The second generation Allion and Premio were introduced on 4 June 2007, with Toyota continuing to offer appearance modifications at local dealerships. These cars continued to fill the gap between Corolla and Camry. G-BOOK is on the list of optional features. The Premio gained the inclusion of a LED in the rear lamp cluster. Other changes included the smart entry and start system, a rear-view monitor in color, and a hard disk navigation system compatible with the G-Book mX telematics service.
Four-wheel drive was offered on vehicles equipped with the 1.8-liter 2ZR-FE direct-injection engine. A 2.0-liter valvematic 3ZR-FAE engine was made available in January 2008, cutting the emission by 75 percent from the level required by the 2005 Japanese emission standards, and also achieving 20 percent better fuel economy than required by the 2010 fuel consumption standards. The transmission was a Super CVT-i.