In a region known for its extreme temperatures, high-speed highways, and discerning car buyers, hybrid vehicles in the UAE are facing their toughest tests yet. And once again, Toyota is emerging as the undisputed leader.
Recent data shows that the Toyota Camry, Highlander, RAV4, and Corolla Cross are retaining approximately 80% of their value after three years, a figure that outpaces most competitors and highlights the brand’s hybrid strength. These models are not only favoured for their fuel efficiency but also for practical factors like low maintenance costs, widespread service network, and consistent reliability, especially under the harsh Gulf climate.
| VEHICLES WITH HIGH RETAINING VALUES* | 1 YEAR | 2 YEAR | 3 YEAR | |||
| MAKE | MODEL | TRIM | FUEL TYPE | RV | RV | RV |
| TOYOTA | CAMRY | LE HEV | HYBRID | 92% | 88% | 84% |
| TOYOTA | HIGHLANDER | LE HEV | HYBRID | 91% | 87% | 83% |
| TOYOTA | RAV4 | EXR HEV | HYBRID | 92% | 87% | 81% |
| TOYOTA | COROLLA CROSS | LE | HYBRID | 89% | 83% | 80% |
| LEXUS | NX 350h | HYBRID | HYBRID | 81% | 78% | 73% |
| LEXUS | LS500h | PLATINUM | HYBRID | 88% | 76% | 71% |
| HONDA | ACCORD | HEV EXL | HYBRID | 76% | 75% | 66% |
| MERCEDES BENZ | C200 | STD | HYBRID | 78% | 72% | 65% |
| MERCEDES BENZ | S500 | STD | HYBRID | 69% | 63% | 61% |
| HYUNDAI | ELANTRA | SMART | HYBRID | 68% | 65% | 57% |
| LEXUS | ES300 H | PREMIER | HYBRID | 58% | 50% | 52% |
*Selection based upon vehicle models that have had a model release in each year.
Lexus: Luxury with Toyota’s Backbone
Lexus hybrids, particularly the NX 350h, are also proving their resilience. With a three-year residual value (RV) of 73%, the NX 350h has carved out a strong resale profile. While buyers may be drawn initially by the Lexus luxury badge, it’s the Toyota hybrid drivetrain underneath that anchors its long-term value.
Brand Power Isn’t Everything
Interestingly, not all premium or well-known brands are performing equally well. German and Korean hybrids, such as those from Mercedes-Benz and the Hyundai Elantra lineup, show weaker resale figures, hovering between 57% and 65% after three years. This suggests that when it comes to hybrids, the UAE market is prioritising reliability, maintenance ease, and familiarity over brand prestige alone.
Hybrids Outpace EVs on Resale
Another trend becoming increasingly clear is the widening resale gap between hybrids and electric vehicles (EVs). By the third year, hybrids show a far more stable depreciation curve. Buyers remain cautious about EV battery longevity, range anxiety, and overall costs. In contrast, hybrids strike a balance between modern fuel efficiency and the security of traditional fueling infrastructure.
Moreover, a hybrid’s resale value often hinges on documented service history. Vehicles backed by authorised service records and regular hybrid maintenance are more likely to sell quickly and retain higher value
Emerging Contenders: Range Extender Electric Vehicles (REEVs)
A new segment gaining traction in the UAE is Range Extender Electric Vehicles (REEVs). While still nascent, models like the ROX 01 (approx. AED 265,000), Li Auto L7 (AED 233,000), and the Exeed Exlantix ET (AED 200,000) are beginning to register consumer interest, despite many entering as grey imports.
These REEVs cater to growing demand for long-range driving (1,100–1,300+ km), SUV utility, and price points that compete directly with high-end hybrids. Search volume, early registrations, and consumer sentiment indicate that REEVs may soon become serious players, particularly among tech-savvy and range-conscious buyers.
AutoData is actively tracking this segment as it evolves, monitoring RV trends, service infrastructure, and adoption rates to better understand how these vehicles will perform over time.
The Bottom Line
In the UAE, hybrid resale value is less about luxury and more about proven reliability, trusted after-sales support, and cost-effective ownership. Toyota and Lexus continue to lead, not because they are trendsetters, but because they deliver where it matters most: peace of mind, low ownership costs, and strong resale value.
As new technologies like REEVs gain traction, the market may shift, but for now, hybrids remain the smart middle ground in a landscape caught between combustion familiarity and electric ambition.
By: Sebastian Fuchs, the Managing Director of AutoData Middle East