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Axed: Lexus IS sedan, RC coupe and CT hatch to be dropped from local line-up

Lexus has been forced to discontinue three popular models from its range due to new side impact crash test rules from November 2021.


Toyota's luxury division Lexus has been forced to withdraw the IS mid-size sedan, the RC coupe and CT hybrid hatchback from the Australian market from 1 November 2021 due to toughening safety standards.

Lexus Australia chief executive Scott Thompson confirmed the demise of the three models at the Australian preview of the all-new NX mid-size SUV due in November. 

The executive said the withdrawal of three key models – and the imminent arrival of four new models – would be an unprecedented transformative phase for Lexus in Australia.

"As part of this transformative period, we do have to say goodbye to the IS, RC and CT from November due to regulation changes that come into effect before all other global markets here in Australia."

Thompson partly blamed the decision to kill the three models on a new safety regulation that comes into effect on November 1, which will bring Australia into line with stricter safety standards introduced for new model launches in Japan in 2018 but not due in Europe until 2022. Japan and the USA have not set a date for existing models to meet the new standard.

The independent crash test authority ANCAP (Australasian New Car Assessment Program) had been assessing vehicles locally to the new standards since 2018.

"The reality is [the decision was] around a new (Australian Design Rule) that's coming into effect in Australia ... and for us to keep selling those cars that would have required a design change."

Although the design is new – following a refresh in November 2020 – the platform on which the current Lexus IS sedan is based dates back to 2013.

Vehicle Standard ADR 85/00 – Pole Side Impact Performance – was put into legislation in December 2015, meaning Lexus has had five and a half years to prepare its existing range.

The vehicle standard applies to new-model passenger cars, forward control passenger vehicles and off-road passenger vehicles introduced to Australia after 1 July 2018 with a gross vehicle mass (GVM) under 3500kg. 

Existing models have until 1 November 2021 to meet the requirements. Commercial vehicles such as utes and vans have until November 2022.

Vehicles that do not meet Australian Design Rule standards cannot be sold in Australia. 

The Lexus executive said the company considered spending the money to make the cars compliant but chose not to. 

"We had a lot of discussions with our parent company to assess the alternatives and our decision was that we wanted to focus on the next generation of vehicles coming our way. So, a hard decision, but one that we had to take," said Mr Thompson.

"The IS is a much-loved nameplate here in Australia since 1999, and with the significant facelift of the current generation it goes out on a high."

The executive said the Lexus RC coupe would also be axed due to the same regulations.

"The RC F Track Edition ends its run lighter than all three of its flagship German rivals," said Mr Thompson. "Carbon-fibre-infused and with a soaring V8, and delivering key lessons for new sports models, including the LC Inspiration Series."

The Lexus IS sedan was updated less than 12 months ago, with an all-new exterior design, interior changes, and mechanical and technology updates.

The Lexus RC coupe also received an update as recently as November 2020 which brought engine, suspension and safety improvements. 

The Lexus CT200h hybrid hatchback (pictured below) was most recently updated in October 2017 with sportier styling, cabin improvements and an expanded suite of safety tech. 

Introduced in 1999 in IS200 guise, the Lexus IS sedan has helped build the prestige reputation of Lexus in Australia.

Positioned as a rival for the BMW 3 Series and other premium sedans, it quickly won critical acclaim for its sharp styling and dynamics. 

The best annual sales result for the Lexus IS in Australia was 2007 when 4096 examples were sold, accounting for almost 50 per cent of Lexus sales that year.

But even in its best year, it could not overcome the market dominance of its main rivals: BMW sold 5795 examples of the 3 Series sedan and Mercedes-Benz delivered 4232 examples of the C-Class sedan in the same year. 

Lexus has sold 47,296 IS sedans in Australia between 1999 and May 2021. It will likely fall just shy of the 50,000 mark before the model is retired later this year.

– Glenn Butler


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Glenn Butler

Glenn Butler is one of Australia's best-known motoring journalists having spent the last 25 years reporting on cars on radio, TV, web and print. He's a former editor of Wheels, Australia's most respected car magazine, and was deputy editor of Drive.com.au before that. Glenn's also worked at an executive level for two of Australia's most prominent car companies, so he understands how much care and consideration goes into designing and developing new cars. As a journalist, he's driven everything from Ferraris to Fiats on all continents except Antarctica (which he one day hopes to achieve) and loves discovering each car's unique personality and strengths. Glenn knows a car's price isn't indicative of its competence, and even the cheapest car can enhance your life and expand your horizons. 

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