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Luxury car brands scrambling to avoid a blue Christmas

DETROIT — When financial markets surge to new records, sales of luxury cars usually rise, too. Instead, October U.S. auto sales reports on Wednesday showed that a collapse in sales of luxury sedans is accelerating. Consumers have gradually shifted over to luxury sport utility vehicles from sedans in the past decade, but the trend — which has occurred in both the non-luxury and luxury sedan segments of the auto market — was particularly pronounced in October. Sales of Daimler AG's Mercedes-Benz S-Class, long a global benchmark for large, premium sedans, plunged 49 percent in October, and are down 24.8 percent for the year to date. General Motors' Cadillac brand said it sold just 779 of its CTS sedans in October. Demand for that car, designed to compete with German luxury sedans, is down nearly 33 percent for the year. "There's still a significant portion of the market that wants a car, but I'm sure there were people who preferred a horse to a car at one point." Cadillac's best-selling model this year is the XT5 compact SUV, which has more than doubled sales from a year ago. The shift within the luxury vehicle market away from sedans toward SUVs of all sizes is forcing some of the most prestigious brands to scramble to add SUV models to their lineups or boost SUV production to meet demand. "In the short term, there will be pressure to add (consumer) incentives, cut production or both," said Cox Automotive analyst Michelle Krebs. "And we just don't see an end in sight to this trend." The Dow Jones Industrial Average has been trading at all-time highs, usually a good sign for luxury sedans, but as major automakers reported new U.S. vehicle sales for October on Wednesday, sales for passenger cars continued their slide while luxury SUV and crossover sales rose again. According to Kelley Blue Book data, in 2007 luxury sedans made up 7.6 percent of U.S. new vehicle sales, while luxury SUVs made up 4.2 percent. Through September this year, luxury SUVs made up just over 7 percent of the market, compared with 4.9 percent for luxury sedans. In the short term, luxury brands could use holiday season sales promotions to clear slow-selling sedans off dealer lots, analysts said. Toyota's Lexus brand said on Wednesday it will launch its "December to Remember" year-end sales promotion for the 18th straight year.

Lexus UX crossover photo and video released ahead of Geneva

At long last, we have eyes on the production version of the Lexus UX compact crossover that will debut at the Geneva Motor Show next month. The retail-ready model was previewed by the UX concept shown at the 2016 Paris Motor Show, which looked like Batman's loaner vehicle while his Tumbler was in the shop. As one would expect, the UX that customers will be able to buy has filtered out all of the bizarro, leaving what looks like a little Lexus NX sprinkled with unique design cues, such as the upright vents in front and the full-width taillight. Lexus calls the UX its "first urban crossover," for reasons we can't imagine; even the Lexus LX, which could probably drive from Boston to Reykjavik if given a long-enough snorkel, only gets dirty in Jackson Hole or at Whole Foods. More reasonably, Lexus promises "exceptional body rigidity," a low center of gravity thanks to a hunkered-down platform borrowed from the Toyota C-HR, and handling that "will be as agile as a hatchback." This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Engine specifics will likely wait until Geneva, but we do know that Lexus trademarked UX 200, UX 250, and UX 250h a couple of years ago. The big-brother NX comes in 300, 300 F Sport, and 350h guises, but is equipped with a 2.0-liter turbo putting out 235 hp in standard spec. Lexus will need room between the UX and NX, but UX competitors like the Audi A3 pump out 200 hp, and the BMW X1 serves up 228 hp. The teaser video above reveals the instrument panel, topped by a widescreen infotainment center that looks like a minimalist rework of the Lexus RX interior. The gauge cluster has physical dividers but appears to be completely digital. You can watch Lexus' livestream from Geneva for all the details we don't have now, or just check back here on March 6 for the particulars and the photos. Related Video: Motorsports Geneva Motor Show Lexus Crossover Luxury Videos lexus ux

Are you the Lexus GS F?

It's been a while since we've heard rumors of the fabled high-performance Lexus GS F, but thanks to our eager spy photographers, this looks to be our first real proof of the machine's existence. We don't have the usual brace of photos from all angles to work with this time around, our spies saying that every time Lexus' garage door opened, engineers jumped in front of the cameras to prevent the car from being photographed.
Even so, we have a pretty clear glimpse at some significant changes to this GS sedan, including the same staggered, quad-pipe exhaust found on the Lexus IS F. There's also an air diffuser panel nestled between the exhaust outlets, as well as a larger lip spoiler and unique wheels (matching those of the RC coupe) wrapped in high-performance tires.
Last time we heard rumors of the GS F's existence, sources predicted that the M5-fighting sedan would use a tuned version of Lexus' 5.0-liter V8, producing something like 465 horsepower. We have also heard that the automaker plans to reduce weight wherever possible, and that the final curb weight will be something like 3,700 pounds.