Toyota Seriously HAS NO MORE CARS | How Did This Happen? (UPDATE) | Episode 1094

This is about Toyota increasing production capacity in the United States for the RAV4. The episode frames it as a response to demand—specifically for hybrid crossovers—so it’s a supply-and-demand story rather than a technical deep dive.

A hybrid crossover is a crossover SUV that uses both an internal-combustion engine and an electric motor. The “hybrid” part is about how the powertrain can blend or switch between power sources to improve efficiency compared with a purely gas vehicle.

The Toyota RAV4 is a compact crossover SUV, and the 2026 model is the redesigned version being discussed here. This segment ties the redesign to strong hybrid demand, implying Toyota is ramping production in response to customer interest.

A waiting list is a dealer practice used when demand for a specific model exceeds available inventory. Here, the hosts connect the waiting list to production constraints—specifically that Toyota can’t keep up with production of the redesigned, all-hybrid RAV4.

The Toyota Land Cruiser is a full-size, body-on-frame SUV known for serious off-road capability and long-distance durability. It often comes up in discussions about “what’s going on in Toyota land” because it represents the brand’s rugged, expedition-focused side. In a podcast, it’s a useful reference point when talking about Toyota’s lineup and demand for different types of vehicles.

A hybrid vehicle uses both an internal-combustion engine and an electric motor. In practice, that can improve efficiency and help smooth out stop-and-go driving, which is one reason hybrids have become especially popular in high-demand models like the Toyota RAV4 mentioned here.

“Changing the lines over” refers to retooling or switching an assembly line to build a redesigned vehicle. The hosts suggest that during the RAV4 redesign transition, Toyota paused production for about six weeks, contributing to the shortage and longer waits.

A “markup” is when a dealer charges more than the vehicle’s typical selling price (often above MSRP) due to demand and limited supply. During shortages, markups can become common because buyers have fewer alternatives. This segment praises a dealer for not applying markups.

In dealer-speak, “added” refers to extra charges or add-ons tacked onto a vehicle purchase beyond the base price. These can include accessories or mandatory dealer-installed items that raise the out-the-door cost. The speaker contrasts this with dealers who avoid markups and added fees.

“Production ramped up” means automakers increase manufacturing output to build more vehicles. When a brand is supply-constrained, ramping production can shorten wait times and reduce the market pressure that drives up prices. The question here is whether waiting for higher production would help RAV4 buyers.

An out-the-door price is the total amount you pay to buy the car, including the vehicle price plus required fees and taxes. It’s useful because it lets you compare dealers on the real final number, not just the sticker price.

Dealer add-ons are extra products or services added to a deal—often after the base price is set. They can include things like protection packages, accessories, or other dealer-installed items that raise the total cost.

A trade-in is when a buyer gives their current vehicle to the dealer and applies its value toward the purchase of a new car. The host is contrasting trade-in customers with service customers and Toyota customers amid supply/availability issues.

Service customers are people who primarily interact with a dealer through maintenance and repairs rather than buying a new vehicle. In the segment, they’re grouped with trade-in and sales customers to discuss how Toyota’s current situation affects different customer types.

Cross-shopping is when a buyer compares multiple brands/models before deciding. The host uses it to describe shoppers who might consider Mazda or Subaru if Toyota inventory or delivery timing is worse.

A car being towed out implies the buyer’s current vehicle is no longer usable, forcing them to find transportation quickly. The host is describing how sudden timing pressure can make shoppers accept whatever car is available in the right segment.

The Toyota Corolla Cross is a compact crossover SUV built on the Corolla platform, targeting buyers who want SUV-style space with a smaller footprint. It’s relevant in your context because it’s being grouped with other Toyota models that might better match what shoppers are looking for. In podcasts, it often comes up when discussing which vehicles fit specific needs like size, practicality, and budget.

The Toyota Highlander is a midsize three-row SUV (often compared to other family-focused crossovers). In this segment, it’s mentioned as another Toyota option that could be more readily available in a shorter time frame.

EV stands for electric vehicle, meaning the car is powered primarily by an electric motor and a battery rather than a gasoline engine. In this discussion, the host is contrasting EVs with hybrid options because the buyer finds it painful to get in and out of the EV they currently drive.

“Miles to the gallon” (MPG) is a fuel-economy measure that tells you how far a vehicle can travel on one gallon of fuel. The host notes the Signia can reach about 38 MPG, but only when driven in a way that keeps consumption under control.

EVs means electric vehicles—cars that are powered primarily by an electric motor drawing energy from a battery. The host’s point is that, compared with a hybrid, today’s EVs can have practical downsides related to charging time.

MSRP (Manufacturer’s Suggested Retail Price) is the sticker price a carmaker recommends dealers sell a vehicle for. In this segment, the host explains that many Toyota models are selling at or near MSRP due to supply constraints, while some deals may be a small discount off MSRP.

The Toyota Crown is a premium-leaning Toyota model that’s typically less common than mainstream nameplates like the RAV4. Here, the host suggests you may find better pricing on the Crown than on other Toyotas, depending on availability and timing.

“Administrative EV” appears to be the host’s shorthand for an administrative fee (the “EV” is likely a transcription error or local phrasing) that gets added to the sale price. The key point is that even when a car is priced at MSRP, there can be an extra fixed add-on fee (quoted here as $299).

This is a “total ownership” mindset: the host argues that the best deal isn’t only the purchase price, but also the quality of service before and after the sale. In practice, that can mean how responsive the dealer is, how warranty/service work is handled, and how easy it is to get maintenance done.

A buyers market is a market condition where shoppers have more leverage—often because supply is higher than demand—so sellers may need to offer discounts or incentives. The host uses it to suggest truck pricing could be favorable right now.

The Toyota Tundra is Toyota’s full-size pickup truck, and this segment focuses on a specific reliability controversy tied to its engines. The hosts say Toyota replaced affected engines with brand-new units at no cost, which is a major customer-impacting response for a truck model.

The Toyota Tacoma is Toyota’s mid-size pickup truck, mentioned here in the context of current pricing and incentives. The host contrasts Tacoma and Tundra discounts, implying the truck market conditions are influencing what buyers pay.

Rebates are manufacturer-funded discounts that reduce the purchase price of a vehicle, usually tied to specific models, trim levels, or time windows. In this segment, rebates are discussed alongside discounts on the Tundra, suggesting incentives are part of the current sales strategy.

In automotive context, a reliability issue is a problem that causes unexpected failures or defects over time, rather than just cosmetic or short-term annoyances. The host frames the Tundra engine problem as the biggest reliability concern for Toyota, even though it affected a very small fraction of trucks.

A recall is when a manufacturer notifies owners that a safety-related (or emissions/major defect) problem requires a fix, typically at no cost. The hosts reference Toyota recalling and replacing engines on over 100,000 vehicles, framing it as a major event that affected trust and brand perception.

Engine replacement in a recall means the manufacturer’s remedy is not just a software update or small part swap—it’s swapping the powerplant to eliminate the underlying defect. That’s a costly, high-impact fix, and the hosts emphasize it as an expensive proposition compared with smaller repairs.

Yahino Motors is referenced as a company tied to the Toyota situation the hosts are discussing. The context suggests it was involved with subsidiary-related issues, which the hosts connect to how problems can spread through corporate supply/operations.

“Frame issues” refers to problems with the truck’s body-on-frame structure—typically corrosion or cracking in the frame rails. Because the frame is the main structural backbone, damage can affect safety and the vehicle’s long-term integrity, which is why manufacturers sometimes offer frame replacements or special payouts.

Book value is an accounting estimate of a vehicle’s worth, often tied to depreciation schedules rather than what the car sells for today. Here, the speaker says Toyota’s payouts were a high percentage above book value, meaning owners (or buyers) could receive more than the car’s “paper” value.

XSE is a trim level on the Toyota Camry that typically sits above the base models and adds more features. Here, the host is pointing out that you can get an AWD XSE with many options, which helps explain why the price can climb.

All-wheel drive (AWD) sends power to all four wheels instead of just the front or rear. The host is using AWD as part of the example of how a modern Camry can be configured with more capability and options than earlier versions.

LE is a Camry trim designation that generally represents a lower or entry-level configuration compared with higher trims. The host uses “basic LE” to set up a comparison between what a stripped-down Camry used to include versus what a modern base Camry includes.

Floor mats are removable coverings for the vehicle’s footwell area. The host mentions them to illustrate how even small accessories can affect the “what you get” comparison between older and newer cars.

Airbags are supplemental restraint devices that deploy rapidly during a crash to help reduce injury. The host contrasts the older Camry having “two airbags” with the modern Camry having “10,” emphasizing how safety equipment has expanded over time.

Gulf States Toyota is mentioned as a Toyota distributor/dealer group in the Gulf States region. The speaker links it to JM&A and uses that relationship to explain how distributor-installed options can affect the final “out-the-door” price.

JM&A is referenced as a company involved in Toyota distribution in the Gulf States region, with a relationship to “Gulf States Toyota.” In this context, the speaker is tying distribution/distributor behavior to how add-on options and pricing are handled.

“Port installed options” are add-ons installed after the vehicle arrives at the port (typically by the distributor/dealer supply chain), not during Toyota’s factory build. Because they’re dealer/distributor-controlled, they often come with extra cost and can inflate the final price compared with factory-installed equipment.

“Distributor installed options” are add-ons installed by the distributor/dealer supply chain rather than at the factory. They’re closely related to port-installed options and can be a major driver of price differences between listings that look similar on paper.

A “factory option” is equipment ordered and built into the vehicle at the manufacturer’s plant. Since it’s part of the original production process, it’s generally easier to verify and compare across listings, and it typically doesn’t carry the same “dealer-added” markup dynamics as port-installed items.

“Toyota regions” refers to how Toyota and its dealer network are organized into geographic territories that can have different policies and programs. In this segment, the host claims that financing and lease handling differ between regions (Kansas vs Southeast), which can affect whether a dealer can process a lease return or transfer.

A “lease” is a financing arrangement where you pay to use a vehicle for a set period, with the option to return it at the end rather than owning it outright. The host connects lease handling to regional Toyota programs, explaining why some leases can’t be transferred or unwound across regions.

“Options” are factory-installed equipment packages (like infotainment, driver-assist features, or interior trims) that can be ordered in different combinations. When the host says Toyota “option their cars,” they mean the factory builds cars with specific option sets that can vary by region and dealer ordering patterns.

The Toyota Camry is a mainstream midsize sedan that’s especially common in rental fleets and used-car markets, so it often shows up in trade-ins. In this segment, the host uses a “three-year-old Camry” as an example of how different trim/option packages can appear depending on where the car was sold.

Florida is mentioned as a key region where the host’s example dealership (Earl Stewart Toyota) operates. The broader point is that cars sold in certain states can end up with different option combinations due to regional ordering patterns.

Georgia is paired with Florida as part of the region where the host says certain Toyota dealers are located. This supports their argument that cars can be “mixed” across regions, affecting what option combinations you see in local trade-ins.

A primary marketing area (PMA) is a manufacturer-defined region where a dealer is expected to sell and market vehicles. The host is arguing that cars can be “mixed” across regions—so if you’re outside the PMA, you may see option combinations that are less common locally.

“F or D-rated dealers” refers to a dealer grading/rating system used by the hosts (and/or their organization) to score dealerships on criteria like transparency. The point here is that some regions have dealers with worse ratings, which the host links to how cars and option mixes show up in trade-ins.

“Short supply, high demand” describes a market imbalance where not enough vehicles are available while buyers want them badly. That imbalance often leads to dealers and distributors finding ways to earn more per sale, such as through markups or add-ons.

The Toyota Corolla is a compact sedan that’s long been associated with low cost of ownership and strong mainstream demand. Here it’s mentioned alongside the Camry as one of Toyota’s most affordable, sought-after cars—raising the question of whether Toyota will increase production to help affordability.

In automotive retail, “allocation” refers to how a manufacturer assigns limited production units to specific dealers or regions. If a dealership isn’t allocated enough Corollas, it can’t sell more Corollas than competitors even if local shoppers want them.

Ackerman Toyota is a Toyota dealership referenced as the local seller in the St. Louis market. The hosts use it to illustrate how regional supply planning affects what inventory a specific dealer can sell.

In auto retail, “allocations” are how a manufacturer distributes limited production to regions and then to individual dealers. When demand exceeds supply, allocations determine which dealers get more cars and which get fewer, directly shaping local inventory.

Damon Rose is identified here as the vice president of sales for Toyota North America. His quote is used to support the discussion about how Toyota is managing supply and dealer allocations during a period of constrained inventory.

Toyota North America is the regional organization responsible for Toyota’s sales and distribution across the continent. In this segment, it’s the context for Damon Rose’s role and the supply/allocation decisions being discussed.

Inventory turnover is how quickly a dealer sells through its stock over a set period. When the hosts say they’re turning almost 97% of RAV4 inventory monthly, they’re highlighting extreme sales velocity that leaves little available for customers to test-drive or buy immediately.

In car retail, deposits are payments customers put down to reserve an incoming vehicle allocation. The host’s example—800 deposits for incoming RAV4s—illustrates how many buyers can be waiting before cars even arrive at the dealership.

El Monte, California is where the host places the example dealership (Longo Toyota) to explain how deposits and incoming supply can be hard to track. It’s a real-world dealer location used to ground the inventory and demand discussion.

A “Penske store” refers to a dealership operated under Penske’s dealership group umbrella. The host uses this to suggest the dealership has enough volume and process to manage large numbers of incoming deposits, yet still struggles with tracking and availability.