With the all-electric Highlander appearing earlier this year, all eyes were on Lexus and what the luxury brand would do in response. Thankfully, Lexus didn’t make us wait too long and has unveiled the 2027 TZ as it prepares to enter the all-electric luxury SUV wars

TZ rounds out the alphabet at Lexus

The TZ is supposed to be the brand’s first all-electric three row SUV and its moniker is no accident, with the TZ perhaps being seen as a leap of progress over the TX both in the alphabet and what it brings to the table. The exterior styling has unique body panels and while the platform is shared with the Highlander, the TZ’s styling is distinct and comes bundled with its own identity.

The TZ is roughly the same size as the gas powered LX, but the 200.8 inchlong EV gets a revised version of the TNGA platform that allows the TZ to push the wheels further outward. This slight increase in space is also more than what you get in the Highlander. Despite the boxy shape, the TZ has a low drag coefficent of 0.27 thanks to its redesigned side mirrors and flush door handles.

TZ gets EV power and range

The biggest difference between the TZ and its Highlander counterpart is the drivetrain. Unlike the Highlander which will be sold with front-and all-wheel drive in the United States, the TZ will only be available with a dual-motor setup that allows it to have standard all-wheel drive. Lexus USA didn;t disclose final horsepower figures, but their global counterparts in Japan revealed it will make a combined system output of 402 hp with the TZ also getting an estimated 300 miles of range.

Buyers can choose between 76.96-kWh and 95.82-kWh batteries and while low rolling resistance tires are standard, 20 or 22-inch wheels will be available with the range potentially being dinged slightly by the bigger hoops as is the case with other EVs. Lexus also revealed that while the TZ is the quietest SUV the brand has ever offered, buyers can choose to make it sound like a V10-powered LFA via fake sounds pumped into the interior. While we are generally not fans of gimmicky things like that, we will give a nod to Lexus for having some fun here with this.

A comfy interior for any occasion

Slip inside, and buyers will notice an upgrade when compared with the Toyota. A large infotainment screen snakes its way towards the front passenger, and the TZ will be the first Lexus to offer ventilated Ottoman style thrones, a treat once largely reserved for international market offerings. The extended wheelbase improves leg and foot room and the third row appears to benefit the most from the stretch (cargo room is most likely boosted too when the seats are folded down.)

A 21-inch Mark and Levinson sound system pumps out the jams and Lexus interior designers even gave the interior splashes of bamboo trim tohelp elevate it above the Hihglander. The steering wheel also features Lexus’s new script logo which replaces the long-standing “L” mark that had been in place for decades.

When can we buy one?

Lexus didn’t reveal final pricing for the TZ nor a finalized specification list, but the brand did confirm it will go on sale towards the end of the year. The TZ and the Highlander will address criticism Toyota has received from buyers for being too slow to embrace EVs (despite saying it wanted to focus on its hybrid lineup first.)

The two will also be a big test for Toyota with the company hoping the pair will make a strong first impression among family buyers after the sluggish start it saw with the bZ family.