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.
A wagon and not an SUV, eh? Respect. You see, when most people now think of a new car they think of an SUV, especially when they want something with a bit of cargo space. But not you.
And for thinking outside the box you’ll be rewarded with something that’s better to drive than most SUVs – like the Hyundai i40 Tourer in the Active grade and a diesel engine we’ve road tested here.
So, what are the strengths and weaknesses of this Korean wagon, and should you wait or buy it now? Read on to find out.
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.
The i40 Tourer in the Active grade is great to drive, it’s practical, and should be low-cost to run. But you can bet the new version, due to arrive soon, will be, too. If you can wait, it's a safe bet the new i40 Tourer will have an updated look, improved safety equipment and retain all the good points of the previous model.
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.
The i40 wagon looks good, I even caught myself doing that admiring 'look back' thing you do when you walk away from your car. Thing is, the current i40 has the ‘old’ Hyundai styling that dates it compared to the new i30, Sonata and Kona, which reflect the brand’s latest look.
This brings me to something you should really know – the newer, updated i40 will arrive in Australia soon, and it will be more in line with Hyundai’s current design approach.
The i40 is also up against some hot-looking rivals. The Mondeo is gorgeous, the Passat is stately, and the Commodore also looks stunning. To be honest the i40 is the least attractive of that lot form where I’m looking. It’s also about the same size as that trio at 4775mm long, 1815mm wide and 1470mm in height.
My mum would call the interior of the i40 Active smart looking, but she doesn’t mean tech-smart, more school dance smart, and if she ever said that before you went to a school dance you’d get changed immediately.
Yes, it looks smart in a tidy, stylish way, but that tiny screen, cloth seats and ordinary plastics lower the tone compared to the Premium's more 'premium' interior.
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.
The i40 wagon nails the practicality category. Storage space is excellent with a deep, wide console bin under the centre armrest, and there’s another big well in front of the gear shifter.
There are large pockets in all the doors with bottle holders, two cupholders up front and another two in the fold-down rear armrest, plus another storage area in there, too.
The i40 Tourer’s 506 litre cargo capacity is good, but can’t beat the Passat’s 650 litres, while it matches the Mazda6 wagon’s boot space.
Rear legroom borders on limo territory and even at 191cm I can sit behind my driving position with about 50mm of space between my knees and the seat back. Headroom back there is also extremely generous.
The rear doors open wide, making for an easy exit or entry, too.
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.
There are only two grades in the i40 range - 'Active' and 'Premium'. And when it comes to engines you again have two choices - petrol or diesel. The latter adding $2600 to the price.
If you’re looking for the most affordable way into an i40 wagon go for the Active. Listing at a base price of $35,690, 'our' i40 Active Tourer diesel had one option – 'Ocean View' metallic paint, adding an extra $595.
The Active grade costs $9160 less than Premium, and as much as I’d like to say that top-spec car is pretty much the same, with some shiny bits of door trim added, I’d be lying.
The Active really does miss out on some decent stuff – the screen is the smallest I’ve seen since I wore a digital watch, at 4.3-inch (the Premium has a 7.0-inch), there’s air-con but not climate control, there’s keyless entry but not a proximity key or push button start.
The Active doesn’t get a power tailgate with a handsfree function like the Premium, or tinted rear glass, or a digital speedo, or a panoramic sunroof, or a power adjustable driver’s seat, or heated seats, all of which are standard on the Premium grade.
Yup, the Active may be as base grade as you can get but it still comes with paddles shifters, LED daytime running lights, an electric handbrake with auto hold function, front and rear parking sensors, cloth seats and 16-inch alloy wheels.
A list price nudging $36K may seem high, but don’t’ forget you’re paying more for the diesel engine. There’s good reason to spend the extra on the diesel, too – which I’ll explain below.
The i40 Active Tourer diesel undercuts the $39,040 Ford Mondeo Ambiente diesel wagon, while the Volkswagen Passat 140TDI wagon only comes in the mid-spec Highline grade for $49,990 (and is a bit ‘next level’ by comparison), while the Mazda6 wagon in Touring spec with diesel engine is $41,440.
Other rivals? Yes, the new Holden Commodore Sportwagon diesel is $38,890. So, compared to its rivals the i40 Active Tourer is a bit of a bargain.
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.
This is another area in which our test car impressed with its 1.7-litre four-cylinder turbo-diesel and seven-speed dual clutch auto transmission.
At 104kW, it may be less powerful than the petrol (121kW) but its 340Nm of torque gave it the shove to accelerate impressively from 1750rpm (idle is 800rpm).
The engine and dual-clutch combination performs beautifully; smooth even at low speed in traffic, and shifting down intuitively to make best use of engine braking.
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.
Hyundai will tell you the i40 Tourer diesel will get 5.1L/100km over a combination of open and urban roads. The trip computer in our test car said it was averaging 7.4L/100km. Still, that’s not bad mileage.
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.
A comfortable ride, impressive handling for the class, and a great engine and transmission mean the i40 Active Tourer diesel is engaging and enjoyable to drive.
The driving position is excellent, the seats are large but supportive, and the pedal feel is spot on. The i40 Tourer is way better to drive than it needs to be and would embarrass some cars from more prestigious brands.
It’s not all perfect: the cabin could be better insulated with wind noise obvious at 90km/h and tyre rumble intruding on course chip roads; visibility is hampered by those slanted A-pillars and the reversing camera image is next to useless thanks to the business card-sized screen in the Active.
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.
Hyundai’s website says the i40 Tourer scores the maximum five-star ANCAP rating. That’s true, but a bit sneaky because that ranking was given to the car back in 2013, and a lot has changed in terms of safety equipment in five years.
AEB, for example, is becoming common. So is rear cross traffic alert and blind spot warning, along with adaptive cruise control. You can’t get any of this advanced safety equipment on the current i40, not even the top-spec Premium.
Don’t get me wrong, the i40 is extremely safe with its suite of airbags, plus traction and stability controls - it’s just that the bar for safety has been raised higher.
The new i40 is expected to come armed with more up-to-date safety equipment.
If you’re fitting child seats you’ll find two ISOFIX mounts and three top tether anchor points across the rear row. It’s great to see a full-sized spare wheel under the boot floor, too.
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.
The i40 Tourer is covered by Hyundai’s five-year/unlimited-kilometre warranty. Servicing is recommended every 15,000km/12months at a capped price of $339. A servicing plan is also available for three years ($777), four years ($1136), and five years ($1395).