As the global automotive industry rushes headlong into a future electrified by batteries, Toyota Chairman Akio Toyoda is standing firm on a refreshingly different path. While many rival automakers have pledged to transition to battery-electric vehicles (BEVs) within the next decade, Toyota remains fiercely committed to a multi-pathway approach, while also polishing its EV game. For Americans, this means the brand will continue to offer a diverse lineup of gas-powered engines, traditional hybrids, plug-in hybrids, hydrogen fuel-cell-electric, and battery-electric models.

Akio Toyoda Speaking as an Enthusiast

Akio Toyoda, Toyota’s current chairman, candidly expressed his concerns regarding the industry’s singular focus on electric vehicles. Toyoda said unequivocally that he feared this industry-wide embrace of BEVs, and unlike executives even within Toyota’s walls, he was not ready to write off internal combustion engines.

In recent years, Akio Toyoda has emerged as one of the world’s most prominent advocates for traditional gas-powered cars. He noted, recently during an interview, that he feels “very alone” in his desire to preserve engines, stating his deep appreciation for the sound, the feel, and the smells of traditional combustion-powered vehicles. Toyoda also emphasized the importance of protecting thousands of global suppliers and technicians tied to traditional engine production.

The Business Angle

Toyota’s strategic divergence is not rooted in an anti-EV sentiment, but rather a realistic assessment of consumer needs and infrastructure readiness. In the United States, where EV charging networks remain inconsistent across rural and suburban landscapes, Toyota’s robust lineup of hybrid and plug-in hybrid electric vehicles offers a highly practical bridge. By investing heavily in a diversified powertrain portfolio, Toyota ensures that drivers have access to sustainable, fuel-efficient options that fit their specific lifestyles and geographic realities.

This commitment to traditional and alternative powertrains extends well beyond everyday commuter vehicles. Through its performance division, Toyota Gazoo Racing, the automaker is actively keeping the spirit of the internal combustion engine alive for driving enthusiasts. The brand continues to develop high-performance, gas-powered models and is actively testing experimental hydrogen-combustion prototypes on the racetrack. Toyoda views motorsport as an essential crucible for developing future technologies.

True to Toyota

Ultimately, Toyota’s strategy reflects a pragmatic belief that carbon emissions are the true enemy, not any specific powertrain. By resisting the immense pressure to put all its chips on battery-electric vehicles, the automaker aims to provide practical, accessible, and thrilling mobility solutions for every type of driver. As the automotive market evolves, Toyoda’s seemingly lonely stance is slowly but surely proving to be the industry’s most resilient and consumer-friendly strategy.

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The line at the Avis rental car location in New York City was packed with Memorial Day weekend travelers wearing sunglasses and hats, dragging carry-ons behind them and hoisting backpacks over their shoulders. In the pickup area, employees reversed freshly cleaned SUVs into parking spots one after another, preparing them for long holiday drives out of the city. 

My friend and I were headed to Upstate New York to escape the cacophony of the city and spend the weekend around Lake George before hiking in the Adirondacks. Getting there, however, wasn’t easy. Amtrak tickets were sold out for the weekend, Metro-North wasn’t practical for where we were going, and rental-car prices were exorbitant.

Even economy cars like the Chevrolet Spark and Toyota Corolla were either fully booked or absurdly expensive. The cheapest cars available were EVs, with just two options to choose from: the Kia Niro EV or the Hyundai Ioniq 5. Oddly enough, despite being an entire generation apart, they were priced the same. The Ioniq 5 was a no-brainer pick thanks to its faster charging speeds and longer range.

Photo by: Suvrat Kothari

An EV wouldn’t be every traveler’s first choice. But I’ve been around the block and know that finding places to charge in the Northeast isn’t too big a hassle. Plus, with average gas prices in New York hovering over $4.50 per gallon amid the ongoing war in Iran, I was relieved at the thought of avoiding gas stations altogether.

I wasn’t expecting to save much on refueling, since I’d be relying exclusively on public fast-charging stations, which are much more expensive than plugging in at home. But after over 500 miles of driving, I was stunned by how much I had saved by going electric.

As we set out, I was reminded of how awesome the Ioniq 5 is all-around. It’s one of our favorite cars here at InsideEVs. Its latest update with the larger battery pack and the Tesla-style North American Charging Standard (NACS) port made it an Editor’s Choice for last year’s InsideEVs Breakthrough Awards. The rental car was an older model year, with a CCS charging port, and 77 kilowatt-hours of battery capacity, allowing 260 miles of EPA range on an AWD trim. It also lacked wireless Android Auto and still used USB-A ports instead of USB-C, forcing me to stop at a store and buy a USB-A cable just to get phone mirroring working.

Photo by: Suvrat Kothari

It felt modern regardless. My friend and I were both impressed by its smoothness, comfortable ride, and incredible charging speeds. The Ioniq 5’s 800-volt architecture allows a 10-80% charging stop in just 20 minutes when plugged into a 350-kilowatt fast charger. Since we paired nearly every charging stop with a meal break, we returned to the car each time with far more range than we actually needed. We didn’t bother to set an 80% charging limit since it was a rental car.

What stood out most, though, was how little the road trip ultimately cost compared to a gas crossover. Avis handed me the Ioniq 5 with 61% state of charge and an indicated range of about 190 miles. That gave us enough buffer to leave the city before needing to stop, which was important because charging rates get significantly cheaper the farther you venture outside of NYC.

Photo by: Suvrat Kothari

Our first charging stop was roughly 100 miles north of the city, near the Catskills, at a 350-kW Evolve NY station. I plugged in at 14% and charged to 92%, paying $31 at $0.47 per kWh. That added enough range to comfortably reach our Airbnb and drive to the trailhead the following morning. Because the trailhead was deep in the mountains with no cell service and no nearby chargers, we decided to top up again as a precaution. That second stop cost another $20, taking the battery from 30% to 80% at a similar charging rate.

A third charging stop on the way back was enough to get us into the city. In total, the trip required just three charging stops over roughly 560 miles of driving. The raw charging math looked impressive. I spent about $67 across those primary charging sessions. Before returning the car, I had to stop one last time at an expensive station near the city to top it back up to its starting state of charge and avoid a penalty from Avis. That brought the total charging outlay for the trip to around $80.

Photo by: Suvrat Kothari

That is far less than what you’d pay to fuel a gas-powered crossover over the same distance these days. And it shows how rising gas prices are changing the math for EV ownership. Historically, the common wisdom was that you only got the greatest cost benefits of driving an EV by charging at home, using cheap household electricity. That’s still true. But now, relying exclusively on public charging infrastructure is also more economical compared to driving gas-powered cars. 

At last weekend’s average gas price in New York—$4.58 per gallon—you’d need to average around 32 mpg to match the per-mile costs of my trip in the Ioniq 5. In a typical 25 mpg SUV, it would’ve cost just over $100 to drive the 560 miles I covered. Driving a fuel-sipping hybrid rated at 40 mpg would have cost me a bit less than the EV did: $64. But I also saved a lot on rental costs by choosing an EV. So, at the end of the day, the Ioniq 5 beat out both comparable hybrids and combustion vehicles on total costs. Here’s how the numbers broke down for my trip:

Vehicle expenses, 3 days, 560 miles	Hyundai Ioniq 5	Comparable hybrid crossover at 40 mpg ($4.58 per gallon)	Comparable gas SUV at 25 mpg ($4.58 per gallon)
Rental cost for 3 days	$480	Ranging from $600 and up	Ranging from $600 and up
Tolls	$60	$60	$60
Charging/Refueling	$80	$64	$103
Total	$620	More than $700	More than $750

I did not hypermile or do any meticulous route planning to save costs. We drove normally, used public fast chargers, overcharged the car several times, blasted the air conditioning, and treated the Ioniq 5 like any ordinary road-trip vehicle. The driving experience was also an order of magnitude better, with powerful acceleration from the e-motors’ instant torque, plus buttery-smooth, near-silent cruising.

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It’s becoming increasingly clear that going electric is not only better in terms of driving experience and overall tech, but also in terms of the broader cost benefits. And stubbornly high gas prices are only making the argument for EVs more convincing. Even in one of the least favorable scenarios for EV economics—holiday travel using public fast chargers in one of the most expensive regions in the country—the Ioniq 5 still came out on top. 

Contact the author: suvrat.kothari@insideevs.com

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Volvo’s 2030 EV Goal Suddenly Looks More Real

Volvo’s initial plan to become a fully electric automaker by 2030 once seemed overly ambitious, especially in markets like the United States, where gas-powered SUVs still dominate sales. But comments from Volvo’s chief engineering and technology officer, Anders Bell, suggest the company has already moved much further away from internal combustion than many expected.

Speaking with CarBuzz, Bell revealed that Volvo no longer operates factories dedicated to producing combustion engines.

Bell said combustion engines are “not part of our core technology anymore,” adding that former engine plants have either been sold or converted to produce electric motors. The statement reinforces Volvo’s earlier decision to stop investing in new combustion engine development. Even though the automaker still sells hybrids and gasoline-powered models today, its manufacturing strategy now appears heavily centered around EVs.

Volvo Stays Committed Despite Europe’s EV Uncertainty

Volvo’s comments come as several European automakers push for softer emissions rules and adjustments to the European Union’s planned 2035 combustion-engine ban. Slowing EV demand and concerns about charging infrastructure have caused some manufacturers to reconsider how quickly they can transition away from gasoline-powered vehicles.

Volvo, however, seems committed to staying the course. Bell acknowledged that combustion-powered vehicles will remain necessary in the U.S. for the near future, but he said future Volvo hybrids will deliver a more EV-like driving experience. He also confirmed Volvo is willing to rely on outside partners for combustion engine technology rather than restarting internal ICE development programs.

The Lowdown

European automakers have increasingly warned regulators that forcing a rapid EV transition could hurt competitiveness. Still, some countries already show how quickly the shift can happen. Norway recently reached roughly 96 percent EV adoption in new-vehicle sales, effectively making gasoline-powered cars a shrinking niche.

Volvo appears convinced that global markets will eventually follow that direction. The company is not only reducing investment in combustion engines but actively restructuring factories and engineering teams around electrification.

That confidence also explains why Volvo leadership has expressed openness to building lower-cost Chinese-developed EVs in the United States if market conditions make sense. While many automakers continue to balance gasoline, hybrid, and EV programs, Volvo increasingly looks like one of the few traditional brands fully committed to an electric future.

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Gas prices have been trending higher since the start of the war with Iran, but the change over the past week has been striking. Seven days ago, a gallon of regular fuel averaged $4.17 in the U.S., and today it has ballooned to $4.48. Those prices hit all of us at the pump, but related diesel and aviation fuel cost increases ripple through many other parts of our daily lives. 

Consumers now spend around a billion dollars more per day on fuel than before the war, with about half of that attributable to jet fuel and diesel prices. Spirit Airlines shut down over the weekend, citing rising fuel prices as one of the contributing factors, and other airlines are canceling flight routes or raising prices to cope. 

Higher diesel prices hit shipping industries hard, making consumer goods like groceries and electronics more expensive. You may have noticed the impact if you’ve recently tried to ship a car, as most national carriers rely on large diesel trucks to move vehicles across the country.

Despite a ceasefire announcement, traffic through the Strait of Hormuz remains almost nonexistent. The channel, which carries more than a fifth of the world’s oil supplies, handled just 19 ships last Friday, down from over 100 per day before the war. 

As depressing as this sounds, it’s not doom and gloom for everyone. Average gas prices have yet to crest the $4/gallon mark in parts of the South, including Georgia, where a gallon of regular currently averages $3.91. There’s more good news for drivers in the Midwest, with GasBuddy recently reporting on Threads that refinery issues have begun clearing, which could drive fuel prices down by up to $0.60 per gallon in some places.

That said, the West Coast has been hit hard, with gas prices averaging $6.13 per gallon in California, according to AAA. If you live in one of the areas where fuel prices have become untenable, check out Kelley Blue Book’s fuel-saving tips to help get ahead of rising costs. 

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Like Integras past, the latest model is essentially a glitzy Honda Civic. That’s no bad thing, though, as Honda’s compact car is among the best in its segment. Whereas the Civic is available in both sedan and hatchback body styles, the Integra is a hatchback-only affair. If you want to snag the most fuel-efficient variant of this entry-level luxury car, then you’ll need to stick to the base model and its smaller rolling stock. Though it may lack the racy bits of higher-end trims (pictured), the standard Integra retains those models’ 200-hp turbocharged four-cylinder. Alas, the car’s available six-speed manual is not offered in its entry-level guise.

• Base price: $34,695
• EPA combined/city/highway: 32/29/37 mpg

LEARN MORE ABOUT THE ACURA INTEGRA

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China spent the better part of a decade making the internal combustion engine look obsolete. Government subsidies, aggressive production targets, and a homegrown battery supply chain turned the country into the world’s dominant EV force. China now commands roughly 70 percent of the global EV battery market. So, it’s more than a little surprising that two of its biggest automakers, Geely and Chery, are pouring serious money into making the gasoline engine smarter, cleaner, and more competitive than it has ever been. Both companies are betting that the internal combustion engine still has a decade or more of relevance left in global markets, and they want to own that space before anyone else does.

The Efficiency Race Nobody Expected

The numbers coming out of both companies right now are genuinely hard to believe. Geely recently achieved 48.41 percent thermal efficiency with its new i-HEV hybrid system, a figure independently verified by Guinness World Records, alongside a claimed fuel economy of 106 miles per gallon. For context, Toyota’s latest Prius, considered one of the most efficient engines in the world, manages a theoretical 44 percent. Four percentage points may not sound dramatic, but in thermal efficiency terms, that gap is enormous.

Chery is right behind them. Its latest Kunpeng Tianqing engine achieves a claimed peak thermal efficiency of 48.57 percent, reached through a proprietary technology it calls “Dual-Curve Triple Linkage,” making it the highest recorded figure for a mass-produced internal combustion engine in publicly available data. Chery has gone further than just raw efficiency numbers, though. The company is actively arguing that gasoline vehicles need to stop being dumb. Using its Mars StarCore MIND integrated architecture, Chery has worked to bridge the perception, decision-making, and execution capabilities of fuel-powered vehicles, essentially giving ICE cars the kind of intelligence that was previously exclusive to EVs.

What This Means for the Rest of the World

The timing of this ICE resurgence is not accidental. As EV penetration in China’s domestic market surpasses 50 percent, global data tells a different story: most of the world still drives on gasoline. Chinese automakers are building for that reality. Exports have become a lifeline for many Chinese brands as brutal domestic competition cuts margins at home. Highly efficient hybrids are a smarter export product than pure EVs in many markets.

The US remains largely walled off. But that does not mean US consumers are insulated from what is happening. Geely has confirmed that its Zeekr and Lynk and Co brands could enter the US within the next three years, potentially produced at the Volvo factory in South Carolina, which is currently undergoing a $1.3 billion expansion. Meanwhile, Chinese automakers have rerouted strategies through local manufacturing in Europe and emerging markets.

The deeper point is this: China did not abandon its EV ambitions. It is running both tracks simultaneously, pushing EVs abroad while quietly perfecting the combustion engine for the markets that are not ready to let it go. That dual strategy, backed by R&D firepower that Western manufacturers are struggling to match, is what makes the current moment genuinely significant. The internal combustion engine may not be coming back, but it isn’t finished either. China is just making sure it has a say in how the final chapter gets written.

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Another Curveball for EV Adoption

Electric vehicles were already experiencing a slowdown amid shifting policies, especially in the U.S., where the $7,500 tax credit ended last year. Now, there could be further disruption.

Stephan Keese, senior partner at Roland Berger North America, told Automotive News that the war in Iran could constrict the supply of helium, which is used in semiconductor manufacturing and is especially important for EV plans, as technologies like advanced driver-assistance systems and software-heavy architectures rely heavily on those components.

As a result, Keese argued that a potential helium shortage could force automakers to shift their focus back toward combustion vehicles and hybrids equipped with fewer advanced electronics. Automakers that are doubling down on EVs are likely to be the most affected, while those taking a multi-powertrain approach, such as Toyota, may have greater flexibility.

The Supply Chain Floats No More

According to Keese, about 33% of the global helium supply comes from the Middle East, largely from Qatar. However, a helium production facility has reportedly been damaged in an attack, further constraining the supply chain.

Meanwhile, roughly 47% of global helium supply comes from North America, meaning regions such as East and Southeast Asia could potentially face shortages in the coming weeks.

The thing is, the automotive industry isn’t the only sector relying on semiconductors. They are widely used in smartphones and computers, and demand is rising further with artificial intelligence, which, according to S&P Global, could disrupt automotive production.

Another report from The Register states that an SAE Level 4 automated driving system is estimated to require more than 300 GB of RAM to ensure components such as lidar, sensors, and cameras operate well enough to keep passengers safe without driver intervention. By comparison, many passenger cars today use SAE Level 2 systems, including Ford’s BlueCruise and Tesla’s Full Self-Driving, which only use around 16 GB of memory.

Running Out of Gas

While Keese argues that EVs could take a hit from the ongoing conflict in the Middle East, combustion cars are also being affected, particularly by rising gas prices. Such a crisis has put hybrids in the spotlight for their more fuel-efficient powertrains.

The full impact of the global supply disruption remains to be seen, especially if the situation worsens. It also adds to existing challenges in the U.S. car market, where affordability has already become a concern, to the point that Ford is reportedly considering a return to sedans after previously stepping away from the segment to prioritize larger vehicles.

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The US electric vehicle market has had a rough stretch. Federal EV tax credits disappeared, supportive policies were rolled back, and overall EV sales dropped by around 27 percent year-over-year in the first quarter of 2026, according to Cox Automotive estimates. Then the conflict with Iran hit, and geopolitical tensions pushed oil prices higher. That single shift in what people pay at the pump appears to be influencing buyer behavior—at least in the short term. Hyundai Motor Company CEO José Muñoz told Bloomberg that the company’s US EV sales grew by 40 percent between February and March, and he pointed squarely at rising fuel costs as the reason.

Hyundai’s Numbers Tell the Story

The jump comes off a relatively soft February, highlighting how quickly demand can swing with fuel prices. The Ioniq 5 crossover alone sold 4,425 units in March, up 27 percent from the month before, making it the second best-selling EV behind Tesla models in the country for the first quarter. The larger Ioniq 9 did even better, jumping from 505 to 905 units in the same period. These are meaningful numbers for a brand that has one foot firmly in the EV market while several competitors have retreated.

What Comes Next for the EV Market

Muñoz acknowledged that the industry’s earlier optimism, the idea that EVs could hit 50-60 percent US market share by the end of the decade, no longer looks realistic. He expects something closer to 10 to 15 percent market share, which he described as enough to stay committed to the technology. Car-buying platforms like Edmunds have noticed increased interest in electric options since the Iran war began, and a recent survey found nearly a third of Americans say they would seriously consider an EV for their next vehicle. 

The used EV market is also seeing a lift, and the timing is almost accidental. Years of aggressive EV leasing and a wave of early adopters trading up have pushed a large supply of used electric cars into dealerships at exactly the right moment. It brings accessible price points to buyers eager to switch, but who were previously priced out of the new car market. For an industry searching for its next catalyst, the answer may be as simple and volatile as the price of fuel.

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Rising temperatures and higher gas prices sometimes prompt drivers seeking to maximize mileage and minimize fuel costs to ask: Does the AC use gas in my car?

Yes, your vehicle’s air conditioner consumes fuel, although it’s an indirect use. Keep reading to learn more about how — and how much — gas the AC in your car uses.

How Does the Car Air Conditioner Work?

A general overview of how a typical car air conditioner works can help you understand its negligible impact on fuel consumption. The car’s AC uses energy from the engine to cool the cabin temperature. Here’s how it works:

1. Compressor: The heart of the air conditioning system is the compressor. It compresses the refrigerant gas, raising its temperature. The compressor is the component that indirectly uses power generated from the vehicle’s fuel.
2. Condenser: The hot refrigerant gas flows through the condenser (a series of coils), releasing heat. The cooled gas condenses into a cold liquid.
3. Receiver-drier: Refrigerant passes through a reservoir that removes water from the line, which, if not removed, can create ice crystals and damage the AC system.
4. Expansion valve: A valve restricts the refrigerant flow, causing it to expand and change from high-pressure to low-pressure refrigerant.
5. Evaporator: The liquid refrigerant passes through the evaporator, absorbing heat from the cabin air and cooling it down.
6. Blower fan: The blower fan circulates the cold air outside the evaporator into the cabin.

RELATED: Car AC Not Blowing Cold Air: Possible Causes and Solutions

Does Car AC Use Gas?

Yes, the car air conditioner does use gas, but not directly, and not that much. The vehicle’s engine uses gas to power the alternator; the alternator provides energy for the compressor in the AC system. The impact on fuel economy varies depending on factors like outside temperature, driving speed, and the car’s make and model.

Tips for Balancing Comfort and Fuel Efficiency Using AC

• Use AC wisely: Turn it off when it’s unnecessary. If the weather is pleasant, consider opening the windows instead.
• Pre-cool the car: Park in the shade or use a sunshade to keep the interior cooler. When you start the vehicle, roll down the windows and let the hot air escape before turning on the air conditioner.
• Service regularly: A well-maintained air-conditioning system is more efficient. Check the refrigerant levels, clean the filters, and ensure the system is leak-free.

Yes, the car air conditioner indirectly uses gas by putting an additional load on the engine. Staying cool is essential, but so is saving on fuel costs. Your and your passengers’ comfort, and the safety issue of driver fatigue from excessive heat, are considerations when deciding to use the AC. With smart usage and regular maintenance, you can balance comfort and fuel efficiency.

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