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Marton Pettendy2 Jul 2014
NEWS

Lexus considering LX diesel

Biggest Lexus SUV could get diesel power after all, but smaller models to stay hybrid only
Lexus' largest SUV, the Toyota LandCruiser-based LX, could finally be made available with diesel power.
In Australia, the LX 570 is currently only available in one specification, equipped with a 5.7-litre petrol V8 and priced from around $140,000.
Lexus has always ruled out the possibility of a diesel-powered LX, because it was primarily designed for petrol-oriented markets like the US and Middle East. Now, it seems that attitude has changed.
The Japanese premium brand, which is a hybrid-only brand in the UK, is the market leader in petrol-electric luxury vehicles and has long highlighted the relatively high NOx and CO2 emissions of diesel vehicles. This is despite the fact a large proportion of its European customers, and those of its sister brand Toyota in Australia, buy diesel models.
Now, Lexus says that although it remains committed to hybrid technology, there's a good chance it will introduce a diesel-fuelled LX in response to strong demand.
"We haven't confirmed diesel for LX, but if it was available we'd certainly look at it. It's not off the table," Lexus Australia CEO Sean Hanley told motoring.com.au.
Hanley said he was "in deep discussions" about a diesel LX and was "pretty confident" it will eventuate, but could not put a timetable on its local release.
"If we could get it, we would certainly sell it," he stated.
Despite the fact that diesel vehicles account for half the sales of some luxury brands in Australia, the local Lexus CEO ruled out diesel passenger cars and smaller SUVs, including the RX.
He said a diesel LX would not detract from the hybrid movement for which Lexus has become synonymous.
"Our commitment to hybrid doesn't alter and is unparalleled," he said. 
"At the same time it's a careful balance of what the market desires. Clearly in the luxury SUV market there's a great interest in diesel.
"In passenger cars the hybrid is the right direction, but in Australia there exists a large diesel SUV market and we are there to serve the customer.
"We won't bring diesel to Lexus in the passenger car market. There's no plan for diesel passenger cars or small SUVs.
"It doesn't deteriorate from our direction at all, especially with sedans. It doesn't dilute the hybrid message. We're simply looking at market demand."
Like Nissan's new-generation Patrol SUV, the lack of a diesel engine has excluded Lexus' biggest model from the largest part of the large luxury SUV segment.
In Australia, the vast majority – up to 95 per cent – of all 200 Series LandCruisers sold in Australia had diesel engines.
Hanley said the release of hybrid models by other brands and the growing take-up of hybrid versions of all Lexus passenger models was proof its hybrid strategy was working.
"Hybrid's position in the passenger car market demonstrates its acceptance is on the rise and the good news is other brands are following," he said.
"You've seen that with ES, GS, IS, RX and CT, where hybrid sales represent in excess of 30 per cent. In ES, hybrid sometimes outsells petrol."
In terms of the overall Australian market, however, sales of hybrid vehicles are declining across all segments.
Less than 12,000 new hybrids were sold in Australia last year, within a total of 1.14 million.
To May this year Toyota Australia found just 200 or so buyers for its Prius – the world's top-selling hybrid – around a third of which went to non-private customers.

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Written byMarton Pettendy
Our team of independent expert car reviewers and journalists
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