Small cars aren’t small anymore. Look at the redesign for the BMW X1 as an example of how cars continue to get larger and larger with every redesign as proof. Subcompact SUVs are now as large as compact options, while compacts rival some midsize SUVs from a few years ago. For shoppers who want a subcompact SUV that’s actually small, there’s the 2025 Lexus UX300h.
Halfway between a subcompact SUV and a medium-sized hatchback, the UX300h represents the starting point for the Lexus brand. As a jumping-off point for the brand, the UX300h is reasonably priced, well-equipped, easy to drive, and fuel efficient. The UX300h’s strengths, though, don’t outweigh its drawbacks, which are too numerous to ignore.
What The Lexus UX300h Doesn’t Do Well
As an actual subcompact SUV, the 2025 Lexus UX300h has a cramped cabin with barely enough room for adults in the back, while its small size also results in limited cargo space. On the performance front, the UX300h prioritizes fuel economy over performance, resulting in lethargic performance.
Cramped Quarters
Calling the 2025 Lexus UX300h an SUV may raise eyebrows and will certainly throw off the car schema of a toddler. When people think of SUVs, they think of larger, towering SUVs with off-roading capability. The Jeep Wrangler, Chevrolet Suburban, Ford Expedition, and Kia Telluride. These are SUVs. The UX300h has as much in common with these SUVs as Fido does with a Gray Wolf.
Most people purchase an SUV to get large cabins with roomy seats and a generous amount of cargo space. The UX300h possesses neither of these qualities. The UX300h’s rear seats are cramped, like adults will have to squeeze into the back and scrap their knees against the front seatbacks cramped. The UX300h has tiny doors that also make it difficult to slide into the rear seats.
Empty nesters, small families, or other drivers who don’t expect to use the rear seats won’t mind the fact that the UX300h has tight rear seats, as the front seats are comfortable and roomy enough.
Limited Cargo Space
With 17.1 cubic feet of cargo space with the rear seats in place, the 2025 Lexus UX300h isn’t ideal for runs to Costco, Home Depot, Ikea, or Lowes. You’ll have to plan things out before purchasing large items or have mastered geometry to get everything to fit while not using the rear seats for extra storage. Based on its cargo capacity figure, the UX300h is as versatile as a small hatchback.
Where’s The Performance?
The 2025 Lexus UX300h comes with a standard hybrid powertrain that combines a 2.0-liter 4-cylinder engine with an electric motor for up to 196 horsepower. The engine is paired with a continuously variable automatic transmission. Performance has gone up for 2025 thanks to a new hybrid powertrain, as well as a more responsive transmission. Despite the upgrade, performance is dull at best, as the UX300h drones and struggles to get up to highway speeds and pass.
The UX300h’s throttle response is muted and dull in Eco and Normal and then incredibly touchy in Sport. The SUV lacks a middle ground that makes it feel peppy and easy to drive.
Another interesting powertrain feature of the UX300h is its EV mode. Unfortunately, it’s tiny battery pack doesn’t bring a lot of all-electric range. Instead of using EV mode, we think it’s best to leave the UX300h’s hybrid powertrain alone to let it figure out the best way to eke out maximum fuel economy.
What The 2025 Lexus UX Does Well
Luxury, fuel economy, and around-town maneuverability are things the 2025 Lexus UX300h manages to do extremely well. The UX300h may be the cheapest car in Lexus’ lineup, but it still delivers a high-end experience, while its hybrid powertrain can help drivers save money on fuel.
An Efficient Fuel Sipper
Despite coming with an upgraded powertrain with more power, the 2025 Lexus UX300h is actually more efficient than last year. The 2025 model is rated at up to 43 mpg combined for models with front-wheel drive and 42 mpg combined for models with all-wheel drive. These aren’t marketing figures either, as the SUV is incredibly efficient. Even if you choose to hammer on it.
Premium Cabin
The 2025 Lexus UX300h may have a cramped cabin, but it feels luxurious and has a high-end design that matches larger and pricier SUVs from Lexus. Fit and finish is excellent, which is something we’ve come to expect from the brand, and interior materials feel upscale. We also appreciate how Lexus has retained some physical controls and the fact that the larger 12.3-inch instrument cluster is more readily available.
The Verdict
The 2025 Lexus UX300h is a specific vehicle that will appeal to an equally specific subset of shoppers. My mom comes to mind when I consider the target audience for the vehicle. In her upper 50s, close to retiring, mostly drives to and from work, and wanting something with a small bit of versatility, the UX300h would be the perfect luxury car to replace her Honda HR-V. Easy to drive, efficient, luxurious, and sharply styled, the 2025 UX300h is the ideal SUV for urbanites or empty nesters with little use for cargo capacity or rear seats.
For everyone else, larger subcompact options are better choices. Delivering more performance, interior space, and cargo capacity, newer subcompact SUVs highlight Lexus’ struggle to have a small, affordable hybrid that has the same appeal as the Toyota Prius.
