Tesla vs. Toyota: 10-Year Cost of Ownership Analysis
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 28 2025
0mins
Source: NASDAQ.COM
- Tesla Operating Costs: The total cost of ownership (TCO) for the Tesla Model 3 LR AWD over ten years is $55,714, primarily encompassing electricity, depreciation, maintenance, and insurance, indicating the economic viability of EVs in long-term use.
- Toyota EV Costs: The ten-year TCO for the Toyota bZ4X stands at $56,662, slightly higher than Tesla's, yet still demonstrates the competitive operating costs of electric vehicles, reflecting an increasing market acceptance of EVs.
- Traditional Gas Vehicle Comparison: The ten-year TCO for the Toyota Corolla is $52,218, showing that despite lower fuel costs, its overall operating expenses remain lower than those of electric vehicles, indicating that traditional vehicles still hold advantages in certain scenarios.
- Market Trend Analysis: According to AAA data, the annual cost of owning a medium EV sedan is $13,692 compared to $9,956 for a medium ICE sedan, highlighting the depreciation disadvantage of EVs, which may influence consumer purchasing decisions.
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About TM
Toyota Motor Corp is a Japan-based company mainly engaged in the automotive business, as well as financial services and other businesses. It operates through three business segments. The Automotive segment designs, manufactures, and sells automobiles, including sedans, minivans, compact cars, sport utility vehicles (SUVs), and trucks, as well as related parts and accessories. The Financial Services segment provides financing and vehicle leasing services to complement the sales of automobiles and other products manufactured by itself and its affiliates. The Other segment engages in information and communications services. It also oversees manufacturing and sales companies, conducts public relations and research activities, oversees financial companies, and develops various mobility products, primarily software.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Significant Sales Share: To date, electrified models account for 64% of Toyota's total sales in Canada, with Quebec representing over one-third of its zero-emission vehicle sales, indicating strong regional demand for electric vehicles.
- Global Electrification Achievement: Toyota has sold over 35 million electrified vehicles globally, maintaining a leading position in the Canadian market, reflecting its strong competitiveness and market recognition in the EV sector.
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- Leadership Changes: Kerry Creech will retire in July after 36 years at Toyota, where his leadership in manufacturing and quality management drove investments in electrification and advanced manufacturing, reflecting Toyota's commitment to continuous innovation and community development.
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- New Appointments: Stephen Brennan is appointed as chief production leader for the Advanced Technology Area at Toyota Motor Corporation, overseeing multiple production engineering divisions, indicating Toyota's strategic focus on technological innovation and production efficiency.
- Supply Chain Integration: Kevin Austin will take on quality management responsibilities, further integrating supply chain strategy and operations, demonstrating Toyota's determination to enhance supply chain efficiency and product quality to support future business growth.
See More
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- Manufacturing Leadership Changes: Stephen Brennan is appointed as chief production leader for the Advanced Technology Area at Toyota Motor Corporation, overseeing critical divisions, which aims to enhance Toyota's capabilities in advanced production engineering and digital transformation, thereby strengthening its market competitiveness.
- Supply Chain Management Integration: Kevin Austin will take on additional responsibilities for quality management, further integrating supply chain strategy and operations, which is expected to improve Toyota's performance in supply chain efficiency and product quality, supporting its ongoing growth objectives.
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