The 3rd gen 4runner debuted as a 1996 model and was developed under project chief Masaaki Ishiko. The 3rd gen no longer used any body parts or frame from Toyota’s compact pickup trucks. It now sported an all-new body design that was a direct evolution of the 2nd gen 4runner aesthetic. The 1996 4runner was very handsome and immediately recognizable as a Toyota product. The front and rear fender flares are embellished along the profile of the vehicle, providing a tough off-road-centric look. The front end is all business, with large headlights, a prominent grille with the Toyota emblem displayed front and center, along with a beefy front bumper. The rear end design mimics the clean aesthetic of the front. Vertical taillights, a large rear bumper, and smooth lines provide a holistic look. One feature that stands out is the rear tailgate with a power window that comes down for ventilation or to carry long objects.



Designers wanted the cabin to be roomier and offer better utility than before, so Toyota engineers made refinements where they could. The cabin height, front hip point, floor height, and front and rear door openings were revised to help to aid ingress and egress of the vehicle.

 
Some standard features included a nice, deep-pile carpet, fabric headliner, power rear window, tinted glass, The seats were designed to be more comfortable and supportive. The HVAC controls sat on top of the radio controls, with all of the controls well marked and easy to use. Plastic quality was high, with a nice finish and good texture. Gauges were well designed and easy to read at a glance. The center console offered a deep storage box, 2 cup holders on 1999+ models, and a parking brake making it a useful design. There was a nice footwell air vent placed under the steering column.


The 2.7-liter featured a 16-valve design with double-overhead cams. Long independent intake runners improved intake efficiency and helped the engine make more power. A small valve angle and cylinder head with a pent-roof combustion chamber helped maximize engine efficiency. The use of Aluminum alloy crankshaft bearings along with balance shafts contributed to improved engine reliability and decreased noise and vibration. This 4 cylinder engine matched the previous 3.0L 3VZ-E v6s output of 150 horsepower, so it was a nice boost for the base engine.



The 5VZ-FE engine displaces 3.4-liters and features a 24-valve, twin-cam design with long independent intake runners. The v6's design provides good power at higher rev ranges while delivering off-the-line torque for off-road trails or towing. The V6s use of a 9.4-liter air cleaner and dual-intake resonator are done to reduce noise, vibration and harshness. The 5VZ produces 183 horsepower at 4,800 rpm and 217 lb./ft. of torque at 3,600 RPM. Tow ratings are 5,000 pounds in both two- and four-wheel-drive configurations.


The manual transmission was available on the 4 and 6 cylinder models. The 5-speed was dropped for the V6 engine beginning in 2001. The rear-drive automatic transmission was the A340E while the 4x4 auto was the A340F.


Front and Rear suspension travel and tread width have been increased compared to the 2nd Gen 4Runner. The 4Runner’s front suspension consists of a coil spring double-wishbone design. The lower arm uses a closed cross-sectional structure that adds strength while reducing unsprung weight. The rear suspension is a four-link coil-spring design made specifically for 4Runner.


1996 to 2000 SR5 and Highlander 4WD models were equipped with the all-mechanical VF2A J-Shift 2-speed transfer case. This was a part-time 4WD without a center differential. The system consisted of Toyota's 4WDemand shift-on-the-fly engagement system, which allows for the 4WD system to be engaged at speeds up to 50 mph. It is not recommended to use this 4WD system on dry pavement as the driveline may bind around corners.


For the 1996-1998 4runner limited models, Toyota utilized their One-Touch Hi-4 switch for push-button 4WD Engagement. This feature allows for 4WD engagement by pressing a button on the transfer case selector knob. Regardless of model, the transfer lever is used to go from 4WD High to 4WD Low.


In 1999, the Limited’s 4x4 system was updated to use a VF3AM transfer case, which contains a center differential mechanism. The VF3AM allows for the use of multi-mode 4WD, enabling part-time 4WD that switches between 4WD and 2WD mode as necessary, and of a full-time 4WD. You can consider the multi-mode 4WD as a full-time all-wheel-drive system with 2WD capability. Multi-Mode 4WD uses an open center differential with locking allowing a full-time all-wheel-drive system but also makes available the use of 2WD.
 
In 2001, the optional electric rear differential lock was discontinued in addition to the manual transmission for the 3.4L. A-TRAC, ABS with EBD and VSC was implemented along with a hydraulic brake booster. All 2001-2002 4x4 models used the multi-mode 4WD system.