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NEWS
Lexus soft on SUVs
More car-based cross-overs inevitable as regulations tightenExpect more soft-roader SUVs from Lexus after it launches the production version of its LF-NX concept before the end of 2014.
Likely to be dubbed NX in production, the LF-NX debuted as a petrol-electric hybrid at the Frankfurt motor show last September and will reappear with a new 2.0-litre turbo-petrol engine at Tokyo this month.
The NX will be the fourth Lexus SUV, following on from the popular mid-size five-seater RX, the heavy-duty Toyota Prado-based GX sold in North America and the Toyota LandCruiser-based LX.
Lexus International executive vice president Mark Templin told motoring.com.au the balance was swinging away from the hard-core off-roaders even as SUV sales rose globally.
“I think that regulations in most governments all over the world will drive everybody that way,” said Templin. “I think it is just a necessity that most SUVs sold around the world will be car-based SUVs.
“The regulations on fuel economy and CO2 are going to drive people to do more volume in car-based lighter weight vehicles.
Templin, who was in Australia for the launch of the ES sedan, said Lexus was watching the SUV segments “closely”.
“We are interested in the SUV market,” he said. “The SUV market is growing all over the world so there are potential opportunities for us to grow in SUV in the future as well.”
The existing Lexus SUV that looks to be under threat is the GX, with the authoritative US publication Automotive News reporting a seven seat cross-over dubbed the TX due to launch by 2017.
Its interior layout is said to be inspired by the 2003 HPX concept; although Templin made it clear that vehicle’s rear-wheel drive architecture was not something the company was considering.
The LX, however, has an assured future, Templin said.
“I think a vehicle at the top of the range like the LX needs to stay hard core. We do really well with that in markets all over the world. We do really well with it here [Australia] and it’s an enormous product for us in the Middle East, Russia and the US and other markets.
“So I think there is always going to be a place – at least during my career – for a product like that.”
Templin was very bullish about the prospects for the NX. It will be based on the architecture of the Toyota RAV4 and will debut the 2.0-litre turbo-petrol engine in production as well as offer hybrid power.
“That’s a huge growth opportunity all over the world and it’s good for the USA, it’s good for Australia and it’s good for Western Europe. It’s good for Eastern Europe, it’s good for the Asian region. It’s good for almost everywhere around the world,” he said.
“It will be a great product for us because if you forecast where the segments of growth are between now and 2020 that is one of the biggest ones. There is a big shift to SUVs all over the world.
“Most of the SUV trend around the world is as cars get smaller people want more room. If they can’t have a big car then they would rather have a small SUV because a small SUV has more space than a small car does.”
Mr Templin predicted the NX would play a key role in Lexus Australia finally cracking 10,000 sales.
“I think we have a big opportunity here and I think our retail partners here agree with me. There is potential for us to do 10,000 sales in this market. I think the [Lexus Australia] guys would agree, they would like to do 10,000 too.
“Cars like ES and the product we bring to market from the development of the LF-NX concept car are going to add good volume to what we do here and bring more attention to the brand. That is going to help us sell more of the other products we already have in the marketplace here.”
Lexus Australia’s all-time record of 8199 sales was achieved in 2007.
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Written byBruce Newton
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