Misplaced Pages

#697302

141-647: Lexus ( レクサス , Rekusasu ) is the luxury vehicle division of the Japanese automaker Toyota Motor Corporation . The Lexus brand is marketed in more than 90 countries and territories worldwide and is Japan's largest-selling make of premium cars. It has ranked among the 10 largest Japanese global brands in market value. Lexus is headquartered in Nagoya , Japan. Operational centers are located in Brussels , Belgium, and Plano, Texas , United States. Created at around

282-492: A front-engine, rear-wheel drive (FR) layout. The FR layout is more expensive to produce and produces lower fuel economy than a front-wheel drive layout; however, it allows for larger engines (particularly straight-six , V8 , and V12 ) to be used. Some American luxury cars during the 1970s through the 1990s switched to a front-wheel drive layout with transverse engine , due to the Arab Oil Embargo of 1973 and

423-599: A smart key entry and startup system, and multimedia features. Beginning with the 2010 RX and HS models, the Remote Touch system, featuring a computer mouse -like controller with haptic feedback , was introduced; other models have featured touchscreen controls (through the 2009 model year) as a navigation screen interface. 2014 saw the introduction of the next version of Lexus' remote-touch innovations—the Remote Touch Interface Touchpad in

564-695: A software update , one week after Consumer Reports issued a recommendation not to buy the SUV, citing a possible rollover risk following the slow stability control response to a high-speed emergency turn. Although the publication knew of no reported incidents, the GX 460 received updated stability control software. In late 2010 and early 2011, Lexus began sales of the CT 200h , a compact four-door hybrid hatchback designed for Europe, in multiple markets. Sales of lower-displacement regional models were also expanded, beginning with

705-521: A 2-rows option with four seats, which typically have more features than their cheaper counterparts. By the early 2020s, manufacturers have found additional strategies to improve technologies, such as new materials, new systems, and improving exteriors. Examples of luxury MPV models include Mercedes-Benz V-Class , Lexus LM , Buick GL8 , Hongqi HQ9 , Toyota Alphard , Volvo EM90 and the Zeekr 009 . Voluntary Export Restraints By this definition,

846-433: A Lincoln or Cadillac. In December 1989, Lexus initiated a voluntary recall of all 8,000 LS 400s based upon two customer complaints over defective wiring and an overheated brake light . A 20-day operation to replace the parts on affected vehicles included technicians to pick up, repair and return cars to customers free of charge, and also flying personnel and renting garage space for owners in remote locations. This response

987-572: A V8 version putting out 467 horsepower. The LC 500h, a V6 hybrid variant, could potentially become available in late 2017 or early 2018. In April 2019, Lexus announced that a rebadged limousine version of the third-generation Toyota Alphard would be sold as the Lexus LM . It was also announced that Lexus would finally enter the market in Mexico in 2021 with some of the vehicles in their lineup. In October 2019, Lexus announced that it will be launching

1128-536: A VER, by strictly addressing the one or few low-cost suppliers that were disrupting the domestic industry, obviated the possibility of harming third countries in the process of defending domestic manufacturers (which could have been the case with a nondiscriminatory import quota). For all of these reasons domestic policymakers often preferred a VER to alternative measures. It offered relatively quick, politically inexpensive assistance to an industry threatened by import competition. A VER could also have been attractive to

1269-493: A VER. Imposition of a VER will lead to higher domestic prices of the good when: Unilateral automatic export restriction means that the exporting country unilaterally sets export quotas on its own to restrict the export of commodities. Some of these quotas are stipulated and announced by the government of the exporting country. Exporters must apply for quotas from relevant agencies and obtain an export license before exporting. Some are stipulated by exporters or trade associations of

1410-461: A brand, but as a distribution channel". As a result of Toyoda's organizational changes, Lexus senior managers report directly to the chairman for the first time in the marque's history. In January 2012, the marque began sales of the fourth generation GS line, including GS 350 and GS 450h variants, as well as a lower-displacement GS 250 model for select markets. In April 2012, the sixth generation ES line, including ES 350 and ES 300h variants, debuted at

1551-832: A concept car, the LF-A . In October 2007, Lexus entered the Specialty Equipment Market Association show in the U.S. for the first time with the IS F, and announced its F-Sport performance trim level and factory-sanctioned accessory line. Increased emphasis on sporty models was an effort to target rivals from Mercedes-Benz's AMG and BMW's M divisions. Models such as the SC 400 and GS 400 had received favorable reactions from sport luxury buyers, most Lexus models had been characterized as favoring comfort over sporty road feel and handling, compared with European rivals. By

SECTION 10

#1732786920698

1692-540: A designated, third party regional distributor ; for example, in the United Arab Emirates, sales operations are managed by Al-Futtaim Motors LLC, and in Costa Rica, Lexus vehicles are sold via regional distributor Purdy Motors S.A. Other officially sanctioned regional distributors have sold Lexus models prior to the launch of, or in absence of, a dedicated dealership network. The Lexus brand launched in

1833-400: A factor of one hundred (e.g. 350 for a 3.5 L engine), except in the case of turbocharged and hybrid vehicles, for which the digits correspond to the displacement of a naturally aspirated engine with equivalent output (on hybrids, the three digits refer to the combined gasoline-electric output). A space is used between the letters and numbers. The same letter may be used differently depending on

1974-533: A growing deficit in trade with Japan, and under pressure from domestic manufacturers, the US government extended the quotas for an additional year. The cap was raised to 1.85 million cars for this additional year, then to 2.3 million for 1985. The voluntary restraint was removed in 1994. The Japanese automobile industry responded by establishing assembly plants or "transplants" in the United States (primarily in

2115-525: A home in Laguna Beach, California , to observe the lifestyles and tastes of American upper class consumers. Meanwhile, F1 engineering teams conducted prototype testing on locations ranging from the German autobahn to U.S. roads. Toyota's market research concluded that a separate brand and sales channel were needed to present its new sedan, and plans were made to develop a new network of dealerships in

2256-520: A hybrid-only marque in Europe. By the end of the decade, Lexus ranked as the fourth-largest premium car make in the world by volume, and was the number one selling premium car marque in the U.S. for 10 consecutive years. In 2010, Lexus underwent a gradual sales recovery in North America and Asia as the marque focused on adding hybrids and new model derivatives. Sales in the U.S. held steady despite

2397-480: A less-developed dealership network. In European markets, the Lexus LS has ranked behind BMW, Mercedes-Benz, Audi, and Jaguar in flagship luxury car sales. Automotive analysts have suggested a possible rationale for the sales disparity, in that European buyers place less emphasis on vehicle reliability and have more brand loyalty to established domestic marques. In contrast, the Lexus LS has ranked second in sales to

2538-545: A long-travel coil-spring suspension and an aluminium V8 engine. In the mid-1990s, the SUV market expanded with new entrants. By the mid-1990s, the entry-level Ford Explorer and upscale Jeep Grand Cherokee were the market leaders for SUVs. The fastest-growing sector of this market was for the so-called luxury SUVs, which included the Jeep Grand Cherokee ... the Grand Cherokee's allure: "This vehicle

2679-676: A popular form of protection during the 1980s ; they did not violate countries' agreements under the General Agreement on Tariffs and Trade (GATT) in force. As a result of the Uruguay round of the GATT, completed in 1994, World Trade Organization (WTO) members agreed not to implement any new VERs, and to phase out any existing ones over a four-year period, with exceptions grantable for one sector in each importing country. Some examples of VERs occurred with automobile exports from Japan in

2820-543: A result of the negotiations, Article 19 of the General Agreement was amended to restrict the application of automatic export restrictions. In general, restrictive trade measures are usually taken for two purposes: to protect or improve the balance of payments situation, and to provide relief for industries adversely affected by foreign competition, thus allowing them to undertake the adjustments necessary to regain competitiveness. VERs were usually implemented for

2961-553: A separate marque (e.g. Lexus , launched by Toyota in 1989) or purchased one (e.g. Bentley , by Volkswagen in 1998). Occasionally, a luxury car is initially sold under a mainstream marque and is later rebranded under a specific luxury marque (for example, the Hyundai's Genesis to Genesis G80 as well as the Citroën DS to DS 5 ). For mass-produced luxury cars, sharing of platforms or components with other models

SECTION 20

#1732786920698

3102-481: A status symbol for conspicuous consumption . However, since many European luxury car buyers shy away from conspicuous consumption, brands offer buyers the option of removing exterior badges that identify the model name or engine size. The suspension system of most luxury cars is tuned to prioritize ride quality over handling , however, some are marketed as "sports luxury" and have a greater emphasis on handling characteristics. Traditionally, luxury cars have used

3243-401: A time when luxury car sales suffered a 1% decline, and non-luxury SUV sales were flat. By 2004, 30% of major luxury brands' U.S. sales were SUVs. Crossover SUVs became increasingly popular in the mid-2000s, and manufacturers also began to produce luxury versions of crossovers. The Lexus RX was the earliest luxury crossover on the market, and it has since been the best-selling luxury vehicle in

3384-660: A total of 518,000. Sales decreased in subsequent years due to the effects of the 2008 recession and the Japanese tsunami of 2011. Following this, sales recovered and reached a new high of 523,000 in 2013. In 2014, the Lexus brand set a new global sales record after selling 582,000 vehicles. This made Lexus the fourth best selling luxury brand in the world, trailing BMW, Audi and Mercedes-Benz. Global sales of Lexus vehicles increased by 12 percent in 2015 to reach another annual sales record with 652,000 units sold worldwide. Global cumulative sales of Lexus brand hybrid electric cars reached

3525-735: A variant of the RC coupe. Lexus produces its highest-performance models under its F marque division. The name refers to Flagship and Fuji Speedway in Japan, whose first corner, 27R, inspired the shape of the " F " emblem. F marque models are developed by the Lexus Vehicle Performance Development Division. The first F marque model, the IS F, went on sale in 2007, followed by the LFA in 2009. A related F-Sport performance trim level and factory-sanctioned accessory line

3666-474: Is available for standard Lexus models such as the IS 250 and IS 350. The F-Sport trim level commonly includes cosmetic upgrades to the exterior and interior, and in some vehicles, mechanical upgrades such as an adaptive variable suspension. F-Sport succeeded an earlier in-house tuning effort, the TRD -based L-Tuned, which had offered performance packages on the IS and GS sedans in the early 2000s (decade). Additions to

3807-643: Is beneficial to them, and then export restrictions are truly "voluntary." If voluntary export restrictions include government-to-government agreements, they usually refer to orderly market sales arrangements, and usually specify export management rules, negotiation rights, and supervision of trade flows. In some countries, especially in the United States, structured marketing arrangements are legally different from strictly defined voluntary export restrictions. Agreements involving industry participation are often referred to as voluntary restriction arrangements. The difference between these forms of voluntary export restrictions

3948-515: Is common, as per modern automotive industry practice. A compact executive car or a compact luxury car is a premium car larger than a premium compact and smaller than an executive car . In European classification, compact executive cars are part of the D-segment . In North American terms, close equivalents are "compact premium car", "compact luxury car", "entry-level luxury car" and "near-luxury car". Compact executive cars are usually based on

4089-509: Is decreased competition, which should result in higher prices, profits, and employment. VERs are also noted for having a less-damaging effect on the political relations between countries and they are also relatively easy to remove. Such benefits to producers and the labor market, however, come with some notable trade-offs. VERs reduce national welfare by creating negative trade effects , negative consumption distortions , and negative production distortions . (This could again be illustrated by

4230-565: Is mainly legal and literal, and has nothing to do with the economic impact of voluntary export restrictions. A typical voluntary export restriction imposes restrictions on the supply of export products based on the type, country and quantity of the commodity. The General Agreement on Tariffs and Trade regulations on government's influence on trade prohibit export restrictions under normal circumstances; if export restrictions are approved, these restrictions must be non-discriminatory and can only be implemented through tariffs, taxes and fees. However,

4371-461: Is proof you can have a true off-road vehicle without giving up luxuries and amenities" with the Jeep providing a crucial new intangible factor for buyers—image. The SUV models generated higher profit margins than passenger cars, and car manufacturers began introducing new luxury SUVs during the late 1990s. SUVs such as the 1995 Lexus LX , 1997 Mercedes-Benz M-Class , and 1998 Lincoln Navigator were

Lexus - Misplaced Pages Continue

4512-451: The 2009–2010 Toyota vehicle recalls , several of which included Lexus models. The ES 350 and certain IS models were affected by a recall for potentially jamming floor mats , while parent company Toyota bore the brunt of negative publicity amid investigations over its series of product recalls and problem rates per-vehicle. The redesigned GX 460 was also voluntarily recalled in April 2010 for

4653-610: The Infiniti Q45 , which it launched in 1990. Mazda began selling the Luce as the Mazda 929 in North America in 1988 and later began plans to develop an upscale marque to be called Amati , but its plans did not come to fruition. Toyota researchers visited the U.S. in May 1985 to conduct focus groups and market research on luxury consumers. During that time, several F1 designers rented

4794-545: The New York International Auto Show . In April 2014, Lexus unveiled the five-seater NX crossover. The vehicle features a very first for a Lexus vehicle: a turbocharger. Its nomenclature is denoted as the 200t. In August 2014, Toyota announced it would be cutting its Lexus spare parts prices in China by up to 35 percent. The company admitted the move was in response to a probe foreshadowed earlier in

4935-554: The North American International Auto Show in Detroit and official sales of the vehicle began the following September at a network of 81 new Lexus dealerships in the U.S. The LS 400 was sold along with the smaller ES 250 , a rebadged version of the Japanese market Toyota Camry Prominent/Toyota Vista . The launch of Lexus was accompanied by a multimillion-dollar advertising campaign. The LS 400

5076-600: The RC and the LC . Former convertibles include the SC and IS C models. Sport-utility vehicles range in size from the subcompact UX , compact NX and mid-size RX crossovers, to the full-size GX and LX , the discontinued HS and GS , and variants of the IS, ES, LS, RC, LC, LBX, UX, NX, RX, TX and LM. The F marque line formerly produced a variant of the IS, GS and the LFA and currently produces

5217-613: The Rolls-Royce Phantom , Maybach 57 and 62 , Hongqi L5 , Bentley Mulsanne , Cadillac Celestiq , Toyota Century , and Aurus Senat . High-end sports cars which are targeted towards performance rather than luxury are not usually classified as ultra-luxury cars, even when their cost is greater than US$ 100,000 . The history of a brand and the exclusivity of a particular model can result in price premiums compared to luxury cars with similar features from less prestigious manufacturers. Ultra-luxury cars are usually selected as

5358-422: The official state car . Grand tourers are essentially high-performance luxury vehicles. These vehicles are generally two-door coupes and are made for long-distance driving, combined with the luxury of an executive car or full-size luxury car . Long before the luxury SUV segment was defined and became popular, the 1966 Jeep Super Wagoneer was marketed at the time as a fully-equipped station wagon. It

5499-544: The " gas-guzzlers " typically produced by the American companies toward more fuel-efficient cars (that were mostly imported from Japan). When the automobile industry in the United States was threatened by the popularity of cheaper, more fuel efficient Japanese cars, a 1981 voluntary restraint agreement limited the Japanese to exporting 1.68 million cars to the U.S. annually as stipulated by U.S Government. The agreement affected all Japanese manufactured vehicles exported to

5640-531: The 1950s, including the Toyota Crown (1955–present), Prince/Nissan Gloria (1959–2004), Nissan Cedric (1960–2015), Mitsubishi Debonair (1964–1998), Nissan President (1965–2010), Toyota Century (1967–present), Mazda Luce/929 (1969–1991), and Honda Legend (1985–2021). Since the 1980s, overseas sales of Japanese luxury cars have increased, challenging traditional European luxury brands. Several East Asian manufacturers have created sub-brands for

5781-738: The 1979 fuel crises which eliminated many FR platforms in favor of the more economical front-wheel drive (FF) layout. From the early 2000s, several of these American luxury cars reverted to FR layouts. Since the introduction of the Bentley Continental GT in 2003, additional luxury grand tourers feature all-wheel drive . Prior to World War II , a wide array of European producers made luxury cars, including Rolls-Royce , Bugatti , Delage , Delahaye , Talbot-Lago , Bentley , Alvis , Avions Voisin , Isotta Fraschini , Horch , Simson , Stoewer , Maybach , Mercedes-Benz , Hispano Suiza , Daimler Company , and Spyker . France

Lexus - Misplaced Pages Continue

5922-489: The 1981 US Automobile VER.) In the 1950s and the 1960s American manufacturers of textiles faced increasing competition from Southeast Asian countries. Therefore, the US government requested VERs be established by many of these Asian countries and was successful in doing so. During the Eisenhower administration, the United States government negotiated a voluntary export restraint with Japanese textile manufacturers to limit

6063-427: The 1990s. The personal luxury car emerged into mass popularity and affordability as an America-specific category of popularly-priced cars made from the 1950s by the four domestic manufacturers (GM, Ford, Chrysler, and AMC) that reached peak popularity in the 1970s. The cars were stylized, mass-produced two-door coupés or convertibles , relying on standard components. These distinctively styled cars were targeting

6204-590: The 2010s. For example, Rolls-Royce Cullinan , Bentley Bentayga , Aston Martin DBX , Maserati Levante , Lamborghini Urus , and Ferrari Purosangue . Some brands, such as Lincoln , have even moved to an all SUV and/or crossover lineup. Manufacturers such as Mercedes-Benz , Toyota , Lexus , Buick , Hongqi , Zeekr and Volvo have marketed upscale luxury MPVs as luxury vehicles, mainly marketed for Asian markets. Luxury MPVs generally have 3-rows of six or seven seats; however, range-topping flagship models may also offer

6345-614: The 500,000 mark in November 2012. The 1 million sales milestone was achieved in March 2016. The Lexus RX 400h/RX 450h ranks as the top selling Lexus hybrid with 335,000 units delivered worldwide as of March 2016, followed by the Lexus CT 200h with 267,000 units. Lexus has not sold as well in Europe as it has in the rest of the world where it is marketed. This is allegedly due to suffering from smaller brand recognition, image, and

6486-478: The Crown not slated for export after a restyle in 1982. The F1 designers targeted their new sedan at international markets and began development on a new V8 engine. Japanese manufacturers exported more expensive models in the 1980s due to voluntary export restraints negotiated by the Japanese government and U.S. trade representatives that restricted mainstream car sales. In 1986, Honda launched its Acura marque in

6627-598: The ES 240 in China followed by the RX 270; Japan, Russia, and Taiwan were among markets which received model variants intended for reduced emissions or import taxes. In March 2011, the Tōhoku earthquake and tsunami caused severe disruption to Lexus' Japan-based production lines, hindering the marque's near-term sales prospects. Lexus' U.S. executives stated that due to vehicle shortages amidst close competition from BMW, Mercedes-Benz, and Audi ,

6768-673: The European Commission. The next category of luxury cars is known in Great Britain as a "luxury saloon" or "luxury limousine," and is known in the United States as a full-size luxury sedan, large luxury sedan, or flagship sedan. It is the equivalent of the European F-segment and the German Oberklasse segment. Many of these luxury saloons are the flagship for the marque and include

6909-727: The Indian market in 2017, with the models RX450h , LX450d , LX570 , ES300h , NX , LS . Dealerships in Mumbai , Delhi , Gurgaon , and Bangalore became operational in March 2017, when the brand began sales in India with a second set of dealerships opening in Chandigarh , Kochi , and Chennai toward the end of 2017. This made Lexus the fifth luxury brand to be launched in India, after Mercedes-Benz, Porsche , BMW, and Audi. Global sales of Lexus vehicles reached an all-time high in 2007, with

7050-563: The LS 400's base price had risen 18 percent. In 1993, Lexus launched the mid-size GS 300 sports sedan, based on the Toyota Aristo using the Toyota "S" platform from the Toyota Crown , which had sold for two years prior in Japan. The GS 300 was priced below the LS 400 in the marque's lineup. That same year, Lexus became one of the first marques to debut a certified pre-owned program, with

7191-576: The LS 460 debuted the first ceiling air diffusers and infrared body temperature sensors in a car. Telematics services include G-Book with G-Link in Asia and Lexus Enform in North America. Luxury vehicle A luxury car is a car that provides above-average to high-end levels of comfort , features, and equipment. Often, more expensive materials and surface finishes are used, and buyers expect better build quality . The usually higher pricing and more upscale appearance are often associated with

SECTION 50

#1732786920698

7332-641: The LX's off-road capability. It was particularly successful, eventually becoming the marque's top-selling model ahead of the ES sedan. The same year, Lexus made its debut in South America's most populous country when it launched sales in Brazil. In 1999, the IS was introduced, an entry-level sport sedan. Lexus also recorded its 1 millionth vehicle sold in the U.S. market, being ranked as the top-selling premium car maker in

7473-613: The Mercedes-Benz S-Class (and ahead of rivals from BMW, Audi, and Jaguar) in markets outside Europe, such as South Africa. Currently all of Lexus's models for the US market are imported from Japan, with the exception of the RX and NX, which are also produced in Cambridge, Ontario , for North America, and the ES, which is also produced in Georgetown, Kentucky . The RX midsized crossover is Lexus's best selling model in

7614-541: The Mercedes-Benz brand, later joined by BMW , which acquired Rolls-Royce Motor Cars in 1998, as well as Volkswagen which much later controlled or acquired additional brands such as Audi , Porsche , Bentley , Lamborghini , and Bugatti brands. In the Soviet Union, the manufacturer ZiL (then called Zis) began producing representational limousines in the mid-1930s. In the early 1950s, GAZ joined with

7755-645: The Southern U.S. states where right-to-work laws exist as opposed to the Rust Belt states with established labor unions ) to produce mass market vehicles. Some Japanese manufacturers who had their transplant assembly factories in the Rust Belt e.g. Mazda, Mitsubishi had to have a joint venture with a Big Three manufacturer (Chrysler/Mitsubishi which became Diamond Star Motors , Ford/Mazda that evolved into AutoAlliance International ). GM established NUMMI which

7896-458: The Supra and Mark II were rear-wheel drive cars with a powerful 7M-GE or 7M-GTE inline-six engine. The largest sedan Toyota built at the time was the limited-production, 1960s-vintage Toyota Century , a domestic, hand-built limousine, and V8-powered model, followed by the inline-six-engined Toyota Crown premium sedan. The Century was conservatively styled for the Japanese market and along with

8037-499: The Top 100 Global Brands for the first time, with an estimated brand value of approximately $ 3 billion annually. In 2009, Interbrand ranked Lexus as Japan's seventh largest brand, between Panasonic and Nissan, based on revenue, earnings, and market value. The global Lexus lineup features sedans of different size classes, including the compact IS model, mid-size ES models, and the full-size LS . The 2-door coupe range consists of

8178-682: The Toyota marque and an equivalent model name. In 2005, a hybrid version of the RX crossover debuted and additional hybrid models later joined the division's lineup. Lexus launched its own F marque performance division in 2007 with the debut of the IS F sport sedan, followed by the LFA supercar in 2009. Lexus vehicles are largely produced in Japan, with manufacturing centered in the Chūbu and Kyūshū regions, and in particular at Toyota's Tahara , Aichi , Chūbu and Miyata , Fukuoka , Kyūshū plants. Assembly of

8319-554: The U.S. and Europe where deliveries fell by 21 percent and 27.5 percent, respectively. In 2009, the marque launched the HS 250h , a dedicated hybrid sedan for North America and Japan, the RX 450h , the second generation hybrid SUV replacing the earlier RX 400h, and later that year debuted the US$ 375,000 production LFA exotic coupe. In late 2009, citing higher sales of hybrid models over their petrol counterparts, Lexus announced plans to become

8460-543: The U.S. market, so it was more profitable for Japanese automakers to export more expensive cars to the U.S. In 1983, Toyota chairman Eiji Toyoda issued a challenge to build the world's best car. The project, code-named F1 ("Flagship One") developed the Lexus LS 400 to expand Toyota's product line in the premium segment. The F1 project followed the Toyota Supra sports car and the premium Toyota Mark II models. Both

8601-419: The U.S. market. In 1986, Toyota's longtime advertising agency Saatchi & Saatchi formed a specialized unit, Team One , to handle marketing for the new brand. Image consulting firm Lippincott & Margulies was hired to develop a list of 219 prospective names; Vectre, Verone, Chaparel, Calibre and Alexis were chosen as top candidates. While Alexis quickly became the front runner, concerns were raised that

SECTION 60

#1732786920698

8742-421: The U.S. overall. In July 2000, Lexus introduced the IS 300 in North America, following global launch in 1999 (as the IS 200) and the third generation LS 430. In 2001, the first convertible was introduced, as well as the SC 430 and a redesigned ES 300. The GX 470 mid-size SUV debuted in 2002, followed by the second generation RX 330 in 2003. The following year, Lexus recorded its 2 millionth U.S. vehicle sale, and

8883-441: The U.S." According to Team One interviews, the brand name has no specific meaning and simply evokes a luxurious and technological image. Prior to the release of the first vehicles, database service LexisNexis obtained a temporary injunction forbidding the name Lexus from being used because it might cause product confusion. The injunction threatened to delay the division's launch and marketing efforts. The U.S. appeals court lifted

9024-417: The U.S., influencing Toyota's plans for a luxury division. The initial Acura model was an export version of the Honda Legend , called the Acura Legend , itself launched in Japan in 1985 as a rival to the Toyota Crown , Nissan Cedric / Gloria and Mazda Luce . In 1987, Nissan unveiled its plans for a premium brand, Infiniti , and revised its Nissan President sedan in standard wheelbase form for export as

9165-400: The US economy was that the social welfare losses totalled $ 3 billion. An analysis of this particular trade policy conducted by Berry et al. in 1999 estimates the foregone revenue of the voluntary export restraint relative to a tariff amounted to $ 11.2 billion which would have nearly equaled the consumer welfare losses of $ 13.1 billion. Consumer welfare for United States domestic consumers was

9306-409: The US. Some luxury crossovers are built on a platform shared with sedans or hatchbacks. For example, the Infiniti FX is based upon the same platform as the Infiniti G35 sedans and coupes. While early luxury crossovers released in the late 1990s have resembled traditional boxy SUVs, later crossovers, such as the Infiniti FX and BMW X6 , have been designed with a sporting appearance. Despite

9447-415: The United States, but did not include Japanese brands manufactured in the United States, such as Honda cars produced in Ohio based factories. Vehicles produced by Japanese manufacturers like Mitsubishi or Suzuki for United States brands like Chrysler and General Motors were counted in the export restraint limitations. This quota was originally intended to expire after three years, in April 1984. However, with

9588-787: The United States, while the ES mid-sized car is the most popular sedan in the line-up. Financial data of Lexus operations are not disclosed publicly. However, automotive analysts estimate that the Lexus division contributes a disproportionate share of Toyota's profits, relative to its limited production and sales volume. Interviews with retired division officials indicate that depending on sales volume, vehicle product development cycles, and exchange rates , Lexus sales have accounted for as much as half of Toyota's annual U.S. profit in certain years. Division executives have employed pricing strategies aimed at sustaining profit margins rather than sales volume, with historically fewer price incentives than rival brands. In 2006, Lexus entered Interbrand's list of

9729-416: The Windom was exclusive to Toyota Corolla Store, the Celsior and Harrier were exclusive to Toyopet Store, and the Soarer was previously available at both Toyota Store and Toyopet Store locations. Lexus models sold in Japan featured higher specifications and a price premium compared with their discontinued Toyota counterparts. Sales for the first half-year were slower than expected, affected by the contraction of

9870-434: The addition of a sports coupe along with a redesigned ES sedan. In 1990, during its first full year of sales, Lexus sold 63,594 LS 400 and ES 250 sedans in the U.S., the majority being the LS model. That year, Lexus also began limited exports to the United Kingdom, Switzerland, Canada and Australia. In 1991, Lexus launched its first sports coupe, the SC 400 , which shared the LS 400s V8 engine and rear-wheel drive design. This

10011-462: The aim of improving trade-in model values. The marque introduced the second generation LS 400 in 1994. In May 1995, sales were threatened by the U.S. government's proposal of 100 percent tariffs on upscale Japanese cars in response to the widening U.S.-Japan trade deficit . SUVs were exempt from the proposed sanctions. Normal sales operations resumed by late 1995 when the Japanese auto manufacturers collectively agreed to greater American investments and

10152-520: The amount of imports of Japanese produced cotton products, including velveteen , cotton fabrics, and blouses which had reached an all-time high in exports in 1955. The agreement did not satisfy American textile manufacturers, leading various states to enact discriminatory labeling on imported Japanese textiles. A new bilateral VER agreement was negotiated and announced in January 1957 that capped textile imports from Japan at 235 million square yards, which

10293-400: The bilateral voluntary export restraint and resulting losses in the US market for Japanese textile manufacturers contributed to a period of strained trade relations between Japan and the United States. Textile producers in Europe faced in the 1950s and the 1960s similar problems to their US counterparts, and as a result negotiated voluntary export restraints as well. Eventually, an agreement

10434-530: The brand in markets such as China. Executives aimed to increase Lexus sales outside of its largest market in the U.S. To accompany this expansion, next generation Lexus vehicles were redesigned as "global models" for international release. In the European market, where Lexus had long faced struggling sales owing to low brand recognition, few dedicated dealerships, and 1990s import quotas , the marque announced plans to introduce hybrid and diesel powertrains, increase

10575-686: The brand's Japan Sales and Marketing and global Product and Marketing Planning divisions. While organizationally separate from its parent company, Lexus International reports directly to Toyota chief executive officer Akio Toyoda. In the U.S., brand operations are managed by the U.S. Lexus division, which is headquartered in Plano, Texas . In Europe, Lexus operations are managed by Lexus Europe, located in Brussels. Companion design facilities are located in Southern California and central Japan, with

10716-566: The brand's first all-battery electric vehicle in 2020, which is the UX 300e . In June 2023, Lexus introduced its first vehicle in the B-segment, the LBX , which went on sale in Europe, Japan, Australia and Southeast Asia. Lexus International coordinates the worldwide operations of Toyota's luxury division from the brand's global headquarters, located in Nagoya , Aichi. Corporate entities further include

10857-473: The development process. Each vehicle is designed according to approximately 500 specific product standards, known as "Lexus Musts", on criteria such as leather seat stitching. Design elements from the marque's concept vehicle line, the LF series (including the 2003 LF-S and 2004 LF-C ), have been incorporated in production models. Vehicle cabins have incorporated electroluminescent Optitron gauges, SmartAccess,

10998-718: The domestic auto market and price increases, but improved in subsequent months with an expanded lineup. Through the mid-2000s, Lexus experienced sales successes in South Korea and Taiwan, becoming the top-selling import make in both markets in 2005; the marque also sold well in the Middle East, where it ranked first or second among rivals in multiple countries, and in Australia, where Lexus reached third in luxury car sales in 2006. Division executives in 2006 announced an expansion goal from 68 countries to 76 worldwide by 2010. By

11139-428: The domestic market, regardless of country or supplier. Voluntary Export Restraints are able to be negotiated to exclude certain exporting countries or suppliers, based on factors such as supplier share of the good or refutation of export limitations. Due to these key differences, the economic outcome in relation to the domestic price of the good will be different when imposing an import quota or tariff compared to imposing

11280-432: The early 1980s and with textile exports in the 1950s and 1960s. Along with import quotas , Voluntary Export Restraints (VERs) are a form of a non-tariff trade barrier . Import quotas and VERs differ in two key areas, however. Like tariffs , import quotas artificially restrict demand for the imposed good, while VERs artificially restrict supply. Additionally, import quotas and tariffs, when imposed, affect all imports into

11421-471: The end of 2007, Lexus annual worldwide sales had surpassed 500,000 vehicles, and the marque ranked as the top-selling premium import in China for the first time. The largest sales markets in order of size for 2007 were the U.S., Japan, the UK, China, Canada, and Russia. In 2008, amidst the late-2000s recession and a weakened world car market, global sales fell 16 percent to 435,000, with declines in markets such as

11562-618: The end of the decade, this expansion resulted in official launches in Malaysia and South Africa in 2006, Indonesia in 2007, Chile in 2008, and the Philippines in 2009. In 2006, Lexus began sales of the GS 450h , a V6 hybrid performance sedan, and launched the fourth generation LS line , comprising both standard- and long- wheelbase V8 (LS 460 and LS 460 L) and hybrid (LS 600h and LS 600h L) versions. The fifth generation ES 350 also debuted in

11703-576: The entry-level luxury segment remained strong throughout the GFC, due to prices being lowered to compete with well-equipped non-luxury cars. For example, in Canada, several luxury manufacturers set sales records in August 2009, due mostly to discounted pricing on entry-level luxury vehicles. Some auto manufacturers market their luxury models using the same marque as the rest of their line. Others have created

11844-522: The export of relevant commodities, and the importing country shall conduct supervision and inspection based on customs statistics. As one of the non-tariff measures, automatic export restrictions have seriously hindered the development of international trade. In September 1986, the Uruguay Round of negotiations began to include automatic export restrictions as one of the important elements of the negotiations to reduce and abolish non-tariff barriers. As

11985-405: The exporter usually agreed readily to a VER. There are ways in which a company can avoid a VER. For example, the exporting country's company can build a manufacturing plant in the country to which its exports would be directed, so that it no longer needs to export its goods to this country, and therefore would not be bound by the country's VER. This suggests that VERs were usually not effective in

12126-438: The exporting country according to the government's policy intentions. The automatic export restriction of the agreement means that the importing country and the exporting country gradually expand the self-restriction agreement or orderly marketing arrangements to provide for certain products to be exported during the validity period of the agreement. The exporting country has accordingly adopted an export licensing system. Restrict

12267-409: The exporting country or face further retaliation (probably also in the form of protectionist policies) if it failed to do so. This was because VERs already incorporated built-in compensation in the form of rents (i.e., higher earnings arising from the scarcity of a product). This made acceptance by the exporting side more likely and retaliation less probable. Another reason for the introduction of VERs

12408-405: The exporting country, since it made the imported good scarcer, therefore a producer was enabled to raise its price. Other reasons that made a VER attractive, even for exporters, were that it provided the government of the exporting country with an element of control over the domestic industry, and it terminated the uncertainty inherent in a countervailing duty investigation. These factors suggest that

12549-548: The first Japanese premium car marque to launch in its country of origin . The brand has since debuted in Southeast Asia, Latin America, Europe and other regions, and has introduced hybrid vehicles in many markets. The Lexus brand was created around the same time as Japanese rivals Nissan and Honda developed their Infiniti and Acura premium brands. The Japanese government imposed voluntary export restraints for

12690-530: The first Lexus produced outside the country, the Canadian-built RX 330, began in 2003. Following a corporate reorganization from 2001 to 2005, Lexus began operating its own design , engineering and manufacturing centers. Since the 2000s, Lexus has increased sales outside its largest market, the United States. The division inaugurated dealerships in the Japanese domestic market in 2005, becoming

12831-421: The first SUVs produced by these luxury car brands. Some of these early luxury SUV models used unibody construction, becoming part of the trend moving away from the body-on-frame construction traditionally used by off-road vehicles. During the mid-2000s, SUVs from luxury car brands grew by almost 40% in the United States to more than 430,000 vehicles (excluding SUV-only brands like Hummer and Land Rover ), at

12972-459: The first luxury-branded production hybrid SUV, the RX 400h . This vehicle used Toyota's Hybrid Synergy Drive system that combined gasoline and electric motors. In 2005, Lexus completed an organizational separation from parent company Toyota, with dedicated design, engineering, training, and manufacturing centers working exclusively for the division. This effort coincided with Lexus' launch in its home market of Japan and an expanded global launch of

13113-530: The government's involvement in voluntary export restrictions is not always clear. In addition, voluntary export restrictions do not always have clear market share clauses; for example, they may take the form of export forecasts and therefore become cautious in nature. VERs are typically implemented on exports from one specific country to another. VERs have been used since the 1930s at least, and have been applied to products ranging from textiles and footwear to steel , machine tools and automobiles . They became

13254-471: The head design studio devoted entirely to Lexus models in Toyota City, Aichi. Lexus sales operations vary in structure by region. In many markets, such as the U.S., the dealership network is a distinct organization from corporate headquarters, with separately owned and operated Lexus showrooms . By contrast, in Japan all 143 dealerships in the country are owned and operated by Lexus. Several markets have

13395-505: The history of the automobile. Several car classification schemes include a luxury category, such as: Luxury cars have traditionally emphasized higher levels of comfort and safety. Manufacturers often introduce new safety technologies and comfort amenities on luxury models before they are available on more affordable models. Some brands, like Audi and BMW have expanded their marketing by "introducing lesser priced and strip-down economy versions of their products." Luxury vehicles can be

13536-678: The importing country and deter it from imposing explicit (and less flexible) trade barriers . The implementation of VERs was prohibited in 1994 under modifications to the General Agreement on Tariffs and Trade (Article 11). Voluntary export restrictions are usually due to pressure from importing countries. Therefore, one can consider export restrictions to be "voluntary" simply because exporting countries may find such restrictions more desirable than alternative trade barriers that importing countries may establish. In addition, in non-competitive, especially oligopolistic industries, export companies may find that negotiating voluntary export restrictions

13677-526: The increased popularity of crossover models, traditional luxury SUVs remain in production. Examples include the Lexus LX , Infiniti QX80 , and Lincoln Navigator . Research data from the mid-2000s suggested that luxury SUV buyers did not consider traditional luxury cars (e.g. sedans and coupes), therefore the SUV is becoming the key to bringing new customers into luxury dealerships. Luxury car companies have increasingly introduced SUV or crossover models in

13818-455: The initial voluntary export restraint. The Net effect on Japanese earnings was close to zero. This policy increased the US car sales and total revenue of the American car manufacturers by about $ 10 billion. The increase in earnings of the American companies was mainly paid for by the consumers in the US. By the imposition of this policy, they suffered the loss of around $ 13 billion (measured in 1983 dollars). The overall net welfare effect on

13959-437: The injunction, deciding that there was little likelihood of confusion between the two products. The original Lexus slogan, developed after Team One representatives visited Lexus designers in Japan and noted an obsessive attention to detail, became "The Relentless Pursuit of Perfection." Three firms were involved in the final phase of logo development: Saatchi & Saatchi, Molly Designs and Hunter/Korobkin, Inc. The finished logo

14100-482: The lack of a historical legacy has hindered these efforts. In 2014, Citroën introduced DS Automobiles sub-brand to market luxury cars. Pre World War II intermediate car manufacturers like Renault , Fiat , Opel , Lancia , Škoda , Riley , Praga , Peugeot , Hillman and Tatra made luxury cars but were forced to make economy cars and superminis post World War II . Following World War II, Germany rose to become an export powerhouse, building on success with

14241-463: The long run. This strategy was used by the Japanese car manufacturers in the attempt to avoid a US imposed VER on the import of Japanese automobiles. The option to build manufacturing facilities overseas, and in this way, bypass exporting rules is one of the main reasons why VERs have historically been ineffective in protecting domestic producers. With functioning VERs, producers in the importing country experience an increase in well-being as there

14382-547: The luxury marques distanced themselves from its parent brand which was mass marketed) in order to make more money from a limited number of cars. The effect of the voluntary export restraint was, that it raised the prices of the cars imported from Japan for about $ 1200, while reducing their sales. After the initial institution of the voluntary export restraint in 1981, prices of Japanese imported vehicles did not raise significantly. However, significant increases in price of Japanese cars from 1986 onward can be attributed as an effect of

14523-551: The market. In the 2000s, both Ford and General Motors produced luxury pickups: 2002-2013 Cadillac Escalade EXT , 2002-2003 Lincoln Blackwood , and 2006-2014 Lincoln Mark LT . In the late 2000s, the Cadillac CTS and Cadillac DTS led to a resurgence in the brand's luxury sedans. The equivalent sedan from the Ford group, the 2008 Lincoln MKS , was also regarded as a significant improvement over previous models. In 2010, BMW

14664-642: The marketing of luxury cars. The first of these was the 1986 launch of Acura (a Honda sub-brand), followed by Lexus (Toyota) in 1989, Infiniti (Nissan) in 1989, and Genesis (Hyundai) in 2015. The time of the 2007–2008 financial crisis and the Great Recession was the first time since the Great Depression that the luxury car market suffered considerably, something not seen in previous economic downturns. Many such customers saw their net worth decline during this time. For example, some of

14805-401: The marque would not remain the country's top-selling premium car brand. Cumulative sales results for 2011 indicated a 14 percent sales drop in the U.S. market, along with sales increases of 40 percent and 27 percent in Europe and Japan respectively, for a global sales total of 410,000 units. Lexus' streak of 11 consecutive years as the best-selling luxury marque in the U.S. ended that year, with

14946-453: The model; 'S' can refer to 'sedan' or 'sport' (e.g. in LS and SC), while 'X' refers to ' luxury utility vehicle ' or SUV. For certain models, a lower case letter placed after the alphanumeric designation indicates powerplant type ('h' for hybrid, 'd' for diesel, 't' for turbocharged), while capital letter (s) placed at the end indicates a class subtype (e.g. 'L' for long-wheelbase, 'C' for coupe, 'AWD' for all-wheel drive ). On F marque models,

15087-481: The month by China's National Development and Reform Commission of Lexus spare parts policies, as part of an industry-wide investigation into what the Chinese regulator considers exorbitantly high prices being charged by automakers for spare parts and after-sales servicing. In March 2016, Lexus announced that it will be producing a new flagship vehicle: the two-door LC 500. The vehicle will be produced for late 2017 in

15228-489: The name applied to people more than cars (being associated with the Alexis Carrington character on the popular 1980s prime time drama Dynasty ). As a result, the first letter was removed and the "i" replaced with a "u" to morph the name to Lexus. Theories of the etymology of the Lexus name have suggested it is the combination of the words "luxury" and "elegance", and that it is an acronym for "luxury exports to

15369-474: The needs of individual customers, not an entire family. The longest running model lines were the 1958-1997 Ford Thunderbird , 1956-1998 Lincoln Mark Series , and the 1967-2002 Cadillac Eldorado . In 1990, American luxury brands dominated, with Cadillac selling over a quarter-million cars, and Lincoln had its best year ever at 231,660 units. However, the market was changing with an ever greater acceptance of smaller, more efficient imported luxury brands while at

15510-402: The new RC Coupe . In 1989, Lexus became among the first premium car marques to equip models with premium audio systems, in partnership with stereo firm Nakamichi . Since 2001, optional surround sound systems are offered via high-end audio purveyor Mark Levinson . For reduced cabin noise, the first LS 400 introduced sandwich steel plating, and later models added acoustic glass . In 2006,

15651-584: The newest automotive technology. Several models are available in long-wheelbase versions, which provide additional rear legroom and may have a higher level of standard features. Examples of luxury saloons / full-size luxury sedans include the BMW 7 Series , Jaguar XJ , Cadillac CT6 , Genesis G90 , Audi A8 , Mercedes-Benz S-Class , Lexus LS , Hongqi H9 , Porsche Panamera and Maserati Quattroporte . Luxury cars costing over US$ 100,000 (as of 2007) can be considered as "ultra-luxury cars". Examples include

15792-699: The number of Lexus dealerships, and expand operations in emerging markets such as Russia. Lexus' arrival in the Japanese market in July 2005 marked the first introduction of a Japanese premium car marque in the domestic market. New generation LS, IS, ES, GS, and RX models subsequently became available in Japan along with the SC 430, ending domestic sales of Toyota-branded models under the Celsior, Altezza, Windom, Aristo, Harrier, and Soarer nameplates, respectively. The Altezza and Aristo were previously exclusive to Japanese Toyota retail sales channels called Toyota Vista Store ,

15933-518: The performance F Sport marque include the Lexus RC F Sport and Lexus GS F Sport and Lexus LS F Sport. Lexus production models are named alphanumerically using two-letter designations followed by three digits. The first letter indicates relative status in the Lexus model range ( ranking ), and the second letter refers to car body style or type (e.g. LS for 'luxury sedan'). The three digits commonly indicate engine displacement in liters multiplied by

16074-427: The platform of a mid-size car (also known as large family car or D-segment ), while some models may be based on a compact car (also known as small family car or C-segment ). Executive car is a British term for an automobile larger than a large family car . In official use, the term is adopted by Euro NCAP , a European organization founded to test for car safety. It is a passenger car classification defined by

16215-565: The postwar era. From 1946 until the late 1990s, Cadillac was the top-selling brand of luxury cars in the U.S., while Lincoln was second. The most successful and long-running model names during this era were the Cadillac DeVille , Lincoln Continental , and the Chrysler Imperial . The Lincoln Mark Series and Cadillac Eldorado were positioned in the personal luxury category, and competition between them continued into

16356-531: The same time as Japanese rivals Honda and Nissan created their Acura and Infiniti luxury divisions respectively, Lexus originated from a corporate project to develop a new premium sedan, code-named F1, which began in 1983 and culminated in the launch of the Lexus LS in 1989. Subsequently, the division added sedan , coupé , convertible and SUV models. Lexus did not exist as a brand in its home market until 2005, and all vehicles marketed internationally as Lexus from 1989 to 2005 were released in Japan under

16497-497: The same time, the domestic manufacturers were downsizing their models with product decisions that backfired on quality and brand respect. Since the late 1990s, Japanese and German brands have sold the most luxury-type cars in the United States. However, the Cadillac Escalade has led the luxury SUV segment sales in the United States since its introduction in 1998, with the highest sales for 15 out of its first 20 years on

16638-424: The same year. The LS 600h L subsequently went on sale as the most expensive sedan ever produced in Japan. By the end of 2006, Lexus' annual sales had reached 475,000 vehicles worldwide. In January 2007, Lexus announced a new F marque performance division, which would produce racing-inspired versions of its performance models. The IS F, made its debut at the 2007 North American International Auto Show , accompanied by

16779-411: The second reason and compared to the other protectionist policies they offered several advantages, at least from the viewpoint of the protecting country. For example in contrast to imposing protectionist measures under the General Agreement on Tariffs and Trade (GATT) rules (as amended before 1994), a protectionist country was, in the case of imposing a VER, not expected to negotiate compensations with

16920-967: The somewhat smaller "Chaika" model range. In 2018, Aurus Motors was established to produce luxury vehicles for the Russian market. The luxury car phenomenon began at the start of the automobile industry when the wealthy frequently invested in manufacturing such models to gain social prestige. Emphasis was also placed on custom-built coachwork. The 1920s and 1930s were the apogee of production of these very large luxury automobiles from many manufacturers. The significant North American manufacturers from 1910 until 1940 included Auburn , Buick , Cadillac , Chrysler , Continental , Cord , Daniels , DeSoto , Duesenberg , Franklin , Imperial , LaFayette , LaSalle , Lincoln , Marmon , Packard , Peerless , Pierce Arrow , Ruxton , Stearns-Knight , and Stutz . The Great Depression put many luxury car manufacturers out of business; others would hold on before going defunct during

17061-537: The steepest drop-offs came at the high end, including the BMW 7 Series and Rolls-Royce Phantom , and in 2010 Mercedes-Benz dropped the price of the W212 E-Class . The unusually sharp decline in luxury car sales has led observers to believe that there is a fundamental shift and reshaping of the luxury automotive market, with one industry official suggesting that the marques no longer command the premiums that they used to and another saying that conspicuous consumption

17202-533: The tariffs were not enacted. In 1996, Lexus debuted its first sport utility vehicle, the LX 450 , followed by the third generation ES 300 sedan, and the second generation GS 300 and GS 400 sedans in 1997. The marque's plans for developing an SUV model had accelerated during the U.S.-Japan tariff discussions of 1995. Lexus added the first luxury-branded crossover SUV , the RX 300 in 1998. The RX crossover targeted suburban buyers who desired an upmarket SUV but did not need

17343-412: The term VER is a generic reference for all bilaterally agreed measures to restrain exports. They are sometimes referred to as 'Export Visas'. The restraint could be a preset limit, a reduction in the exported amount, or a complete restriction. Typically VERs arise when industries seek protection from competing imports from particular countries. VERs are then offered by the exporting country to appease

17484-511: The title going to BMW followed by Mercedes-Benz. While 45 percent of Lexus sales in the U.S. in 2011 relied upon the RX luxury crossover SUV, rival Mercedes-Benz's best-selling offering was the E-Class mid-luxury sedan, which commands considerably higher prices. Subsequently, Toyota chairman Akio Toyoda vowed to restore passion to the marque and further increase its organizational independence, admitting that "...back then we did not regard Lexus as

17625-408: The two-letter designation and the letter 'F' are used with no numbers or hyphens (e.g. IS F). Lexus design has traditionally placed an emphasis on targeting specific vehicle development standards. Since the marque's inception, design targets have ranged from aerodynamics and ride quality to interior ergonomics. The backronym "IDEAL" ("Impressive, Dynamic, Elegant, Advanced, and Lasting") is used in

17766-801: The users' higher social status compared to low- and mid-market segment cars. The term is relative and partially subjective, reflecting both objective qualities of a car, as well as the projected and perceived image of the vehicle marque . Luxury brands rank above premium brands , though there is no clear distinction between the two. Traditionally, most luxury cars were large vehicles , though smaller sports-oriented models were produced. " Compact " luxury vehicles such as hatchbacks and off-road capable sport utility vehicles are more recent expansions of luxury qualities in various cars. Increasing comfort features, materials quality, interior space, innovations, and or performance have consistently been competitive strategies between car makers practically throughout

17907-491: Was a combination of two firms' final designs: the Lexus logo typeface came from Saatchi & Saatchi and the "L" was Hunter/Korobkin, Inc.'s design. According to Toyota, the automaker made some refinements so the logo would be easier to manufacture, rendering it using a mathematical formula. The first teaser ads featuring the Lexus name and logo appeared at the Chicago, Los Angeles and New York auto shows in 1988. The F1 project

18048-563: Was a leading producer of powerful luxury automobiles before World War II. After World War II, the French government used puissance fiscale tax regulations to encourage manufacturers to build cars with small engines, and French motorists to buy them. The Maserati-powered Citroën SM and the Citroën C6 were arguably the last domestic French luxury cars. In the 2010s, some French manufacturers have attempted to develop luxury cars, however

18189-399: Was completed in 1989, involving 60 designers, 24 engineering teams, 1,400 engineers, 2,300 technicians, 220 support workers, approximately 450 prototypes and more than $ 1 billion in costs. The resulting car, the Lexus LS 400, had a design that shared no major elements with previous Toyota vehicles, with a new 4.0 L V8 gasoline engine and rear-wheel drive . The car debuted in January 1989 at

18330-406: Was covered in media publications and helped establish the marque's early reputation for customer service . By the end of 1989, a total of 16,392 LS 400 and ES 250 sedans were sold in the four months following the U.S. launch. Although sales had begun at a slower pace than expected, the final tally matched the division's target of 16,000 units for that year. Following initial models, plans called for

18471-440: Was equivalent to roughly 1.5% of American textile industry output at the time. The VER resulted in a decline of Japanese cotton exports totaling $ 84 million in 1956 and $ 69 million in 1961. American textile manufacturers continued to lobby for additional VERs and import quotas against unrestrained low-wage competitors from Hong Kong and India that had filled the gap in the US market left by the reduced Japanese imports. The legacy of

18612-555: Was followed by the second generation ES 300 sedan, which succeeded the ES 250 and became Lexus' top seller. At the conclusion of 1991, Lexus had become the top-selling premium car import in the U.S., with sales reaching 71,206 vehicles. That year, Lexus ranked highest in J.D. Power and Associates ' studies on initial vehicle quality, customer satisfaction and sales satisfaction for the first time. The marque also began increasing U.S. model prices past those of comparable American premium makes, but still below high-end European models. By 1992,

18753-572: Was initially a joint venture with Toyota which later expanded to include a Canadian subsidiary ( CAMI )) - a GM/Suzuki which were consolidated that evolved into the Geo division in the U.S. (its Canadian counterparts Passport and Asuna were short lived - Isuzu automobiles manufactured during this era were sold as captive imports ). The Japanese Big Three (Honda, Toyota, and Nissan) also began exporting bigger, more expensive cars (soon under their newly formed luxury brands like Acura , Lexus , and Infiniti -

18894-454: Was no longer attractive in poor economic conditions. Additionally, mainstream brands have been able to offer amenities and devices such as leather, wood, and anti-lock brakes, previously found only on luxury cars, as the costs decline. However, luxury vehicle sales remained relatively high compared to their non-luxury counterparts. This was aided by growing interest in luxury vehicles from emerging markets such as China and Russia. Sales in

19035-406: Was praised for its quietness, well-appointed and ergonomic interior, engine performance, build quality , aerodynamics , fuel economy and value. However, it was criticized by some automobile columnists for derivative styling and a suspension regarded as too compromising of handling for ride comfort. In some markets it was priced against mid-size, six-cylinder Mercedes-Benz and BMW models. It

19176-602: Was rated by Car and Driver magazine as better than the higher-priced Mercedes-Benz 420 SEL and BMW 735i in terms of ride, handling and performance. The LS 400 also won motoring awards from automotive publications including Automobile Magazine and Wheels Magazine . Lexus quickly established customer loyalty and its debut was generally regarded as a shock to existing luxury marques. BMW's and Mercedes-Benz's U.S. sales figures dropped 29 percent and 19 percent, respectively, with BMW executives accusing Lexus of dumping in that market, while 35 percent of Lexus buyers traded in

19317-528: Was reached between the exporting and importing parties within the textile industry that led to the formation of the Multi-Fiber Agreement in the 1970s. This agreement was essentially an arrangement of multilateral voluntary export restraints. It was terminated in 2005 after the expiry of a ten-year transition period since the 1994 GAT. Following the 1979 oil crisis , the American auto producers suffered record losses as customers moved away from

19458-455: Was that imposing tariff or quotas on foreign goods may be politically risky since the costs of such measures can be recognized by the public. Because the VER was an action taken by a foreign entity, domestic legislative struggle could be avoided. Furthermore, the administrative costs associated with protectionism were reduced this way and transferred to the exporting country. A third reason was that

19599-532: Was the best-selling luxury vehicle manufacturer by sales, with Audi and Mercedes-Benz the second and third highest selling luxury brands. Chinese manufacturer Hongqi was launched in 1958, making it the oldest Chinese luxury car marque. Later newcomers joined taking advantage of the rise of electric powertrains, with NEV brands such as Nio in 2014, Lynk & Co in 2016, HiPhi in 2019, and Zeekr in 2021 producing luxury electric and hybrid vehicles. Japanese manufacturers have been producing luxury cars since

19740-420: Was the first off-road SUV to offer a V8 engine and automatic transmission along with luxury car trim and equipment. Standard features included bucket seating , a center console, air conditioning, a seven-position tilt steering wheel, a vinyl roof , and gold-colored trim panels on the body sides and tailgate. By the late 1970s, optional equipment included an electric sunroof. The 1978 Jeep Wagoneer Limited

19881-488: Was the spiritual successor to the Super Wagoneer and was the first four-wheel drive car to use leather upholstery. The Range Rover was released in 1970 as a two-door vehicle for off-road durability with few "creature comforts." A four-door version was added in 1981, and the model was pushed upmarket in 1983 by introducing an automatic transmission (Chrysler's A727 TorqueFlite ) as an option. The Range Rover had

#697302