Toyota has officially launched its new all-electric bZ5 mid-size SUV in China, taking direct aim at Tesla’s Model Y — but at less than half the price. In a market where electric vehicle competition has become fierce, the Japanese automaker is relying heavily on local partnerships to bring affordable EVs to market.
The bZ5 is Toyota’s third battery-electric model in China, after the bZ3 and bZ4X. It has a starting price of 129,800 yuan (approximately €16,700), with the top trim not exceeding 159,800 yuan (approximately €20,600).
By contrast, Tesla’s Model Y, the dominant player in the mid-size crossover segment, starts at 263,500 yuan (€34,100) in China. That’s more than double the price of Toyota’s latest addition to its EV range.
Price war
With such competitive pricing, Toyota aims to win over budget-conscious Chinese consumers, many of whom are trading in internal combustion models for lower-cost electric vehicles.
It also signals Toyota’s intent to counter the pricing power of local juggernauts like BYD and Leapmotor, which are redefining the volume EV market. In particular, the former has triggered a fierce price war to help its dealers offload excess stock.
The bZ5 is built on Toyota’s e-TNGA platform, which is also shared with models like the bZ4X, Subaru Solterra, and Lexus RZ. But the bZ5 leverages key local partnerships to keep those costs.
For instance, it features BYD’s proven Blade Battery with lithium-iron-phosphate chemistry — available in 65.2 kWh or 73.9 kWh configurations — delivering ranges of 550 kilometers or 630 kilometers, respectively, according to the optimistic CLTC homologation cycle. Power is generated by a front-mounted 200 kW e-motor, also supplied by BYD.
Mirroring Model Y dimensions
Charging patterns remain competitive: Toyota claims a 30% to 80% fast charge in just 27 minutes with a 90 kW DC charger. The SUV is built in Tianjin, China, by FAW‑Toyota, the Japanese carmaker’s joint venture with First Automobile Works (FAW).
Design-wise, Toyota is banking on a blend of familiarity and conceptual looks. The bZ5 sports the brand’s “hammerhead shark” front-end styling, a coupé-inspired silhouette with a sloping roofline, and sleek LED lighting. Dimensionally, the bZ5 closely mirrors the Model Y, measuring 4,780 mm long with a 2,880 mm wheelbase. That’s nearly identical to Tesla’s proportions.
Lessons from Mazda?
Inside, the bZ5 offers a minimalist cabin anchored by a 15.6-inch central infotainment screen and a fully digital driver display. Despite the low price, the interior emphasizes both technology and comfort, featuring gesture controls, voice interaction, a JBL 10-speaker sound system, a panoramic glass roof, and a reclining ‘Nap Mode’ front seat.
The latter is a must-have in Asian markets, where cars are often used for leisurely purposes associated with homes. Additionally, a range of safety and driver-assist features is available, with Lidar sensors included on higher trim levels.
For the bZ5, it seems all too easy to outprice the Tesla Model Y, which remains the benchmark despite all. However, it faces more formidable rivals, such as the Leapmotor C10 and Deepal S07.
There’s no confirmation about a European career for the bz5. Perhaps Toyota can draw a lesson from Mazda’s playbook, which demonstrated with the 6e how Chinese-built cars can disrupt pricing strategies in Belgium, even in the face of punitive tariffs.
