1992 Lexus Sc 400 on 2040-cars

Auto blog

Lexus in no hurry to be a big player in China

For a while now, China's spiraling wealth, population and development has had the world's luxury automakers in an expansionist fervor, with many executives exhibiting the sort of gleefully maniacal behavior historically reserved for gold-rush prospectors. Yet Toyota, of all companies, is exercising a surprising amount of caution in the Asian nation.
As The Wall Street Journal notes, Toyota's premium brand, Lexus, sold all of 64,000 vehicles in China last year, while BMW cleared its books of 326,000. In fact, it didn't even bother entering the market until 2005, while rival Audi built its first car in the market a decade and a half earlier. Even now, Lexus doesn't build any vehicles in China, and with the country's notoriously high tariffs on imports, that's a major disadvantage. Yet the business daily quotes Lexus executive vice president Mark Templin as saying that the brand is nowhere near ready to start building cars in the market. "We're not having those discussions about when we're going to go to China... We have a lot of work to do before we get to that point."
Part of that work includes establishing a more expansive dealer network - Lexus only had 99 stores as of 2012, while rival Mercedes-Benz had over two-and-a-half times as many, and it's still expanding. Adding a lot of dealers without having a goodly number of competitively priced offerings for them to sell may seem like an odd strategy, but Templin tells the WSJ that the goal is to "cultivate our image for quality and customer service and let the customers that we have go tell that story for us."

Lexus GX and LX future may be in doubt

With the debut of an all-new RX, Lexus is in a position for continued strong sales in the luxury SUV arena. The fourth-generation RX has grown, making room for the new NX model beneath it. But further up the ladder, things could change for the GX and LX. In an interview with Autoblog at the 2015 New York Auto Show, Lexus executive vice president Mark Templin gave some hints at the future of his brand's SUV lineup. "With NX and RX, we have a really good one-two punch in the crossover segments, and we think we can cover most of the markets with that," he said. As for the larger, three-row GX and LX models, which are built on a traditional ladder-frame chassis, things aren't so clear. Templin noted the the success of both models all over the world – the LX is the best-selling Lexus in Saudi Arabia. The same is true for sales here, he said: "We do very well with those products in the United States – GX has been a great product for us in the US for the last couple of years since its initial introduction. But the future of those vehicles longer term is in doubt because of regulations that are being driven by governments all over the world." Don't start stockpiling LX 570s in anticipation of shortages just yet. Templin didn't give any specifics; he just notes that tightening fuel economy and emissions regulations could affect product planning. In our analysis, if and when GX rides off into the sunset, Lexus still needs a midsize, three-row SUV to fill that gap. The most likely candidate for that is some variation on the RX. Whether or not that's the case, don't expect a BMW-like proliferation of body styles from Toyota's luxury division. "It creates problems. It creates complexity, that's hard for every step of the process," Templin said, nothing that too many models stresses the design department, manufacturing, and even dealers inventory selection. As for the bottom end of the lineup, Templin wouldn't comment on a compact SUV below the NX, saying "I think there are more potential options for us in the future, but we're not trying to grow the number of models we have in our lineup. It's not really what our core business is about." For now, Lexus and Templin are focused on launching the RX, which accounts for three of every 10 Lexus models ever sold. The 2016 model, available in RX 350 and RX 450h hybrid versions, goes on sale by the end of the year. Related Video:

Lexus NX Luggage Test: How much cargo space?

According to the specs, the new Lexus NX has 22.7 cubic-feet of cargo space behind its raised back seat. That is considerably less than the mechanically related Toyota RAV4 (37.5 cubic-feet) and Toyota Venza (28.8 cubic-feet). It's also less than several of its compact luxury SUV competitors. However, the shape of its cargo area, a clever cargo cover and the added versatility of under-floor storage make it one of the best cargo areas in the segment in terms of usability.  It's also important to note that there are four versions available, all with their own powertrain: the NX 250 (shown here) has a naturally aspirated four-cylinder shared with the RAV4; the NX 350h with the same hybrid powertrain as the Venza and RAV4 Hybrid; the unique turbocharged NX 350; and the NX 450h plug-in hybrid that's very similar to the RAV4 Prime. Despite these different powertrains, and the need to store the hybrids' batteries somewhere, I am told by Lexus that their cargo areas are equal. That includes the sizable under-floor storage area you'll see shortly.  Here's the cargo area. As you can see, it has a large cargo cover that's fairly distinctive. Rather than a long, large cartridge with a cover that rolls out, or a solid rigid panel, this one features a mesh fabric supported by a metal frame that folds in half. This design would make it easier to store than either of the other designs (be it inside or outside the vehicle), but Lexus goes a step further on this front. The under-floor storage area was thoughtfully designed specifically to accommodate this cargo cover. This is a rare feature in a compact SUV. It means you shouldn't have to worry about getting stuck with the cargo cover when you need every square-centimeter of space available.  There's also plenty of storage space without that cover. In fact, the main bin is big enough to swallow the Luggage Test fancy bag. Also storing the cargo cover would've been iffy, but this is nevertheless impressive. The Acura RDX is the only other compact luxury SUV to offer such a space and it makes a difference.  Now, onto the other bags. As in every luggage test I do, I use two midsize roller suitcases that would need to be checked in at the airport (26 inches long, 16 wide, 11 deep), two roll-aboard suitcases that just barely fit in the overhead (24L x 15W x 10D), and one smaller roll-aboard that fits easily (23L x 15W x 10D). I also include my wife's fancy overnight bag just to spruce things up a bit (21L x 12W x 12D).