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What's the difference?
One question frequently discussed in the skunkworks of the CarsGuide office is: What exactly does Lexus stand for?
When the brand debuted its original export-market IS sedan in 1999 the messaging was more or less clear: Toyota’s premium sub-brand was here to be a Japanese BMW.
The brand even employed Nobuaki Katayama – chief engineer on the iconic Corolla AE86 program – to again take the reins of its small rear-wheel drive sedan program.
As the years went on though, Lexus changed. Fundamentally geared toward the US market, the second-generation (wild IS F aside) became a bit more sedate and softer around the edges, while the third generation strayed even further from the sedan’s performance-inspired roots, leaning into a plush interior, hybrid drive, and even CVT transmissions.
This brings us to today’s Lexus IS. Essentially a heavy facelift of the third generation (which arrived back in 2013), the brand has “reimagined” its core sedan with a tweaked design and updated technology for 2021.
Is it enough to keep it relevant against its ever-present European rivals and the newly arrived threat from Hyundai’s Genesis G70? I took a signature IS300h hybrid for a week to find out.
After teasing us with the S3, all-wheel-drive version of its A3 sedan and hatch (Sportback in Audi-speak), Audi has finally given us the full-fat, RS3 variant of the same car. Any time you see an `R’ and an `S’ on the badge of an Audi, you know it’s the full nine yards in terms of all-wheel-drive grip and engine performance. And the RS3 is no different.
The power is enormous, the grip prodigious and the attitude is way tougher than any other A3 variant. It’s also well equipped, safe and nicely put together. But is that extra `R’ worth the added price of admission? And is this more Audi A-Series than you really need?
The other question is, given that the S3 is such a resolved package with its own shot of high-performance, do the numbers stack up for the RS3 version? How much is too much?
Smooth, cosy, quiet, the IS looks and feels better than ever, but without a doubt this hybrid version is a car best suited to cruising the dense metropolis of Chiba at midnight more than it is carving up a bunch of S-bends in the Australian countryside on the weekend.
While that might still limit its appeal for fans of German sports luxury sedans and place it further from the original IS’s ambitions, it does offer an intriguing efficiency and luxury focused alternative, without the compromises brought by rivals with more sporting intent. In a way then, the IS 300h perhaps inadvertently best embodies what Lexus is as a brand.
If conventionally powered cars really are on the endangered list, it’s vehicles like the Audi RS3 that will remind us what we’ve lost. There’s so much fun to be had in this car, that you really need to take it to a track to tap into it safely and responsibly. And there’s the rub.
While there’s no doubting the RS3’s potential, neither is there any doubt that the driveline absolutely dominates the experience. In fact, we reckon the S3 with its more modest (but still ample) performance and friendlier nature is probably the smarter car for the everyday. It’s also cheaper by about $20,000 and while it lacks the aggressive looks, it’s still a charming car. Perhaps all the more charming for its easier-going nature and balance of abilities.
So why buy the RS3? Because it’s the one that will keep you entertained for longer if you’re a serious enthusiast driver. But if you don’t plan to use the car for track days, there’s a strong argument that the RS3 is way more car than you’ll ever need. Of course, that sentiment never stopped performance-car lovers, did it?
Look closely and quite a lot has changed. This is really a story of doing a facelift right. Lexus has kept all the great-looking bits of the car that launched in 2013, like its striking side profile and angular accents, while dumping most of its least popular elements like the spidery front light-clusters and busy front splitter, in favour of something more refined and conservative.
It even adds some new flair in the rear three-quarter, with dramatic LED light-clusters working their way into a trendy highlight strip across the boot lid.
These changes all add up for a much tougher, sportier, and nuanced design compared to the outgoing car. One that manages to make an eight-year old design look as contemporary as ever.
I even liked our test car in its plain black shade, although I'm less sure about those conservative-to-a-fault, almost Camry-esque alloy wheels.
On the inside, sadly not a whole lot has changed. The busy design looked dated when this generation of IS launched in 2013, and it still looks dated now.
The visual assault of buttons, toggles, displays, textures, and trims is a lot to take in, and makes the cabin feel smaller than it is.
It probably didn’t help the sensory overload of this car’s interior as I hopped out of the stripped-back interior in the Tesla Model 3 I had the week before.
My less-than-impressed brother, a student of design, described the IS’s interior best when he told me “It’s a bit maximalist, don’t you think?”
If nothing else, at least Lexus hasn’t blatantly imitated anyone else when it comes to its interior, but the brand remains firm on dorky design items like the laptop touchpad, redundant drive-select dial, and odd vacant panels under the climate unit which do it no favours.
A welcome upgrade for the 2021 model year is the new media screen, a highlight piece perched atop the dash. It’s bright, has excellent contrast, and doesn’t seem to fall victim to glare.
The Apple CarPlay support I used was seamless and sharp and made the most of the available real-estate in its widescreen layout.
I somehow didn’t mind that the instrument cluster in this base car is analog. It almost suits the IS’s character better than a digital set-up would. Also offered is a small information display between the dials which I used for monitoring the hybrid drive.
A final note on the IS’s design. The fit and finish is quality, inside and out. It leaves you with an impression that this is an immaculately built vehicle, one that should be a must for all luxury cars, and always a strong point for Lexus.
While the overall shape of the RS3 suggests evolution rather than revolution, the RS3 treatment has led to a much sportier look. We still reckon the sedan is the pick of the two body styles, mainly because it looks a bit more aggressive. Certainly, though, an aggressive look is not something either version backs away from, and those deep, wide blacked-out honeycomb grilles front and rear give the thing lots of presence.
So too do the blistered fenders, allowing for the extra track width that gives the RS3 its unique footprint. The front track itself is 30mm wider, but the wider fenders also gave Audi the chance to do some creative aero-management. Unlike, say, the Toyota Supra, for instance, with its faux vents up each side, the RS3’s lower-front vents and aero-slits behind each front fender are fully functional, directing air into the engine bay and away from the brakes respectively.
Another really neat function is the LED daytime running lights’ one-act play when you unlock the doors. As the car unlocks its doors, the LEDs spell out `R’, `S’ and `3’in sequence. Blink and you’ll miss it, but it’s a lovely touch that some manufacturers will never understand.
Well, the IS is a sedan, so it doesn’t quite have that high-riding appeal of an SUV, and for this update it has even leaned further into its low-slung proportions with a roofline that descends a further 15mm and a boot lid which is 31mm lower overall.
As with the previous car, the interior is quite closed-in thanks to that busy dash design and large centre console. Rather than feeling claustrophobic though, it is best described as cosy, with lots of plush finishes throughout the doors and centre stack befitting a luxury nameplate.
Adjustability is great for the front two occupants and there are two large bottle holders between the seats, a large but shallow console box under the armrest, bottle holders with adjoining bins in the doors, and a smallish glove box.
That’s about where storage ends though, with no extra trays or bins in front of the oddly placed shifter, just an awkwardly finished plastic panel where it feels like a little tray or storage cutaway should be.
The touchpad for operating the media screen joins an unnecessary drive-select cluster in eating up centre console space where there could be more storage.
The rear seat is quite limited on space despite being lavishly trimmed. I fit behind my own (182cm/6'0") driving position with little knee or headroom to spare.
Again, it’s cosy and very comfortable, but if you're taller or wider than me you may run into issues.
The centre rear seat is all but useless for adults, with the IS’s rear-drive architecture necessitating a huge transmission tunnel that almost comes as high as the seat base itself.
Storage is limited to pockets on the back of the front seats, small bins in the doors that double as handholds, and a drop-down armrest with two bottle holders.
There are no power outlets for rear passengers, but there are dual adjustable air vents.
Boot space is 450L which is a little small for the class. It’s impressive the hybrid only managed to lose 30 litres compared to petrol-only IS variants, though, so best to count your blessings.
The largest CarsGuide travel case easily fit in the wide but short available space.
Like the rest of the Audi A-series range, the RS3 is available in two body styles, a five-door hatchback and a four-door sedan. The five-door hatchback layout is the most practical of the two RS3 layouts, but both feature plenty of front-seat space and a rear seat that folds 40:20:40.
Paddle shifters are mounted on the steering wheel rather than the column, so they move with the wheel. That can make it difficult to select the correct paddle in a hurry with lots of lock applied.
The Drive modes are operated by a switch low down on the centre-stack that is clearly designed for left-hand-drive cars. It’s too far from the driver and needs to be cycled through in one direction, rather than being able to select the next mode or the previous one.
Beyond that, the interior is a lesson to other car-makers on how to get an interior right. There’s a quality look and feel with the possible exception of the plastic trim below the passenger-side air-vents which looks and feels a bit cheap. There are plenty of cup-holders and cubbies around the cabin with two USB plugs in the front and two in the rear (for charging).
The RS3 loses some space compared to the regular A3 because of the performance hardware. Where the hatch can take 282 litres with all seats in place (1104L with second row stowed), the sedan can swallow 321 litres.
To be precise the variant we’re looking at here is the IS 300h Luxury. It’s the base IS trim with the hybrid powertrain and it wears a before on-road costs (MSRP) of $64,500.
Base car or not, the new IS is very well specified. Now standard are 18-inch alloys (up from 17s), full LED headlight clusters, eight-way power adjustable front seats, dual-zone climate control, 10-speaker audio system, and importantly a brilliant new 10.3-inch multimedia screen with widescreen Apple CarPlay, Android Auto, built-in navigation, and DAB+ digital radio support.
Keyless entry and push-start ignition also continue to be offered, as well as a leather-look interior trim which in our car was in a rather contrasting 'Ochre' colour option.
Our IS 300h was also fitted with the creatively named ‘Enhancement Pack 1’ which adds an openable moonroof for $2000. The significantly more expensive ‘Enhancement Pack 2’ ($5500) adds the moonroof alongside 19-inch alloys, upgraded LED headlights, interior ornamentation, scuff plates, a panoramic reversing camera, 17-speaker premium audio, ‘leather-accented’ interior trim, ventilated front seats, and an electric rear sunshade.
These packs are seemingly largely unnecessary but are also very cheap for a brand at the premium end of the market.
Lexus has made pretty much all of its high-end active safety equipment standard on this base ‘Luxury’ for 2021, alongside some previously unavailable tech which we’ll take a look at in the safety section of this review.
At this price the Lexus IS 300h goes into battle against the Mercedes-Benz C 200 ($66,900), BMW 320i ($70,900), Audi A4 35 TFSI ($55,900), and the ever-looming threat of Hyundai’s Genesis, which offers its similarly-sized G70 in base form at $59,300.
Some of these base-spec rivals are cheaper, some are more expensive, but did you notice none of them are hybrids?
Access to Toyota’s affordable and popular hybrid drive is a real point of difference for the Lexus brand, and we expect it’s a key drawcard for the loyal customer base. More on that later.
What you’re buying here is not a car in a different size or luxury category compared with its S3 and A3 stablemates, but a car with a much broader performance envelope. So it’s no surprise to learn that a lot of the extra money goes into that type of hardware.
So rather than the class-standard four-cylinder engine, the RS3 gets a five-cylinder engine measuring 2.5 litres and enough performance to challenge many a supercar of just a handful of years ago. That philosophy also requires bigger brakes, firmer suspension and a more complex, track-oriented version of the electronic rear differential that can turn the car into a drifter or a race-track hero. Wheels and tyres are competition-spec, too.
In turn, those changes have forced other alterations such as the wider fenders and more intricate body kit, the former to physically fit the tyres, the latter to control air-flow for high-speed stability and for thermal management.
Other RS3 additions to what was an already well-equipped car in the S3, include lots of Audi’s trademark honeycomb styling panels around the car, RS3 puddle lighting, LED headlights and daytime running lights, carbon and aluminium interior inlays, RS sports seats with four-way lumbar support and a massage function.
There are two USB ports, wireless phone charging, another pair of USB ports in the rear, Bang and Olufsen stereo, head-up display, tinted glass, heated, folding exterior mirrors and Nappa leather throughout the interior. There’s also Android Auto, a wireless version of Apple CarPlay and digital radio.
The RS3 uses Audi’s celebrated virtual cockpit display with a choice of display layouts for the driver as well as a 10.1-inch touchscreen to control all the connectivity and infotainment settings. It uses the latest version of Audi’s MMI interface.
Like the other A3-based Audis, there’s a price premium for the sedan body over the hatchback, making the five-door RS3 a $91,391 purchase against the sedan at $93,891. Compared with the S3 CarsGuide tested earlier this year, that represents a pretty big jump from that car’s $70,700 (hatch) and $73,200 (sedan). That said, there’s a fair bit more going on in the RS3 in every department, but you get the sense that this comparison will be one nearly every potential buyer will make.
Like most Audis, there’s a range of optional packages, starting in the RS3’s case with the Carbon Package which brings carbon-matte inlays to the interior, side skirts, exterior mirrors and a carbon roof spoiler for the Sportback and a carbon roof-lip spoiler for the sedan. That costs $7400 on the hatch and $6300 on the sedan.
The Matte Aluminium Package is next with a few trim pieces finished in an aluminium material for $2000 extra and there’s also a panoramic sunroof on offer for $2600.
The RS Design Package gets you an Alcantara-covered steering wheel, seat belts in green or red as well as coloured elements to the seat shoulders, floor mats and the air-vent highlights. Yours for $2150.
The most serious option is the RS Dynamic Package which brings carbon-ceramic brakes with a choice of caliper colour as well as an electronic reflash to bring the top speed of the RS3 to 290km/h from its standard (limited) 250km/h. That adds another $13,000 to the price.
One thing that’s nice to see is that Audi has made even the pearl and metallic colours a no-cost option on the RS3. Other manufacturers should take note.
The IS 300h does stand out from the luxury sedan crowd by offering a hybrid drivetrain at a reasonable price. Some rivals offer plug-in options further up the price scale cementing them as a niche option, but the beauty of this Lexus is its very mild $3000 price jump over the base petrol car.
The base car’s 2.0-litre turbo is dumped in favour of a 2.5-litre non-turbo Atkinson-cycle four-cylinder hybrid set-up similar to the one proving popular in the Toyota Camry and RAV4.
The petrol engine produces 133kW/221Nm on its own, and the electric motor produces 105kW/300Nm. Toyota says the “combined system output” of this is 164kW.
Either way, that's less than the base 2.0 turbo. The 300h also swaps out an eight-speed torque converter automatic in favour of a continuously variable transmission. Rare in a rear-wheel drive car.
While the five-cylinder engine is more or less a carry-over from the previous RS3 model, the end result is still a pretty stunning one. With 2.5 litres of capacity, the turbocharged unit accounts for 294kW of power (the same as the previous model) and 500Nm of torque (up 20Nm).
The transmission is a seven-speed dual-clutch unit that is quite a familiar sight around Audi by now, and the all-wheel-drive system uses a centre differential with an electronic clutch-pack on each rear axle to give the car a Drift mode (although Audi insists you don’t refer to it in those terms) as well as torque vectoring with the ability to shift 100 per cent of rear-axle torque to the either wheel to maximise grip.
There’s now also an RS-specific exhaust system with an active flap to increase or tame exhaust noise according to which drive model is selected. The drive modes themselves stretch form Comfort to Auto to Dynamic, altering shift points, gear-shift aggression, throttle response and suspension firmness as well as that exhaust flap.
Brakes are enormous 375mm front rotors with six-piston calipers, that hardware forcing the fitment of a 19-inch alloy wheel (specific to the RS3) for brake clearance.
As you might hope this hybrid IS has an astoundingly low official/combined fuel consumption rating of 5.1L/100km.
I was pleased to find that after a week of mainly urban driving conditions, our IS was returning a figure of 6.9L/100km. Not bad at all, especially for a class where fuel consumption can get a little out of hand with turbocharged engines or V6s.
Of course, using the hybrid system to your advantage over the long term will get this number much lower, as I discovered on my long-term test of the Toyota Corolla hybrid which essentially uses a smaller version of the same system.
Certainly, if fuel consumption is a high concern, you’re better off with this car than the top-spec V6 (IS 350) which will easily see consumption enter double digits.
Lexus recommends a minimum RON rating of 95 for the IS 300h, and the fuel tank is 66 litres regardless of variant, giving the hybrid an impressive theoretical range of around 1000km.
Audi’s official combined fuel consumption figure for this car is 8.3 litres per 100km. Obviously, start using all that power and torque and that figure will grow significantly. Based on that, the car emits 190 grams of CO2 per kilometre, and with the 55-litre tank (which looks a bit small on paper) the range should still be around 600km between fill-ups.
The only catch with that is the high-tech nature of the engine means it requires the more expensive, Premium ULP at the bowser.
There is no doubt the IS 300h is capable. You can feel it through the car’s solid rear-drive underpinnings, silky smooth steering, and reactive chassis.
What this car doesn’t offer is excitement in quite the same sense as many of its rivals. That’s down to this hybrid’s drivetrain. It just doesn’t have that powerful follow-through in the same way turbocharged BMWs or Audis or Mercedes do.
If it’s that 'sports luxury' experience you’re seeking better off looking to the base 2.0-litre turbo or the V6 and their eight-speed automatics.
The 300h does offer something a bit different. The gentle refined efficiency of Toyota’s signature hybrid system in a luxury rear-drive package that’s smaller than this car’s ES bigger brother.
While it may feel capable thanks to the lighter suspension components and altered track that the brand has committed to for this update, the hybrid drive matches this car’s softer character brought about by its gentle suspension tune and light steering.
This is an easy car to drive around a city, it filters out bumps nicely, while offering near silence in the cabin and breezy steering for every day scenarios like manoeuvring in tight parking lots.
The CVT auto and instantaneous torque available from the electric motor make it best at traffic speeds, being both reactive and predictable, with silent acceleration when inching forward at the lights or cruising along at 50km/h.
As you might expect though, the wheezy Atkinson cycle engine and CVT conspire for a noisy and less than engaging experience under heavy acceleration.
It’s not as though you’re rewarded with particular vigour either, with this combination being a bit sluggish when a lot is asked of it.
It loses its reactivity and refinement at higher speeds or in the corners on country roads as the transmission elastically tries to keep up with the demands of the driver.
Still, few luxury sedans are quite as purpose-built for the toils of a city, and if you want to get drawn into this car’s hybrid drive antics, it’s easy to make a game out of saving fuel by trying to rely on its low-speed electric motor capability.
Really then, it leans into its urban luxury appeal. A luxury sedan for the streets of Tokyo. An ideal car in this class for the urban environment.
If you don’t care for the thrill of a turbocharger or frequently seek to explore the twists of your nearest B-road, you could do worse than the comfort and ambiance the 300h offers.
First impressions are that this is a typical Audi in the way it fits together beautifully and is made from quality materials. The ergonomics – particularly the virtual cockpit - are spot on and it even smells like an Audi. Noise is well suppressed, the controls feel quality and the front seats are comfy. But from there, the overarching view is dominated by that powerhouse of an engine.
This isn’t just a quick car, it’s actually brutal in the way it builds boost almost immediately and then hurls the car down the road. To be honest, it’s almost too much, and the way the RS3 reels in the horizon will leave some drivers ignoring other sensory inputs in order to keep up with the car. Brutality breeds brutality, too, and the subsequent steering and braking inputs required when the throttle is pinned will not always be the considered, gentle type; they’ll often be gut reactions.
Thankfully, the rest of the driveline and platform has the smarts to make all this work. There’s awesome grip from the Quattro all-wheel-drive system and the car stays flat and steers in a fast, neutral but pin-sharp way. The dual-clutch transmission feels perfect for the engine, too, with ultra-quick shifts that become more aggressive as you ramp up the drive modes. Ride quality is good but we reckon there’s less bandwidth in the various drive mode settings than exists in the same system fitted to the S3 model we drove a few months ago. While the latter offered a broad range of suspension firmness, the RS3 seems to be a bit of a prisoner of its own performance, with Audi leaning all the drive modes towards a firmer setting in the name of body control.
That’s supported by Audi’s decision to offer us some race-tack laps in the RS3 to safely explore its high-end tendencies. At this point, the car emerges as a proper track-day proposition, all that power and control blending into a car that loves being thrown around a circuit. Perhaps the front seats could do with a little more side bolstering at track-cornering speeds, but overall, it’s clear that the RS3’s brief does, indeed, include a degree of race-track use.
A full active safety suite is now standard across the IS range, including freeway-speed auto emergency braking with pedestrian detection (works during the day and at night) and cyclist detection (works during the day only), and a new intersection braking feature, lane keep assist with lane departure warning, blind spot monitoring, rear cross traffic alert with reverse auto braking, traffic sign recognition, adaptive cruise control, and auto high-beam assist.
There is also an auto SOS function, as recently added to the Toyota Yaris Cross, which automatically triggers if an airbag is deployed. On the topic of airbags, every IS has a thorough suite of 10 (dual front, dual side, quad head, dual front knee).
This all adds up with the standard array of stability, brake, and traction controls for a maximum five-star ANCAP safety rating, although the IS was last assessed way back in 2016.
The IS is built in Japan.
The RS3 hasn’t been crash-tested locally, but the A3 on which it is substantially based has been and scored five stars back in 2020. The caveat there is that that result related to the lighter front-wheel-drive version of the car, not the RS3’s all-wheel-drive variant.
The RS3 is well equipped from a safety perspective with seven air-bags including a head-level curtain airbag that protects occupants in both the front and rear seats. There’s also Audi’s Pre-Safe which closes the windows and sunroof and pre-tensions the seat-belts if the car thinks a shunt is imminent. In the RS3’s case, that program has been extended to include autonomous emergency braking which works at speeds up to 250km/h and can identify pedestrians and cyclists up to 85km/h.
There’s also a tyre-pressure monitoring system, lane-change warning, rear cross-traffic warning, lane departure warning with active intervention of the steering, parking cameras front and rear, park-assist, and a 360-degree camera system with various points of view.
Lexus gets slightly ahead of the luxury pack with an extra year of warranty. While BMW and Audi still sit on three, Lexus offers four, but it is limited to 100,000km and is still outdone by Mercedes-Benz and Korean newcomer, Genesis, offering five-year/unlimited kilometre promises.
The IS has capped price servicing fixed at $495 for the first three years of ownership with roadside assist, and the brand will even pick up and drop off your car, or offer a free loan car during every 12 month or 15,000km service.
It’s worth noting that German rivals offer pre-paid service packages out to five years, and Genesis is trying to make a splash with free servicing.
Lexus does offer a luxury ownership program dubbed ‘Encore’ which includes invites to experiences and certain partnerships with restaurants and the like to keep potential owners enticed.
Service intervals for the RS3 are every 12 months or 15,000km, whichever comes first. Audi offers capped-price servicing for the RS3 at $3580 which covers servicing costs for the first five years.
The car is covered by Audi’s five-year/unlimited kilometre warranty. The vehicle is also protected against body-rust perforation for 12 years.