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Lexus eschews production in China over quality concerns

One of the more popular trends in the auto industry is setting up production operations in China. Mainstream manufacturers like Ford, General Motors and Volkswagen have done it, and even luxury marques like Audi, BMW and Mercedes-Benz have or will soon have manufacturing ops in the People's Republic.
One company that isn't building cars in China, though, is Lexus. The Toyota-owned luxury brand still manufactures all of its vehicles in Japan (aside from a few RXs, which are built at a Toyota factory in Canada). According to Tokuo Fukuichi, Lexus just isn't ready to build cars there yet.
"The German Three have a brand image that they have cultivated over the past century in their long history, but Lexus is not in people's minds like that yet," Fukuichi-san told Reuters UK.

Toyota might stop importing certain models if tariffs imposed

In case you hadn't heard, the entire automotive industry, both domestic and foreign, is very much against the automotive tariffs proposed by the Trump administration. And while the industry is lobbying hard against such tariffs, companies are also having to consider what to do in the event they are passed. CEO of Toyota's North American operations, Jim Lentz, told Bloomberg that the company will certainly be reconsidering its strategy in the event of tariffs between 10 and 25 percent the cost of the car. He told the news outlet that, depending on how high the tariffs are, Toyota might just increase the price of some models, or stop importing them altogether. Toyota does build a large number of its cars here in the United States. The Toyota Camry, Avalon, Tundra, Highlander, Sequoia, Sienna models are all built here, as well as some Tacomas, Corolla sedans, and Lexus ES sedans. Many of those vehicles are big sellers for Toyota, too, so that's good for the company. But many other Toyotas are built outside the country. The Toyota RAV4, Prius range, C-HR, Corolla hatchback, Land Cruiser, 86, Yaris, Yaris sedan, Mirai, 4Runner, and the entire Lexus line are built in other countries. Some of these imports we're sure are safe no matter how high the tariffs might be. The RAV4 is the company's biggest seller, and the Prius sells well, too. Even if the Prius wasn't selling so well, the company would probably still sell it simply because it's an image builder. Somewhat related, we imagine Toyota would continue offering a handful of Mirais. The 4Runner, C-HR and Corolla hatchback would probably be safe, too. If these models stick around after potential tariffs are imposed, expect their prices to increase. But in the Toyota line, anything that's not selling well and has tight margins is probably doomed. Chief among them are the French-built Yaris hatchback and the Mexican-built Yaris iA sedan. Both cars have terrible sales, and being low-end cheap cars, they'll only sell worse with higher prices, and Toyota will lose money if it has to eat the tariff. The 86 is a similar situation in which it's a niche vehicle that has had weak sales and is being sold at a relatively low price. The Land Cruiser could go either way. It sells in small numbers, but it's already extremely expensive and continues to sell. Buyers might not be put off by spending some more.

2019 Lexus ES is first mass-produced car to replace side mirrors with cameras

Concept cars have been trying to replace side mirrors with cameras for decades, and now Lexus is actually going to do it on a production car. There's one important caveat though: It's only for Japan. First implemented for the recently redesigned (and recently reviewed) 2019 Lexus ES, the side mirrors are being replaced with small, aerodynamic camera stalks. Those small cameras tucked into the stalks provide a constant video feed to five-inch screens placed at the base of the car's A-pillars. The biggest reason manufacturers are pushing this kind of tech is to improve aerodynamics. Swapping those side mirrors out for something much smaller creates less drag, and ultimately, better fuel economy. Lexus says there are a couple other advantages for going digital here too. For one, the camera modules are able to resist the accumulation of raindrops and snow due to their design. There's also less wind noise since the mirrors cut through the air so well. This will become even more important as silent electric cars trickle their way onto the market. The actual visibility is supposed to be better as well. Lexus says that the view is "enhanced" when you activate a turn signal, and helps provide better rearward vision when put into reverse — think Honda LaneWatch, but way cooler. We won't be seeing this futuristic-looking side mirror technology in the U.S. for some time, because it's still not legal here. The technology is legal to use in Europe, but Lexus says it'll only be offered in Japan for the time being. Audi, though, will be bringing its side camera mirror technology to Europe by the end of the year with the E-Tron. There's still no release date on the electric SUV, but it might be the first to market with the tech on that continent. Audi wants to bring side mirror camera technology to the U.S. in its E-Tron, but the regulations still need to be changed to allow that here - the E-Tron is expected to be for sale in the U.S. sometime in 2019. Buyers in Japan will be able to scoop a Lexus ES with the tech this October. Related Video: