Toyota will cease sales of the Avalon large sedan in the U.S. after the 2022 model year.
The information was first reported on Monday by Automotive News (subscription required) and since confirmed by Toyota.
Avalons sold in the U.S. are sourced from Toyota's plant in Georgetown, Kentucky, where Toyota also builds the Camry, RAV4 and Lexus ES. Production capacity and employment at the plant won't be impacted, a spokesman told Automotive News.
Avalon sales in 2020 reached just 18,421 units and 2021's tally is shaping up to be just as low, even with recent additions of a sporty TRD model and all-wheel-drive option. In comparison, the RAV4 sold 430,387 units in 2020 and is on track to hit even higher sales in 2021, highlighting the decreased demand for sedans.
Toyota announced other changes for 2022. The TRD model won't return, and neither will the XLE AWD, Limited AWD, and XSE Nightshade models. A new Hybrid Nightshade model will replace the XSE Hybrid.
The current Avalon, the nameplate's fifth iteration, was only introduced for the 2019 model year. However, it isn't being phased out completely. Toyota plans to continue selling it in China, where production is handled locally.
The Avalon nameplate was introduced for the 1995 model year, offering American buyers in particular a larger, more premium offering than the Camry. However, today's Camry almost matches the Avalon in size while buyers looking for some luxury only need to stretch a little to hop into a Lexus ES. Coupled with falling demand for sedans, it's been clear for a while that the Avalon was on borrowed time.