of this size.
On the road, the RAV4 Hybrid 2WD performs confidently across most situations. It can sound a little strained when pushed hard, but there’s enough power on tap to keep up with traffic without issue.
The ride leans towards slightly firm, paired with responsive steering that gives it a more controlled feel through corners than you might expect. It remains stable at speed and around town feels punchy and easy to drive.
For those who prefer a stronger regenerative braking effect, switching to 'B' mode adds a noticeable increase, which works well in urban traffic. Refinement is another highlight. It’s impressively quiet on the move, even at highway speeds and feels well suited to longer trips.
One of the standout improvements is the 360-degree camera system. Where the previous version fell short, this one is clear and easy to use, making parking straightforward.
The Honda ZR-V received a four- out of five-star ANCAP safety rating based on testing conducted by Euro NCAP in 2023.
Despite this, the entire line-up is stacked with standard safety equipment. Highlights include 11 airbags, autonomous emergency braking (AEB), blind-spot monitoring, rear cross-traffic alert, lane-keep assist, adaptive cruise control, front and rear parking sensors as well as a reversing camera.
It’s worth noting a surround-view camera is reserved for the top-spec hybrid trim only, which is a little annoying.
However, the ZR-V doesn’t have any annoying beeps and bongs that play while you’re driving. All the safety systems are well calibrated and only interact or engage when required.
Due to myriad delays, Toyota wasn’t able to submit the new RAV4 for testing with ANCAP before the new and more stringent 2026 protocols kicked in, and thus it’s unrated for now, with a yet-to-be-detailed upgrade to come later to meet the stricter standard.
For now, it has a strong suite of safety equipment included, like eight-airbags, side exit assist, front and rear cross-traffic alert and emergency phone call capability. The adaptive cruise control is one of the better systems I’ve used in a long time and only the driver monitoring is annoyingly intrusive, otherwise the safety stuff seems well-calibrated for everyday use.
Other safety equipment includes lane departure warning, lane keeping aid, active steering assist, traffic sign recognition, and forward collision warning. There is also autonomous emergency braking (AEB), car, pedestrian and cyclist detection and junction turning assist.
For families there are two ISOFIX child seat mounts and three top-tether anchor points.
ZR-V owners receive a five-year, unlimited-kilometre warranty as standard, whereas the high-voltage battery is covered for eight years.
If you service at Honda dealers when required, however, the standard warranty coverage is extended to eight years. This is more on par with many mainstream brands.
Speaking of servicing, it’s required every 12 months or 10,000km. The latter may be troublesome if you do a lot of kilometres.
The first five services are capped at $199. This is very affordable and on par with Toyota.
There are close to 90 'Honda Centres' across the country covering state and territory capitals as well as key rural and regional centres.
The RAV4 is backed by Toyota’s five-year, unlimited-kilometre warranty, which now sits slightly behind some rivals offering longer coverage (upwards of seven-years on some).
Servicing is more competitive. A five-year capped price program comes in at $1625, averaging $325 per visit, with intervals set at 12 months or 15,000km. That’s well priced for the segment.
You also get complimentary roadside assistance, which is service-activated, along with a one-year subscription to the 'myToyota Connect' app. This allows remote access to functions like climate control and locking or unlocking the vehicle, adding a layer of convenience.