The 2021 Toyota Highlander was the second model year of the fourth-generation SUV, which Toyota builds on its GA-K platform and refers to internally as the XU70 series. That generation entered production in November 2019 and reached dealerships as a 2020 model, so the major changes — a new platform, a new body, and a reworked four-cylinder hybrid — had already taken place before the 2021 version went on sale in the fall of 2020. What the 2021 model actually added was a new sport-trimmed grade, a wider standard driver-assistance package, and lighting updates across most of the range.
What Was New for 2021
The headline change was the XSE grade. For the first time in the Highlander’s 20-year history, Toyota added an XSE trim, positioning it between the XLE and Limited. Toyota announced a starting MSRP of $41,405 for the front-wheel-drive XSE. Like every non-hybrid 2021 Highlander, the XSE used a 295-horsepower 3.5-liter V6 paired with an eight-speed automatic transmission.
The XSE was more than an appearance package. Toyota gave it higher-rate springs, a thicker rear stabilizer bar, and re-tuned shock absorbers, and it re-calibrated the electric power steering for a sportier feel. The trim wore exclusive 20-inch machined-face wheels with black accents, a model-specific front fascia and grille, black roof rails and mirror caps, and the first twin-tip exhaust fitted to a Highlander. Inside, it came with SofTex-trimmed seats, an available two-tone red-and-black leather interior with red stitching, and carbon-fiber-look trim on the instrument panel.
Two further updates applied across the lineup. Toyota made its Toyota Safety Sense 2.5+ suite standard, which bundled forward collision warning with automatic emergency braking, adaptive cruise control, lane-departure alert with steering assist, and automatic high beams. The company also fitted projector-style LED headlamps to the L, LE, and XLE grades.
Engine and Powertrain Specs
The 2021 Highlander offered two powertrains, both carried over from the 2020 redesign without changes.
- 3.5-liter V6 (2GR-FKS): 295 horsepower at 6,600 rpm and 263 lb-ft of torque at 4,700 rpm
- Eight-speed automatic transmission with front-wheel drive standard and all-wheel drive optional
- Hybrid: 2.5-liter four-cylinder plus electric motors, 243 horsepower combined, with an electronically controlled CVT
- Hybrid all-wheel drive provided by a separate electric motor driving the rear wheels
The full-hybrid system replaced the previous generation’s 3.5-liter V6 hybrid, trading some combined output for markedly better fuel economy. The gas V6 kept the naturally aspirated design that Toyota had used in the third-generation Highlander.
Fuel Economy
EPA ratings for the front-drive V6 were 21 mpg city and 29 mpg highway; adding all-wheel drive dropped those figures to 20 mpg city and 27 mpg highway. The Highlander Hybrid was rated at 36 mpg city and 35 mpg highway, which made it the efficient pick in the range even though its 243-horsepower combined output trailed the 295-hp V6.
Dimensions, Seating, and Cargo
The fourth-generation Highlander measured 194.9 inches long, 76.0 inches wide, and 68.1 inches tall on a 112.2-inch wheelbase. The XSE’s unique front end added about 2.5 inches to overall length, pushing it to roughly 197.4 inches. A 2020 Highlander AWD tested by Car and Driver weighed 4,504 pounds.
Seating was for seven or eight people, depending on trim. The base L and LE came with a second-row bench for eight occupants, while upper trims often substituted second-row captain’s chairs to bring capacity down to seven; the Platinum was a seven-seater only. Cargo space behind the third row was about 16 cubic feet.
Trim Levels
Toyota sold the 2021 Highlander in six gas grades, each also echoed in hybrid form:
- L — base grade, eight-passenger bench seating, 18-inch alloy wheels
- LE — adds convenience features over the L
- XLE — offered captain’s chairs for seven seats
- XSE — new sport trim with 20-inch wheels and retuned suspension
- Limited — leather trim, heated and ventilated front seats, navigation, and a premium JBL audio system
- Platinum — top grade with 20-inch wheels and a seven-seat layout
The lower three grades rode on 18-inch wheels, while the XSE, Limited, and Platinum used 20-inch wheels. Hybrid badging appeared on the LE, XLE, Limited, and Platinum levels rather than on a standalone model, so a shopper could match almost any equipment level to the more efficient powertrain.
Pricing and Release Date
The 2021 Highlander went on sale in the fall of 2020 and was built at Toyota’s plant in Princeton, Indiana. Prices before destination charges ran from about $35,085 for the front-drive L to $47,240 for the Platinum, according to Cars.com listings, with the new XSE sitting in the middle of the range at the $41,405 figure Toyota quoted at launch.
What the 2021 Highlander Represented
The 2021 Highlander was a mainstream three-row family SUV with a proven naturally aspirated V6, an efficient hybrid option, and one of the widest trim spreads in its segment. The XSE added sharper looks and chassis tuning without changing the powertrain, and the fourth generation remained on sale in the United States through the 2026 model year before Toyota replaced it with an electric fifth generation. Buyers shopping a 2021 example today are looking at a carryover year of a platform that ran for seven model years, which is useful context for parts availability, recalls, and resale value.
Sources
- Toyota Highlander — Wikipedia
- Toyota Highlander Adds XSE Grade + Toyota Safety Sense 2.5+ for 2021 — Toyota USA Newsroom
- 2021 Toyota Highlander — MotorTrend
- 2021 Toyota Highlander Review, Pricing, and Specs — Car and Driver
- 2021 Toyota Highlander specs and prices — Cars.com
- 2021 Toyota Highlander — Kelley Blue Book
