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Toyota to End Innova Crysta Diesel in 2027 as CAFE 3 Rules Loom

Tighter CAFE Phase 3 CO2 targets are pushing Toyota toward hybrid MPVs that earn valuable super credits.

Overview

  • The ladder-frame, 2.4-litre diesel Innova Crysta is set to remain on sale until about March 2027, closing a nearly two-decade run in India.
  • Upcoming CAFE 3 norms will sharply tighten fleet-average CO2 limits from 2027, making heavy diesel MPVs a regulatory burden despite being technically sellable.
  • Toyota is prioritising the monocoque Innova Hycross with petrol and strong-hybrid options, as strong hybrids receive super credits that effectively count each sale twice in CAFE calculations.
  • An earlier plan to retire the Crysta around 2025 was delayed by robust fleet demand for diesel and semiconductor shortages that constrained Hycross availability.
  • The model’s exit is expected to create a gap in the body-on-frame diesel MPV space, with rivals exploring responses such as a heavily localised Hyundai Staria reported under evaluation.