Lexus sees ‘robust 12 months’ after chip disaster, Russia exit

Lexus is working via an order backlog in Europe after Toyota’s premium model was hit notably arduous by the chip scarcity, forcing it to pause gross sales of some variations of its newly launched NX midsize SUV.

“There’s no denying 2022 was a really robust 12 months for Lexus,” Matt Harrison, president and CEO of Toyota Motor Europe, mentioned on the automaker’s Kenshiki media occasion in Brussels on the finish of November.

Lexus gross sales in Europe fell 28 % to 27,247 within the first 9 months of 2022, in line with figures from market researcher Dataforce. The model’s best-selling UX compact SUV had the most important drop, down 36 % to 10,053.

Lexus’ European gross sales had been additionally hit by the Toyota’s exit from the Russian market, which the corporate contains in its European reporting. “25 % of Lexus quantity was in Russia,” Harrison mentioned. “And never small fashions, both. Largely RX [large SUV],  NX and even LX [luxury sedan]. The revenue impression is extra vital than the gross sales impression.”

Lexus had been hoping for a gross sales enhance in Europe from its newly launched NX mannequin, which added a plug-in hybrid to the model’s vary for the primary time to present it entry to tax incentives provided to fleet prospects.

Japanese manufacturing of the NX, nevertheless, has been slowed by the chip scarcity, leaving the model with a backlog of orders. 

“We now have skilled extreme manufacturing cuts on key fashions together with NX, a mannequin central to our progress aspirations this 12 months,” Harrison mentioned. “We’re assured that when provide limitations ease, our Lexus progress momentum will proceed.”