Yeah it sounds like the GX and LX are their most profitable models so makes little sense to kill them.
Agree on the profitability issue, but, according to Templin (though this interview is admittedly a few months old), tightening regs are putting the squeeze on them.
http://www.autoblog.com/2015/04/02/lexus-gx-lx-future-uncertain-exclusive/
With the debut of an all-new
RX,
Lexus is in a position for continued strong sales in the luxury SUV arena. The fourth-generation RX has grown, making room for the new
NX model beneath it. But further up the ladder, things could change for the
GX and
LX.
In an interview with
Autoblog at the
2015 New York Auto Show,
Lexus executive vice president Mark Templin gave some hints at the future of his brand's SUV lineup. "With NX and RX, we have a really good one-two punch in the
crossover segments, and we think we can cover most of the markets with that," he said.
As for the larger, three-row GX and LX models, which are built on a traditional ladder-frame chassis, things aren't so clear. Templin noted the the success of both models all over the world – the LX is the best-selling Lexus in Saudi Arabia. The same is true for sales here, he said: "We do very well with those products in the United States – GX has been a great product for us in the US for the last couple of years since its initial introduction.
But the future of those vehicles longer term is in doubt because of regulations that are being driven by governments all over the world."
Don't start stockpiling
LX 570s in anticipation of shortages just yet. Templin didn't give any specifics; he just notes that tightening
fuel economy and emissions regulations could affect product planning. In our analysis, if and when GX rides off into the sunset, Lexus still needs a midsize, three-row SUV to fill that gap. The most likely candidate for that is some variation on the RX.
Whether or not that's the case, don't expect a BMW-like proliferation of body styles from
Toyota'sluxury division. "It creates problems. It creates complexity, that's hard for every step of the process," Templin said, nothing that too many models stresses the design department, manufacturing, and even
dealers inventory selection.
As for the bottom end of the lineup, Templin wouldn't comment on a compact SUV below the NX, saying "I think there are more potential options for us in the future, but we're not trying to grow the number of models we have in our lineup. It's not really what our core business is about." For now, Lexus and Templin are focused on launching the RX, which accounts for three of every 10 Lexus models ever sold. The 2016 model, available in
RX 350 and
RX 450h hybrid versions, goes on sale by the end of the year.