Toyota is looking into offering a compact pickup in the U.S., potentially joining Ford and Hyundai in competing in the growing market for entry-level trucks.

Full-size and midsize pickups dominate the U.S. market, but their price ¡ª along with their size ¡ª have increased steadily in recent years. Average new vehicle transaction prices hit $48,699 in April and, with U.S. President Donald Trump¡¯s trade policies threatening to send them even higher, drivers are increasingly looking for more affordable trucks with pint-sized beds.

Ford¡¯s Maverick and Hyundai¡¯s Santa Cruz models, both of which debuted in 2021, have tapped into that demand. Now, Toyota executives say the Japanese automaker is listening to U.S. dealer requests for a truck smaller than the brand¡¯s best-selling Tacoma midsize and Tundra full-size pickups.

¡°We¡¯re looking at it,¡± Mark Templin, Toyota¡¯s chief operating officer in the U.S., said in an interview.

Toyota executives declined to give details on how far along the plans are or when a tiny truck could be launched.

The potential foray into smaller pickups comes alongside a broader revamp of Toyota¡¯s lineup. The carmaker is rapidly expanding its offerings of hybrid gas-electric models and plans to roll out several fully battery-electric models in the U.S.

With a starting price of $28,145, Ford sold 131,142 Mavericks in the U.S. last year, up 39% from the previous year. It offers the truck in gas-only or hybrid versions. Hyundai¡¯s Santa Cruz sports utility truck, which starts at $28,750, saw 2024 sales in the U.S. fall 13% to 32,033.

Toyota views the compact truck market as an opportunity to attract budget-minded retail and fleet buyers who don¡¯t want to pay a premium, but desire the utility of a pickup.

¡°We could really do well in that segment, so we¡¯re trying to do it,¡± Cooper Ericksen, a senior vice president in charge of planning and strategy at Toyota Motor North America, said in a separate interview. ¡°It¡¯s a matter of timing.¡±