The Ford Escape Hybrid continues to be a "full" hybrid.  This means that, unlike other "mild" hybrid vehicles, Escape Hybrid can run on 100 percent electric power up to about 25mph, maximizing in-city economy.

At low speeds, power is delivered by a permanent  magnet AC synchronous electric motor, producing 70kw at 5,000 rpm and 330V maximum voltage.  When additional power is required, the Escape Hybrid's 2.3-liter DOHC 16-valve Atkinson cycle four-cylinder engine seamlessly engages, contributing 133 horsepower at 6,000 rpm and 124 lb.-ft torque at 4,250 rpm.  The net result is 155 horsepower with 0-60 times comparable to a 200 horsepower V-6 engine and a boost in city-driving fuel economy of nearly 75 percent.  Escape Hybrids are equipped with a smooth-shifting, electronically controlled Continuously Variable Transmission (CVT).

For 2008, Escape Hybrid engineers made revisions to software in the control system to improve transparency, or the transition between gasoline and electric operation.  The transition from all-electric to gasoline power to a combination of the two is now even more seamless and virtually imperceptible to the driver.