The Lexus TX Is Far More Expensive Than the Toyota Grand Highlander. Should It Be?

Last year, Toyota debuted a new three-row midsize crossover, the Grand Highlander. As is tradition, Lexus followed shortly after with its version, the TX. Both are excellent; we selected the TX for the GP100 last year. And both cars are exactly what each brand needed: a big, family-hauling SUV that isn’t a giant truck-based rig. 

The question is … which one you should buy? I drove both of them at first drive events and at home for a week to break down the key differences. 

The Lexus TX offers a more premium engine lineup

The Lexus TX and Toyota Grand Highlander basically share two engines. One is the base gas engine: a turbocharged 2.0-liter I4, putting out 275 horsepower in the TX and 265 hp in the Grand Highlander. The other is a turbocharged 2.5-liter inline-four hybrid, making 366 hp in the TX and 362 hp in the Grand Highlander. The tunings are ever so slightly different, but the distinctions in everyday driving feel negligible.

The difference comes with the third option. The Grand Highlander can come with a Prius-like 2.5-liter inline-four hybrid making 247 horsepower and delivering up to 36 mpg. The TX, instead, offers a top-of-the-line 3.5-liter V6 PHEV setup with 404 horsepower and up to 33 miles of EV range. After testing both, I think there’s a better case for going max-efficiency with the Grand Highlander than paying the steep price to level up to the TX’s PHEV. The Toyota’s top engine is a $2,980 step up; the Lexus’s is a $6,800 one.

The Lexus TX and Toyota Grand Highlander share two of their three powertrains.Photo by Tyler Duffy

Higher-end Lexus TXs pack more driving tech

Lexus emphasizes the Lexus Driving Signature. What it basically means is that every Lexus should drive like a Lexus. So, in that vein, the TX — at least in higher-end models — packs a bit more advanced driving tech than the Grand Highlander. 

The upper trim TXs can be fitted with Lexus’s more sophisticated Direct4 torque-vectoring all-wheel-drive system. The TX can also add rear-wheel-steering for easier maneuvering in tight spaces. The latter is helpful, but not essential; as for the former, well, you’re not driving a family hauler at the limits where the different AWD systems would make too much of a difference.

High-end Lexus TX models get some enhanced driving tech compared to the Grand Highlander. Photo by Tyler Duffy

The Lexus TX interior is a bit nicer

The Lexus TX and Grand Highlander interiors are both nice … but the TX feels a tad nicer inside. Lexus buyers can opt for a larger 14-inch touchscreen integrated with the infotainment display. Lexus climate controls have migrated to the touchscreen, offering a cleaner look (though I’d arguably take the Toyota’s buttons). Finishes in the TX are more premium, and there may be more sound deadening in the Lexus (but they’re both pretty quiet). 

However, Toyota fancied up the Grand Highlander to a higher level than a typical Toyota to compete with the Kia Telluride, Hyundai Palisade, and Mazda CX-90. The gulf between Toyota and Lexus is not as vast as between, say, a RAV4 and a Lexus RX. 

The Lexus TX interior may be a bit fancier than the Grand Highlander.Lexus

But the Grand Highlander is a much better value

The differences between the TX and Grand Highlander are subtle. But the price difference is anything but. The base Lexus TX starts at $55,050, $11,730 more expensive than the $43,320 base Grand Highlander. That difference grows as you move up the trim levels.

The 2.4-liter conventional hybrid is probably the best engine option on both vehicles. However, it costs $69,350 to get it in the TX, which is a $14,960 premium over the cheapest Grand Highlander finished with the same engine at $54,390.

For me, that’s too big of a jump for what amounts to bells, whistles and a more prestigious badge. And going hybrid Grand Highlander vs. gas TX for the same price feels like a much better deal. That said, many buyers will just want a Lexus whatever the cost — and opt for whatever TX they can get into.

Lexus

Toyota