The 2028 Toyota Corolla Radically Transforms with Four Powertrains and a New EV Model

Toyota is preparing a massive overhaul for the 2028 Toyota Corolla, transitioning the long-running compact sedan to a heavily reworked TNGA-C architecture that supports gas, hybrid, plug-in hybrid, and fully electric powertrains. Last year, the Corolla racked up 248,088 sales in the United States, making it the brand's fourth-bestselling model and the 11th-bestselling vehicle in the country. However, the current generation has been on sale in sedan form since 2020 and as a hatchback since 2019, leaving it vulnerable to mounting pressure from subcompact SUVs and refreshed rivals.

The next-generation Corolla is expected to arrive in 2027 for the 2028 model year, adopting a fastback roofline that could potentially replace the current hatchback model entirely. The cabin will draw heavily from a flashy concept car Toyota showcased in late 2025, featuring an airier design, larger screens, and simplified controls that eschew traditional buttons. This modernization is critical as the vehicle continues to battle compact competitors like the Honda Civic, Volkswagen Jetta, Hyundai Elantra, Kia K4, Nissan Sentra, and Mazda 3.

Unlike the Camry and RAV4, which have transitioned to hybrid-only lineups, the next Corolla will retain a pure-gas option. This entry-level model could utilize a new turbocharged 1.5-liter engine or a revised version of the current turbocharged 2.0-liter inline-four. For hybrid buyers, Toyota is pairing a new 1.5-liter four-cylinder engine with an electric motor to generate a combined 134 horsepower, with the gas engine contributing 94 hp and the electric motor adding 40 hp. This setup is estimated to be 10 to 20 percent more efficient than the current model, and an all-wheel-drive variant featuring an additional e-motor on the rear axle is also possible.

The lineup will expand further with the introduction of a plug-in hybrid (PHEV) model, which will feature a larger battery for extended electric-only driving. Finally, Toyota plans to launch a fully electric Corolla, though its availability in the U.S. market remains unconfirmed. If the EV variant does arrive stateside to compete with affordable EVs like the Nissan Leaf, it is expected to offer single- and dual-motor configurations with at least 250 miles of range.

Performance enthusiasts will not be left behind, as the Corolla is expected to spawn another sporty GR-badged variant. This high-performance model will reportedly be powered by a new turbocharged 2.0-liter four-cylinder engine capable of producing up to 395 hp. Keeping the broader lineup affordable remains Toyota's primary focus, with the current gas version starting around $25,000 and the hybrid model priced near $27,000. The upcoming PHEV and EV models are expected to target the $30,000 range.

While competitors like Ford and GM have largely abandoned the compact sedan market in favor of high-margin SUVs, Toyota is doubling down by offering a powertrain for every conceivable buyer. The aggressive $30,000 target for the EV and PHEV models could make the Corolla the ultimate bridge vehicle for consumers hesitant about full electrification, especially as the broader EV market experiences cooling demand. By retaining a pure-gas option alongside a 395-hp GR variant, Toyota is ensuring the Corolla remains relevant to both budget-conscious commuters and driving enthusiasts.