Lexus IS vs Mercedes-Benz E-Class
What's the difference?

Lexus IS

$39,990 - $62,990

2021 price

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Mercedes-Benz E-Class

$86,800 - $199,335

2025 price

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Maserati Quattroporte

Mazda 2

Mazda 6

Mercedes-Benz A-Class

Mercedes-Benz A35

Mercedes-Benz AMG GT

Mercedes-Benz C-Class

Mercedes-Benz C43

Mercedes-Benz C63

Mercedes-Benz CLA

Mercedes-Benz CLA-Class

Mercedes-Benz CLS-Class

Mercedes-Benz E-Class

Mercedes-Benz E53

Mercedes-Benz EQS

Mercedes-Benz GLC-Class

Mercedes-Benz S-Class

Summary

2021 Lexus IS

2025 Mercedes-Benz E-Class

By Tom White

By James Cleary

Safety Rating

Engine Type

Inline 4, 2.5L

Turbo 6, 3.0L

Fuel Type

Premium Unleaded/Electric

Fuel Efficiency

4.9L/100km (combined)

1.7L/100km (combined)

Energy consumption

—

Electric range

100 km

Battery capacity

28.60 kWh

Seating

Likes

Sleek and efficient hybrid drive
Graceful ride
Spec improvements

Looks
Performance
Safety

Dislikes

Slow
Busy interior design
Fiddly and over-complicated software

No spare tyre
Steep service pricing
Modest boot

2021 Lexus IS Summary

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.

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2025 Mercedes-Benz E-Class Summary

You like performance, love a bit of luxury and fancy a traditional sedan. The budget is healthy and there’s a surprising amount of choice. But Mercedes-AMG believes it’s created the car that perfectly answers your new-car brief.

The Mercedes-AMG E53 Hybrid 4Matic+ is a fresh expression of an established high-performance sedan formula mixing internal-combustion power with electric punch and all-wheel drive.

We were invited to its local launch, so stay with us to see if this newcomer is ready to fill that primo European performance car shaped space in your garage.

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Deep dive comparison

2021 Lexus IS 2025 Mercedes-Benz E-Class

Verdict

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.

Verdict

The Mercedes-AMG E53 Hybrid 4Matic+ is a superb blend of high-tech hybrid muscle and cossetting top-end luxury. Value is competitive, it looks (and feels) the business, despite the conventional sedan configuration it’s surprisingly practical (except for the modest boot), fuel-efficiency is a key benefit and safety is stellar. The ownership proposition is okay for the category but that’s not top of mind when an enticing series of corners ranges into view. It’s an impressive package.

Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.

Lexus IS vs Mercedes-Benz E-Class What's the difference?

Summary

Deep dive comparison

Verdict

Verdict

Lexus IS vs Mercedes-Benz E-Class
What's the difference?