The four-cylinder engine that comes standard is more powerful and the new V6 is larger and more powerful than before. Adding to the improved responsiveness these changes bring is a new five-speed automatic transmission. The suspension has been revised, producing a very soft ride quality. And minor structural changes have been made to improve space efficiency inside.

In spite of these revisions, the Highlander remains the easiest of motoring companions. Getting in and out couldn't be easier. Its flexible interior makes it easy to various combinations of people and cargo. Seating for five comes standard, but 2004 models offer an optional third-row seat to carry up to seven passengers, though they'd be cramped. The third row folds flat and the second-row seat folds nearly so, revealing 80 cubic feet of cargo space, more than a Toyota 4Runner. The Highlander can swallow impromptu flea-markets buys with ease, and tote them home despite sudden worsening of the weather. New airbag systems for 2004 include optional curtain-style airbags and side airbags designed to protect passengers' heads and torsos in a side impact or rollover.