According to sources, the updated 2026 bZ appeared as the best-selling non-Tesla EV in quarter one. Some of the sales can be due to the large pre-electric crossover received in 2026. The RZ comes with a larger battery pack, faster charging, and a Tesla-style North American Charging Standard (NACS) port mounted directly from the factory. The lineup also expanded with the new, faster 550e F sport trim. This variant introduces how Lexus calls "Interactive manual drive system" by the driver Mi gear change for paddle shift steering wheel like a burning car. The system does a thorough job of mimicking a manual gearbox.
However, it is not as sophisticated as the Hyundai Ioniq 5N, which feels the simulated transmission is aligned with the car's wider performance focus, as the 2025 model Y'julook-E. The Rz, by contrast, offers a milder interpretation of the same idea that brings a manual shift to a daily electric luxury crossover. While it's fun to drive with a mature ride and handling setup, it's not the "corner rascal" that the Ioniq5N is. Instead, the 550e is a stupidly fast family EV that allows you to reminisce about the auditory drama and behavior of an internal combustion engine. But this virtual gear shifter play isn't enough to overlook other downsides of this trim, including a frustratingly low real-world range and a price tag that's hard to justify close to what you see.
Electric motors provide power over a wide range of speeds and RPMs without relying on complex multi-speed transmissions like gas vehicles. In most cases, a single-speed setup is sufficient to obtain the full performance of an electric motor. Installing a virtual shifter on an EV is not a necessity, but a reproduction of the familiar driving experience. In some ways, this is also a great example of how far modern automotive software has come. RZ's virtual shifters lean hard on that idea. At its core is just the software code of the vehicle's electronic control unit (ECU), which interprets the throttle input and vehicle speed to determine how the "gearbox" responds at any time.
The result is an eight-speed virtual transmission that feels surprisingly accurate by mimicking the cadence of the manual.To install the manual shifter, you need to press the "M Mode" button on the center console. Then the paddle behind the steering shift like a dual clutch transmission or a crisp sports tuning torque transducer. Hit the virtual rotation limiter, where they all accelerate flat until you shift higher. On normal roads, the experience feels a bit unnatural. But around the twist, the system remains a bit of a gimmick, but it makes more sense. Holding a higher gear at a lower speed will make the acceleration dull and you will feel the torque drop.
With tilt, the system will tweak you to shift down to get into the correct power band. And on the downhill, you can rely on the "engine brake" to reduce the speed without the use of real brakes.The gauge cluster displays shift indicators "up" and "down", and the synthetic engine sound is piped to the speakers, reflecting the rhythm of the conventional gearbox. The shrill whining and gentle four-cylinder growls during acceleration, however, paralyze the experience when you're off the throttle. There is a feature called "Active Sound Design" that allows you to adjust the volume of the virtual shifter to low, medium, or high. I hope Lexus was fully committed to the theme here with more combustion engine auditory drama rather than making it sound like a mix of EV and gas.
The whining from the loudspeaker blowing up in my ear couldn't stand after the point, so I drove most of my time with a virtual shifter off, just like a normal EV and oddly enough, it's also the best way to enjoy this car. The United States gets the trainer version of the 550e F Sport. Foreign models offer yoke steering and steering-by-wire setups, while US-spec cars stick mechanical links to the conventional steering wheel and front wheels. The RZ550e is still really engaged in driving, and in fact, its driving dynamics is definitely its strongest suit. That alone makes it stand out in segments where many electric crossovers tend to be lazy in the ride and handling sectors. Blame the usual suspects for this epidemic: a heavy, floor-mounted battery.
The suede textured bucket seat exclusive to this trim also limits the shock wrapping tightly around you and side corners. The trade-off is displayed at low speed. On a typical New York City road, the ride occasionally felt harsh. The chassis settled on the accumulation of speed and smoothed into something much more composed and refined. It is also its power distribution that makes a significant contribution to the handling of RZ. In range mode, it maintains a rear split to the front equal to 50:50. When you switch to sports, the system becomes much more dynamic. It sends up to 100% of force to the rear axle or splits during angular entry for sharper turns.
The range and charging performance of the RZ is somewhat mixed bag. Its battery size has grown from the updated 350e and 450e to 75kWh packs for trim to 71.4 kilowatt hours in previous model years. The 550e steps up to a slightly larger unit of 77kWh with 229-inch wheels and an epa estimated range of 20 miles. In real-world driving, I was nowhere near the figure. With a normal 10% to 80% charge schedule, you're working with a usable range of about 150-160 miles on longer trips. EV batteries tend to be less efficient at low temperatures because slower electron transfer in the cell results in greater internal resistance and greater energy loss.
But the RZ looks more sensitive to cold weather than many EVs I've driven this past winter. If overt range is preferred, the 350e makes a stronger case. It carries an EPA estimate of over 300 miles, and four levels of adjustable brake regeneration via a front-wheel drive layout, smaller wheels and paddle shifters that provide better efficiency with less power hungry motors have a nice-to-improve efficiency, but the strongest regen settings certainly bring the car to a full stop. However, one-pedal driving continues to be a big mistake in Lexus EVs. That said, all RZ trims now get Tesla-style NACS connectors directly from the factory and have easy access to over 25,000 superchargers across the country.
But in fact, charging with a supercharger was not so easy. It took 3 attempts to start the charging session. It was not immediately clear if the problem was due to the dispenser or the vehicle, but while charging, the gauge cluster displayed a warning sign indicating a malfunction of the EV system, but the charging itself appeared to be working properly. When the session ended, the warning disappeared. The preset settings for the included battery should make charging more efficient even when conditions are not so ideal. The RZ550e is not trying to be a wild, track-focused machine like the ioniq5N. The problem is, it has missed some of the basics that make EVs great everyday drivers in the first place.
In addition to the limited operating range, it also misses out on route planning, which is an obvious omission in 2026. Infotainment also feels outdated and lagging behind. It still provides a place where Lexus is traditionally better. The cabin is luxurious, trimmed with high-quality materials and feels like a clear step-up from mass-market Toyota. Its NVH level is top class and blocks outside noise to a level comparable to expensive Bmw or Cadillac. But these things can also be used with cheaper 350e and 450e trims. There is still a possibility here. The 550e's virtual shift system allows you to use more subtle sound design and traction and responsive adjustment capabilities.. If you're chasing driving engagements and gas engine fakes, spending an extra $7,000 on the Hyundai Ioniq5n will feel much more rewarding. And if you want a performance crossover that's not trying to mimic a gas vehicle, the market isn't short on alternatives.
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