Lexus Europe 2012 Sales Update

It all breaks doen to cold hard cash, diesel is cheaper overhere than gas, so you get better mpg than a hybrid on an already chaeper fuel.

Diesel isn't cheaper in UK, it's about 5p per litre more expensive. In fact a lot of people buy diesel without doing the maths, there are many models where you have to do massive mileage before recouping costs. Diesels run at higher pressures meaning bigger heavier engines, this costs more to produce. They produce more harmful stuff out the exhaust like NOx and Particulates, these require expensive items to reduce like DPF and additives. There is a good guide on this site for cost comparison: http://www.whatcar.com/car-news/petrol-or-diesel-which-is-cheaper-/introduction/248338 An interesting example is a BMW 320d, now you would think this cheaper than the petrol but in fact if you factor in all aspects of ownership the petrol is £709 cheaper over 3 years / 36,000 miles. I think it is just the case of fuel costs being so high people only look at MPG figures which never give you the full cost of running.

Now a change in policy to something much more sensible like taxing cars based on amount of harmful emissions like NOx and Particulates, not just CO2 would work massively in Lexus's favour. London is one of the most air polluted capitals in Europe and it's because there are so many diesels. They have finally be proven to cause cancer (although anyone who had walked along a pavement when a diesel vehicle passed by with a plume of black smoke could have told you they weren't exactly conducive to your health!) If UK want to avoid fines and even worse pollution they should stop taxing based on CO2 and tax on NOx and Particulates. Sources: http://www.bbc.co.uk/news/health-18415532 http://www.guardian.co.uk/environment/2010/jun/25/london-air-pollution-europe

Europe is larger than the Uk

Very true, the stats are also for Russia and other countries. Still doesn't alter the fact diesel cars generally cost more to produce and quite often more to run then petrol counterparts. Fuel prices will vary from country to country, you said diesel was cheaper than petrol which in the UK it isn't. It sounds like diesel cars would be much cheaper to run where you live. I would be very interested to see some figures to have as a comparison.

In my experience diesel fuel is slightly cheaper than gasoline but at the same time diesel cars are also taxed higher due to emissions. Many people don't exactly care about the taxation aspect (since it is on average only about 300 Euros per year compared to the 100 Euros for a gasoline car [generalizing here]) but are more interested in the greater range a diesel car gives them and the lower fuel consumption. Given the European fuel taxation scheme, diesel engines make sense on bigger cars and especially in SUVs. Anything the size of the GS will sell better with a diesel engine in Europe. Last summer I rented a current E class with a small diesel engine. I think it was an E220 CDI or E250 CDI, I can't remember, but I got nearly 900 km out of that car on one tank filling. My journey involved some luggage, two business partners (three people in the car) and a mix if city, highway and rural driving (Paris to Munich). This was impressive because of the weight, the driving situations and the fact that my partners and their different driving styles also took the wheel and drove. I can see why diesels are appealing: long range, more time inside the car instead of pulling over and filling up "all the time". Also, the refinement aspect was good. I was impressed with the car. Performance was good to. Why we don't get these cars in the US, which would be perfect for our highways and their speedlimits, is beyond me... Lexus is missing out if they refuse to enter the diesel game in Europe. Hybrids aren't efficient enough on most European highways, where they can generally drive faster than we can in the US and where hybrids have to lug around the extra weight of their batteries and electrical components. What works in the US doesn't work in Europe. We love hybrids (partially due to our diesel stigma) and Europeans love diesels. I've said it before but before buying my E350 convertible I was interested in an E350 Bluetec diesel. The waiting list was to long, hence I capitulated and went with the convertible and the gasoline 265-hp V6 instead. In my opinion Lexus needs to offer two to three diesels for Europe. Two entry-level 4-cylinder turbodiesels with power outputs between 170- and 220-horsepower and a V6 diesel with around 270-horsepower or more. An "entry-level GS250 V6" and a GS450h are not going to improve sales or create appeal. And modern diesels are clean and getting better as technology improves. Emissions from gasoline cars, no matter how clean they are, are also thought to be cancer-causing. At the moment there is simply not enough data to corroborate this theory.

Diesels would be great. But they only had one IS220d and that was a catastrophe as the engine was launched before engineering was finished and so it took numerous updates and warranty repairs and as a consequence high cost for Lexus.  

The IS220d always seemed a bit like a "rush job" to me. To my knowledge it wasn't highly regarded in Europe. But I think what really killed the IS220d initially was the lack of an automatic transmission option (while at the same time in Europe the IS250 was apparently A/T only) and the fact that it had 2/3 of its safety features removed compared to the IS250. What exactly Lexus was planning here remains a mystery to me. I believe they may have wanted to push the price down to make the IS220d undercut its rivals financially speaking. If so, that was a rather silly move. Removing 2/3 of a cars safety features? Uh, big no no in my book. I consider myself an average consumer and I'd pay more for a car with better safety features than the same car with less safety features and a cheaper asking price.

I'm just quoting the list from the directly from the Lexus press release.  http://corporatemedia.toyota.eu/PressReleases/Pages/CorporatePressRelease.aspx?pressReleaseId=752&returnUrl=/Pages/default.aspx&source=Corporate