Hybrids are hot in demand in the U.S. market. And there are plenty of reasons powering the upward adoption rates. With the end of federal tax credits turning fully-electric vehicles significantly more expensive, and rising gas prices owing to the ongoing U.S.-Israel-Iran war hurting pro-engine sentiments, hybrid vehicles are poised to find more homes than ever before.
But the trend favoring hybrid vehicles’ adoption isn’t new. While recent factors like the lack of incentives on EVs and record gas prices may have put a brighter spotlight on hybrids, the intensity of this light was already increasing over the past several years. As per an S&P Global Mobility report, the share of new vehicle registrations for hybrids jumped from 3.1 percent to 16.3 percent between the second quarter of 2020 and the second quarter of 2025. And who is smiling all the way to the bank? Nearly half of all new hybrid registrations in the U.S. are for vehicles manufactured by Toyota. In the second spot is another Japanese giant, Honda. Interestingly, but not unsurprisingly, Lexus, the luxury brand under Toyota, leads in the hybrid luxury vehicle segment, with much of its sales in 2024 and 2025 being powered by hybrid models.
Hybrid Sedans Are Elite Warriors
Almost every mass-market sedan in the US has a hybrid option. Just look at the Camry, Civic, Corolla, or the Sonata. Each promises great mileage and a fairly well-kitted cabin. There are also claims of reliability, of affordability. But what about desirability?
Where’s The Premium Quotient?
Few others play the luxury game the way Lexus does. And very few other sedans can claim to challenge the Lexus ES on counts of both premium appeal and reliability. The model was first launched in the US market in 1989, its hybrid avatar was brought out in 2013, and now, the time has come for the all-electric ES350e and ES500e. And while the jury may still be out on the all-electric versions, the hybrid ES300h has been fairly popular for its fuel efficiency of around 45 mpg, all-wheel drive option, and Lexus’ superb craftsmanship.
Get Set For The Latest ES Hybrid, But At What Cost?
The latest update to the hybrid ES is expected to arrive soon and promises a significantly more aerodynamic profile on the outside, with a net 244 horsepower on offer through the 2.5-liter four-cylinder engine under the hood and the electric motor, and a 14-inch touchscreen in the cabin. All of this sounds great. What may not sound great to many, though, is the pricing. At a base MSRP of $44,590 and going well beyond $53,000 for the 2025 model, it doesn’t exactly fit every budget consideration. And with new-car prices rising all the time, expect the 2026 ES hybrid to be pricier still. That said, there is an alternative that can promise nearly-similar levels of reliability, fuel efficiency, and premium quality while coming in at price points that are easier on your pocket.
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The Accord Strikes A Chord
Even in the most elementary of brand faceoffs, Lexus and Honda won’t find each other at either end of a ring. In fact, it is Acura, Honda’s luxury-performance brand, that does the job of competing in the high-end vehicle space. But even in its own arsenal, Honda has an ace that mounts a challenge to Lexus sedans. Yes, the Accord is a premium offering, and its upper trims do compete against the mighty ES. Here’s why and how.
- Base Trim Engine
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2L Hybrid
- Base Trim Transmission
-
CVT
- Base Trim Drivetrain
-
Front-Wheel Drive
- Base Trim Horsepower
-
146 HP @6100 RPM
- Base Trim Torque
-
134 lb.-ft. @ 4500 RPM
- Base Trim Fuel Economy (city/highway/combined)
-
51/44/48 MPG
- Base Trim Battery Type
-
Lithium ion (Li-ion)
- Make
-
Honda
- Model
-
Accord Hybrid
Rich Tradition, Hot Sales, Sustained Momentum
A time when no one had heard of GPS, when airbags were reserved for only a handful of car models, and long before the first-ever hybrid vehicle, the Accord landed on American shores in hatchback form in 1976. Three years later, the Japanese drove out the model in sedan form, and it became a phenomenal success.
Over the past nearly three decades, more than 12.5 million units of the Accord have been sold, showcasing the enormous popularity of the car. In fact, it has cemented its place in the top-five list of best-selling sedans of all time in the US, as per Kelley Blue Book. But is it the best-selling sedan in the US? No, that’s the Toyota Camry. Is it the best-selling Honda? No, that crown is worn by the Civic, which is also in the top-five list of best-selling vehicles in the US across segments. So what does the Accord bring to the fore?
Drive Traits Favor Fun
The 2025/2026 Honda Accord Hybrid is powered by a 2.0-liter four-cylinder engine that’s mated to a two-motor hybrid system for a total power output of 204 horsepower and offering 247 pound-feet of torque. It is widely appreciated for being a sedan with superb handling and giving an engaging steering feel. While the ES may be a more plush ride in comparison, it is the Accord that’s more of a driver’s car.
No Dearth Of Space In The Cabin
It would be blasphemous in the automotive world to call the Accord a driver’s car and leave it at that. After all, this Honda sedan does boast of one of the roomiest cabins among all sedans in the U.S. market. With front-seat headroom at 39.5 inches and rear-seat legroom at 40.8 inches, the Accord beats even the far more expensive luxury sedans like the Volvo S90, BMW 5 Series, and, yes, the ES as well. That these figures hold true for the Accord hybrid as well is remarkable, because hybrids tend to eat into the cabin or cargo area to place the additional components of the powertrain.
Premium Appeal From A Mainstream Model
Lexus models are more crafted and less built. The ES, for instance, gets acoustic glass and leather seats apart from tech additions like a 17-speaker Mark Levinson sound system, digital rearview mirror, a 14-inch central display unit, and a 12.3-inch digital driver display. But these do come at a premium price point as well.
In comparison, the Accord does a fantastic balancing act between the more basic sedans and the more luxurious ones by incorporating premium features like a 12.3-inch central display, a 10.2-inch digital driver display, suspension mats under the front seats, built-in Google, and built-in Alexa.
The features, obviously, differ between each trim for each of these two models, but the Accord’s premium appeal is definitely noticeable, even if not as soul-stirring as in most luxury vehicles. And because many of the features are standard across all hybrid trims — Honda Sensing safety system — the Accord was one of the safest cars as per Insurance Institute for Highway Safety (IIHS) tests in 2025. With features like larger screen sizes, wireless Android Auto and Apple CarPlay, eight-way driver seat adjustments, among others, the Accord is very likely to feel upmarket regardless of trim chosen and the number of years driven.
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Long-Term Value That’s Hard To Ignore In 2026
When one takes into account what the Accord hybrid offers, and for how much, the value of the Honda is a clear winner. It surely doesn’t belong to the big leagues often reserved for Lexus, Audi, BMW, and Mercedes sedans, but it does make each of these brands sit up and take note. For budget buyers, there’s always a Corolla or a Civic around. For brand-conscious or ‘money is no obstacle’ buyers, traditional luxury brands still hold weight. But for someone who is as unwilling to sacrifice premium appeal as to not stretch the buying budget, the Accord makes a perfect case for itself.
2025 Honda Accord And 2025 Lexus ES Pricing Comparison
|
2025 Top Trim Model |
Starting MSRP |
|
2025 Honda Accord Touring Hybrid |
$39,495 |
|
2025 Lexus ES300h Ultra Luxury |
$53,605 |
Reliability Is An Inherent Trait
What good are any features and premium appeal of a car if it won’t really last the distance? This is one key selling point of Toyota and Lexus models. But Honda isn’t too far behind either. And the Accord, in particular, is rated one of the most reliable models from the Honda stable. J.D. Power ranks the 2025 Accord fairly high with an overall score of 82/100, with a ‘Quality and Reliability’ rating of 80/100. J.D. Power says its 100-point score for vehicles sold in the US is based on hundreds of thousands of independent and unbiased opinions of verified car owners. And as such, Accord’s rating is fairly acceptable even if the pricier Lexus ES outshines in the category, judging quality and reliability.
J.D. Power Scores
|
Quality & Reliability |
Driving Experience |
Resale |
Dealership Experience |
|
|
2025 Honda Accord |
80/100 |
79/100 |
87/100 |
83/100 |
|
2025 Lexus ES |
89/100 |
76/100 |
78/100 |
85/100 |
The Japanese Car That Quietly Beats Luxury Brands At Their Own Game
A luxury sedan that shuns the spotlight, yet outshines its rivals in the areas that truly matter.
A Well-Rounded Package
Honda has updated recent Accord models to cater to needs and address desires. Its priorities are well-defined — offer an engaging drive, a comfortable ride, high fuel efficiency of around 44 mpg, and features that are part basic, part essential, part relevant, and part plush. What it lacks in terms of sheer opulence, sheer luxury, it seeks to make up for by offering premium value. And because Accords routinely clock well over 100,000 miles, its premium elements are designed to last too, making this Honda build long-term relationships rather than indulge in short-term affairs.
Sources: Honda, Lexus, S&P Global, KBB, JD Power, IIHS