The second generation RAV4, known as the XA20 series, went on sale in July 2000.
Like the previous model, the XA20 was available in three- and five-door configurations and was constructed on a platform that shared Carina and Corolla elements.
Development began in 1995, with a design freeze in the first half of 1998.
Styling was done at Calty Design Research Incorporated (also simply known as Calty) by Yasuhide Hosoda and Kevin Hunter from 1996 to 1997.

The second generation RAV4 was originally offered in a number of trim levels in the UK: NV was front-wheel drive, while NRG, GX, and VX were permanent four-wheel drive with differing levels of equipment.
Although the RAV4 was available as a three-door in Europe, Asia and Australia, the American model was only available in a five-door configuration.
A 1.8-liter inline-four engine (only with 2WD) producing 92 kW (123 hp; 125 PS), 2.0-liter inline-four engine producing 110 kW (150 hp; 150 PS), 2.4-liter inline-four engine producing 118 kW (158 hp; 160 PS), and a D-4D diesel engine were available.
Some RAV4s came with anti-lock braking system, electronic stability control, air conditioning, a height-adjustable driver's seat, cruise control, a six-speaker CD stereo and power windows, mirrors and seats.
A sport package added a mesh grille, bonnet scoop, color-keyed door handles, a roof rack, silver sport pedals, heated mirrors, gray-painted bumpers and fender flares, and sport fabric seats.
Other options included alloy wheels, heated seats, a sunroof and keyless entry.
16-inch wheels were standard; larger tires were available on all-wheel-drive models.

In Australia, the RAV4 came in base Edge and upmarket Cruiser models in both three- and five-door configurations.
The main differentiation between the two models was in appearance.
Edge models came with unpainted grey bumpers and side cladding, mirrors, and door handles, and featured steel rims.
Cruiser models gained body-colored (painted) bumpers and moldings, mirrors, and door handles, alloy wheels, and ABS brakes.
All models came equipped with a brand-new 2.0-liter four-cylinder engine featuring VVT (variable valve timing), resulting in improved power and torque, as well as fuel consumption.
Permanent all-wheel-drive was a feature.
Options were ABS brakes (on the Edge), and air conditioning (on all models).
The second generation RAV4 enjoyed success in Australia, where it became the best-selling SUV in the country in 2001, overtaking its rival the Honda CR-V for the first time.

In late 2003, the 2004 model RAV4 was given a styling update, improved equipment, and, in certain markets, a new engine.
In the United States the safety structure was improved and Vehicle Stability Control made standard.
The RAV4's 2.0-liter engine was upgraded with a new 2.4-liter engine in the US, producing 120 kW (160 hp; 160 PS) and 220 N⋅m (162 lb⋅ft).
Other countries got mostly 5-door models with the 2.0 liter VVT-i engine.
Automatic electric air conditioning also became available.
European models got a new catalytic converter because of the new European emission policy.
The new model also got an electric throttle.

In Australia, for the facelift, the base Edge was renamed CV, and gained standard air conditioning (previously an option).
The CV also received painted bumpers, which came in either silver or body-colored shades, depending on the body color.
In addition, the model range was given a subtle facelift, consisting largely of a new front bumper with circular fog lights and white turn signals instead of the older orange lights.
In 2005, a new "CV Sport" model was added to the range in Australia, which included a non-functional bonnet scoop, giving the RAV4 a more aggressive appearance.
The CV Sport model was short-lived, lasting only a year, and was introduced primarily to stimulate sales until the new model arrived in early 2006.

The second generation RAV4 had the highest proportion of female drivers among all makes and models in the United States, with the possible exception of the Volkswagen New Beetle, according to 2003–2004 registration an
The second generation RAV4, known as the XA20 series, went on sale in July 2000. Like the previous model, the XA20 was available in three- and five-door configurations and was constructed on a platform that shared Carina and Corolla elements. Development began in 1995, with a design freeze in the first half of 1998. Styling was done at Calty Design Research Incorporated (also simply known as Calty) by Yasuhide Hosoda and Kevin Hunter from 1996 to 1997.
The second generation RAV4 was originally offered in a number of trim levels in the UK: NV was front-wheel drive, while NRG, GX, and VX were permanent four-wheel drive with differing levels of equipment. Although the RAV4 was available as a three-door in Europe, Asia and Australia, the American model was only available in a five-door configuration. A 1.8-liter inline-four engine (only with 2WD) producing 92 kW (123 hp; 125 PS), 2.0-liter inline-four engine producing 110 kW (150 hp; 150 PS), 2.4-liter inline-four engine producing 118 kW (158 hp; 160 PS), and a D-4D diesel engine were available. Some RAV4s came with anti-lock braking system, electronic stability control, air conditioning, a height-adjustable driver's seat, cruise control, a six-speaker CD stereo and power windows, mirrors and seats. A sport package added a mesh grille, bonnet scoop, color-keyed door handles, a roof rack, silver sport pedals, heated mirrors, gray-painted bumpers and fender flares, and sport fabric seats. Other options included alloy wheels, heated seats, a sunroof and keyless entry. 16-inch wheels were standard; larger tires were available on all-wheel-drive models.
In Australia, the RAV4 came in base Edge and upmarket Cruiser models in both three- and five-door configurations. The main differentiation between the two models was in appearance. Edge models came with unpainted grey bumpers and side cladding, mirrors, and door handles, and featured steel rims. Cruiser models gained body-colored (painted) bumpers and moldings, mirrors, and door handles, alloy wheels, and ABS brakes. All models came equipped with a brand-new 2.0-liter four-cylinder engine featuring VVT (variable valve timing), resulting in improved power and torque, as well as fuel consumption. Permanent all-wheel-drive was a feature. Options were ABS brakes (on the Edge), and air conditioning (on all models). The second generation RAV4 enjoyed success in Australia, where it became the best-selling SUV in the country in 2001, overtaking its rival the Honda CR-V for the first time.
In late 2003, the 2004 model RAV4 was given a styling update, improved equipment, and, in certain markets, a new engine. In the United States the safety structure was improved and Vehicle Stability Control made standard. The RAV4's 2.0-liter engine was upgraded with a new 2.4-liter engine in the US, producing 120 kW (160 hp; 160 PS) and 220 N⋅m (162 lb⋅ft). Other countries got mostly 5-door models with the 2.0 liter VVT-i engine. Automatic electric air conditioning also became available. European models got a new catalytic converter because of the new European emission policy. The new model also got an electric throttle.
In Australia, for the facelift, the base Edge was renamed CV, and gained standard air conditioning (previously an option). The CV also received painted bumpers, which came in either silver or body-colored shades, depending on the body color. In addition, the model range was given a subtle facelift, consisting largely of a new front bumper with circular fog lights and white turn signals instead of the older orange lights. In 2005, a new "CV Sport" model was added to the range in Australia, which included a non-functional bonnet scoop, giving the RAV4 a more aggressive appearance. The CV Sport model was short-lived, lasting only a year, and was introduced primarily to stimulate sales until the new model arrived in early 2006.
The second generation RAV4 had the highest proportion of female drivers among all makes and models in the United States, with the possible exception of the Volkswagen New Beetle, according to 2003–2004 registration an
Toyota RAV4