2025 Toyota Camry XSE First Drive: Can Practical & Economical Actually Be Fun?
With 232 horsepower and an upgraded suspension, does the 2025 Toyota Camry XSE outshine the previous generation, even without the V6?
Thirty-five years ago, my Grandfather said goodbye to General Motors and purchased a second-generation Toyota Camry. He and my Grandmother liked it so much, they bought a third-generation Camry that was eventually passed onto my brother when they retired from driving. Sitting behind the wheel of a 2025 Camry with red leather all these years later, I can’t help but wonder what they’d think of this ninth-generation Camry XSE. A once simple, small sedan — with those automatic seatbelts, remember those? — has turned into a technology-infused mid-sized sedan that promises to also be luxurious and even sporty.
But can America’s best-selling sedan — a practical, economical people hauler — actually be fun? And has Toyota succeeded in improving this new generation despite dropping the V6 from the lineup? And should you upgrade from an eighth-generation (2017-2024) Camry? Let’s find out together.
Powertrain: And Then There Was One
The previous generation Camry offered three different engine options —
- A naturally aspirated 2.5L 4-cylinder engine good for up to 205 horsepower and up to 28 mpg city, 39 mpg highway, and 32 mpg combined. It was available in front-wheel-drive (FWD) or all-wheel-drive (AWD).
- A naturally aspirated 3.5L V6 engine good for up to 301 horsepower and up to 22 mpg city, 33 mpg highway, and 26 mpg combined. It was FWD-only.
- And a 2.5L 4-cylinder + hybrid powertrain good for up to 208 system horsepower and up to 51 mpg city, 53 mpg highway, and 52 mpg combined, depending on options. This was also FWD only.
For 2025, Toyota has dropped both naturally aspirated engines and retained only the hybrid option. However, the new fifth-generation 2.5L 4-cylinder + hybrid powertrain has been improved and updated with the option of FWD or AWD. FWD models, which add two electric motors to the 2.5L I4 motor, have been bumped up to 225 net horsepower. That’s good for up to 53 mpg city, 50 mpg highway, and 51 mpg combined.
AWD variants push net horsepower up to 232 horsepower thanks to its Electronic On-Demand All-Wheel Drive (AWD) system, which adds a third electric motor to the rear axle. Fuel economy estimates drop to 44 mpg city, 43 mpg highway, and 44 mpg combined on this model because it is the heaviest of the lot, with wider tires and beefier suspension components.
(NOTE: it’s too early for us to judge fuel economy accurately, but thus far, after about 30 miles, we’re sitting at just under 31 mpg, according to the Camry’s computer, which is extremely good for driving around Los Angeles in a mid-sized sedan and after thorough testing of Sport Mode acceleration.)
XSE Standard & Premium Plus Features
The 2025 Toyota Camry will be available in four grades —
- LE (for Luxury Edition)
- SE (for Sport Edition)
- XLE (for Executive Luxury Edition)
- XSE (for Extreme Sport Edition)
You can find a full breakdown of the features for every trim level in our original coverage from the 2025 Camry’s debut last November. Today, however, we’re focusing on the XSE. Which comes with a bucket load of standard features, including —
- 19-in. Multi-spoke Black and Smoke Gray-Finished Alloy Wheels
- Body-Colored Sport Mesh Grille with Racing-InspiredFunctional Air Ducts and Canards
- Black Rear Spoiler
- Black Trunk Garnish with Black CAMRY Badge,
- Body-Colored Sport RearDiffuser with Exposed Dual Tip Exhaust
- 12.3-in. FullyDigitalGauge Cluster
- 12.3-in. Toyota Audio Multimedia Touchscreen with Wireless Apple CarPlay and Android Auto Compatibility
- Leather-trimmed Heated Steering Wheel with Paddle Shifters and Leather-trimmed Shift Knob
- Leather-trimmed Seats with Power and Heated FrontSeats
- Smart Key with Push Button Start and Smart Entry
- Auto-Dimming Rearview Mirror with Homelink Garage Door Opener
- Ambient Lighting
- Adjustable Rear Seat Headrests
- Front-Side Acoustic Laminated Glass
The optional Premium Plus Package then adds —
- 9-speaker JBL sound system
- 10-inch color head-up display
- Digital key compatibility
- Ventilated front seats
- Panoramic glass roof with power tilt/slide moonroof
XSE Saftey
In terms of safety, all 2025 Toyota Camrys come standard with Toyota Safety Sense 3.0 (TSS 3.0), a comprehensive collection of features that include —
- Pre-Collision System with Pedestrian Detection
- Full-Speed Range Dynamic Radar Cruise Control
- Lane Departure Alert with Steering Assist
- Lane Tracing Assist
- Road Sign Assist
- Proactive Driving Assist
With the optional Premium Plus Package, the XSE also boasts —
- Traffic Jam Assist
- Front-Cross Traffic Alert
- Lane Change Assist
- Panoramic View Monitor
- Front and Rear Parking Assist with Automatic Braking
Price As Tested – $42,220
Toyota USA lent us a prototype Camry XSE AWD in Heavy Metal/Midnight Black with a red interior. Here’s how the $42,220 MSRP breaks down on our tester —
- XSE AWD Base MSRP: $36,125
- QP Premium Plus Package: $4,075
- TX Two-Tone Midnight Black Metallic Roof: $500
- Premium Heavy Metal Paint: $425
- Dealer Processing & Handling: $1,095
For comparison’s sake, the new 2025 Camry XSE appears to cost roughly $3,000 more than a similarly equipped 2024 XSE Camry Hybrid. It’s also about $2,000 more than a well-optioned Camry V6. (Interestingly, V6 engine Camrys are nearly sold out within 300 miles of Los Angeles. I see two new V6 Camrys — one XSE, one TRD — on dealer lots where they cost just under $40,000. If you want the last of the V6s, you better act fast!)
Outside
The 2025 Camry’s side profile looks identical to the previous generation. Enthusiasts might be able to note subtle differences like new wheel options and revised styling elements. But much like the Ford Mustang’s newest generation, we’re not dealing with a remarkably new vehicle overall. Think of it as an evolution, not a revolution.
That said, the front and rear ends are more modern and angular compared to the previous generation with standard LED lightning. Where the outgoing generation was soft and flowing, the new generation appears chiseled and shark-like, for better or worse. The C-clamp-shaped lightning up front acts as white daytime running lights in the day and amber parking lights at night, evoking Toyota’s new design language also used in the Crown and Prius families. It’s not for everyone, but it’s growing on me, personally.
Inside
The 2025 feels familiar in layout and dimension, but the visual aesthetics and technology upgrades are more noticeable and arguably more important.
The front dash is now more dramatic with sweeping lines that swish from the passenger side to the center console. Front and center, Toyota’s new infotainment system brings a more fluid interface with wireless Apple CarPlay and Android Auto. The Premium Package includes a 9-speaker JBL sound system that’s not quite Mark Levinson good, but holds its own in delivering clear tones, nice stereo imaging, and a touch of bass. As long as you don’t push it too hard.
Under the 12.3″ infotainment screen, Toyota has smartly kept physical tactile buttons for the dual-zone HVAC controls. (A layout we hope returns to more Lexus models.) Heated front seats are standard on the XSE grade; the Premium Package adds ventilated front seats In and around the shifter, Toyota has rearranged the wireless charging pad and added two USB-C charging ports along with the older USB-A port. There are also several buttons for Eco, Normal, and Sport driving modes as well as an EV Mode button, Hold button, and Parking Brake.
The larger digital gauge cluster is clear and customizable — with three different display options and four different gauge styles. Navigating the gauge menus isn’t as easy as using the infotainment system, but it’s not too hard to learn.
Touch surfaces are a mix of plastics with a smattering of leather seating, armrests, and door panels. The seats could use a touch more side bolstering to achieve a truly supportive, sporty feeling. But the red leather is attractive and looks/feels very similar to what Toyota places in its more expensive TRD Pro Tundra and Sequoia models.
The steering wheel leather material, however, is surprisingly coarse to the touch. And Toyota has redesigned the layout of the various function buttons in a way that, to my hands at least, feels less ergonomic. For example, accessing certain functions, like sound volume, is more than a finger-reach away.
Overall, the interior of the 2025 Camry is practical and comfortable and stuffed with more technology than any Camry has ever seen. Especially with the Premium Plus Package. But despite maxing out with almost every option, no one’s going to confuse this Camry with a Lexus ES.
XSE First Dive
This 2025 Camry features three different drive modes as well as an S shifting mode on the transmission gear selector. Normal is for everyday driving. Eco helps maximize efficiency when traffic is heavy and you have lots of stop-and-go moments. And Sport is for maximum agility and acceleration. When the transmission gear selector is toggled from D to S, drivers can use the steering wheel’s paddle shifters to change the CVTs gear range to one of six settings. The default range is 4; lower numbers should produce quicker acceleration and extra engine braking. (More testing is required here, as we could feel the change in engine braking pretty well. But the car felt its quickest in regular old Drive.)
There’s also an EV mode button that will allow you to drive only on battery power up to 25 mph and below a certain throttle threshold. Speaking of which, the Camry’s gauge cluster, like most Toyota hybrids, includes a helpful gauge with three sections — Charging, Eco, and Power. The goal, for those who want to be as economical as possible, is to keep the needed in the Eco or Charging sections and avoid tipping into Power. Which is a good way to gamify fuel economy, I suppose.
Despite the word extreme and sport in its name, the XSE boasts the same 232 peak horsepower as every other AWD model. That being said, it features upsized sway bars, sport-tuned shocks and springs, and wider lower-profile tires than the LE and XLE variants. Tossing the XSE into corners reveals numb steering, adequate brakes, and a touch of body roll. But it’s relatively composed overall and the tires are surprisingly grippy.
The 2025 XSE isn’t going to be mistaken for a Lexus IS any time soon. And we haven’t driven the LE or XLE models for comparison.But the 2025 Camry feels downright zippy despite being down on peak horsepower compared to the V6. In place of peak power, however , Toyota appears to have tuned the car around low and mid-range torque, which is great for daily driving.
I’m not sure how many people will get this reference, but if you’ve ever driven a supercharged 3800-series V6 GM sedan from the late 90s, early 2000s, this Camry feels a lot like those. A touch of torque steer when punching the accelerator, but surprisingly quick for a modest, comfortable sedan. It’s very happy racing up on ramps and passing other vehicles on the highway. Something you couldn’t say for second and third-gen Camrys from back in the day.
Is the ninth generation dramatically better than the eighth? No, but it’s surprisingly fun despite the missing V6 and its economical and practical heritage.
Should You Buy a 2025 Toyota Camry XSE?
When you’ve been America’s best-selling Sedan for 22 consecutive years, like the Toyota Camry, it’s best not to rock the boat. Sure, customers need incentives to keep buying — more features, added safety, new looks — but there’s no real need to reinvent what’s already working. The ninth-generation Toyota Camry, available later this year as a 2025 model, takes almost what worked about the eighth-generation and refines a well-tested recipe with a new infotainment system, an upgraded hybrid powertrain, and revised styling.
I wouldn’t rush out to replace an eighth-generation model — especially if you’re a V6 owner — but I wouldn’t hold back either if you want a few updated creature comforts. As for the Camry XSE, the sporty one with all the features, it’s everything people expect in a Camry. Practical. Roomy. Economical. And, yes, also a touch of fun if you care to push things.
Regardless, I can confidently say, these sedans aren’t my Grandparents’ Camrys. What a journey it’s been.
Image Credits: Toyota USA
