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The new 2018 Lexus LS 500h hybrid V6 makes V8 power

With hybrids en vogue in Geneva, Lexus has taken the opportunity to debut the all-new 2018 Lexus LS 500h. The V6 is paired to two electric motors for a healthy total of 354 horsepower, just not far off the a V8-powered LS 460. It is down quite a bit from the outgoing 438-horsepower LS 600h but still enough to send the LS 500h to 60 miles per hour in 5.4 seconds. The hybrid system is similar to the one in the new LC 500h coupe, which combines the traditional Toyota hybrid two-motor CVT with a 4-speed automatic for better responsiveness, less of the "rubber band" CVT sensation, and (of course) greater efficiency. It should also help keep the LS 500h relatively quiet at full bore, keeping it in line with the "whisper quiet" mantra of the new LS. The new lithium-ion battery pack is 20 percent smaller than the outgoing nickel-metal battery, though Lexus claims power density has been improved. Styling changes to the hybrid are minor. It still features the love-it-or-hate-it spindle grille that's permeated throughout the Lexus lineup, but other than a handful of hybrid badges and the typical blue ring around the badge, it's hard to spot the difference between the models. The interior appears to have a few minor trim changes, including some new reptile scale-like door panels. While fuel economy hasn't been announced, expect improvements over the outgoing model's 19 city/23 highway rating. Look for more news on fuel economy and pricing in the next few months. Related Video:

The next steps automakers could take after sales drop again in April

DETROIT (Reuters) - Major automakers on Tuesday posted declines in U.S. new vehicle sales for April in a sign the long boom cycle that lifted the American auto industry to record sales last year is losing steam, sending carmaker stocks down. The drop in sales versus April 2016 came on the heels of a disappointing March, which automakers had shrugged off as just a bad month. But two straight weak months has heightened Wall Street worries the cyclical industry is on a downward swing after a nearly uninterrupted boom since the Great Recession's end in 2010. Auto sales were a drag on U.S. first-quarter gross domestic product, with the economy growing at an annual rate of just 0.7 percent according to an advance estimate published by the Commerce Department last Friday. Excluding the auto sector the GDP growth rate would have been 1.2 percent. Industry consultant Autodata put the industry's seasonally adjusted annualized rate of sales at 16.88 million units for April, below the average of 17.2 million units predicted by analysts polled by Reuters. General Motors Co shares fell 2.9 percent while Ford Motor Co slid 4.3 percent and Fiat Chrysler Automobiles NV's U.S.-traded shares tumbled 4.2 percent. The U.S. auto industry faces multiple challenges. Sales are slipping and vehicle inventory levels have risen even as carmakers have hiked discounts to lure customers. A flood of used vehicles from the boom cycle are increasingly competing with new cars. The question for automakers: How much and for how long to curtail production this summer, which will result in worker layoffs? To bring down stocks of unsold vehicles, the Detroit automakers need to cut production, and offer more discounts without creating "an incentives war," said Mark Wakefield, head of the North American automotive practice for AlixPartners in Southfield, Michigan. "We see multiple weeks (of production) being taken out on the car side," he said, "and some softness on the truck side." Rival automakers will be watching each other to see if one is cutting prices to gain market share from another, he said, instead of just clearing inventory. INVESTORS DIGEST BAD NEWS Just last week GM reported a record first-quarter profit, but that had almost zero impact on the automaker's stock. The iconic carmaker, whose own interest was once conflated with that of America's, has slipped behind luxury carmaker Tesla Inc in terms of valuation.

8 things you should know about the Lexus LC 500h powertrain

Lexus unveiled the LC 500h today in The Netherlands, and I got to take a look inside its new hybrid system. On one hand it seems like a box of magic – it combines two seemingly incompatible transmission types into one package. But that's also the ingenious simplicity of the thing. We don't have all of the details on how it all works yet, but here's a rundown of the high points.Efficient business in front, low-key party in the back. What makes it all work is the mullet of transmissions. For the new hybrid transmission, Lexus used the Toyota Hybrid Synergy Drive/Lexus Hybrid System – which consists of an e-CVT with a planetary gearset and two electric motors (one for charging the battery, the other for motivation and regen) – and grafted a conventional four-speed automatic onto the back. The two units actually coexist in one package, with the e-CVT making things efficient and the automatic expanding the capabilities. So at the low end, the system can deliver more torque, and the engine can also run at lower rpm on the highway. It's all thanks to those fixed gear ratios, and it's surprisingly simple.Except it's not that simple. This is where the virtual gear ratios come in. Like current Lexus hybrids, the system has ratios it can call up with the e-CVT. In this case, there are six virtual ratios to complement the four real physical ratios, for a total of 10 "gears" at the transmission's disposal. (Not coincidentally, the V8 LC 500 coupe has a 10-speed automatic.) One of the four fixed gears is always engaged when the car is moving, so the 10 ratios come about from combinations of what the e-CVT in front and the automatic in the back are doing. In other words, all 10 ratios are variations on the four fixed gear ratios, which means that all 10 gears could be considered virtual.It won't use all the gears all the time. In Eco mode, the car will start off on electric power and skip the first couple of "gears." When it's set to Sport or Sport +, the engine will be engaged from a stop and the transmission will select the lowest ratio. The sportier modes will also ignore the top couple of gear ratios.It can drive faster with the engine off. In a Lexus GS 450h with the Lexus Hybrid System, for example, at speeds above 62 mph or so the engine has to start up. This is because something needs to take up some slack from the battery-charging motor-generator or else it will start spinning too quickly.