Mercedes-Benz E300 vs Lexus LS500

What's the difference?

The E-Class is stacked with kit, looks great, and is an effective and comfortable way to get around in built-up areas or across the countryside.

While it’s not the most dynamically engaging - it’s pipped by its Bavarian rival there - it offers more comfort-oriented features than most, and the cabin is a pleasant place to spend a day driving.

If you're disposed towards stumping up the asking price, the extra outlay for the 'Plus Package' will probably be most relevant to you if you’re covering long distances due to the Airmatic suspension.

Otherwise, even a simple-spec E300 provides a step up from what you might expect from an executive sedan.

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

The LS500 is the least logical version of the most logical option in the ultimate luxury sedan segment in which logic doesn’t often apply at all. 

Take from that what you will, but if it was me being driven around I would definitely be opting for the hybrid version of the LS instead for its smooth electrified driving characteristics and lower operating costs.

Evolution rather than revolution is obvious when it comes to the E-Class’ styling, but that’s in Mercedes’ best interests, because it’s still a good-looking thing, and being a bit subtle is warranted in the executive sedan game.

The biggest changes come in the headlights and tail-lights. Up-front there are now more than one million pixels in the LED headlights, which have adaptive high beam as standard and are more connected to the grille via black trim, as has been seen in EQ electric models.

Underneath, the bumper now features an AMG-style 'A-wing' apron as part of the 'AMG Line' exterior package as standard. A set of 20-inch AMG alloys are also included.

To the rear, and the digital tail-lights feature a Mercedes-Benz star motif, making its lighting signature now more recognisable from behind.

The German Rainbow is well-represented with mostly shades of grey, black, or white available, though 'Verde Silver Metallic' is a slightly retro green, and 'Nautic Blue Metallic' is a subtle and classy tone.

The daring ‘Manufaktur’ shade of 'Patagonia Red Metallic' is a $2500 option, as is 'Opalite White Bright' while 'Alpine Grey Solid' is $2900.

The distinctive but conservative style of Lexus is on full show across the LS’s massive frame. Like other cars in its class, it’s very much the image of the brand itself with styling points strong, but to me not as impressive as the LC500, which is a definitive expression of the brand.

The LS also has many styling points of the previous-generation Lexus design language which are in the process of being phased out.

The car was only updated last year, bringing with it a more recent interpretation of the brand’s big spindle grille, pointy headlight profile, and angular but traditional rear.

The LS - even in this Sports Luxury guise - does look quite menacing from certain angles. The width and stance of this car is accentuated by its curvaceous rear guards and big square front bumper, with the elegance of a classic three-box sedan maintained in a side profile.

The chrome wheel finish is a bit much for my taste, but there’s no doubt they’re real show pieces. They’d better be, too, because I hear they are incredibly expensive should you need to replace one.

The inside has highs and lows but it’s the place where you can most tell the LS has been on sale for a while.

I love the plush seats, big screen, integrated analogue clock and three-dimensional door card design, which sell the flagship luxury feel.

But this car’s age is on show with its clunky and much maligned 'Remote Touch' pad controller (which Lexus is at long last phasing out in its new cars), last-generation software suite, and its small, crowded instrument cluster.

There are a whopping nine interior trim combinations to choose from and ours has the most recently added black leather and ‘Nishijin Haku’ themed highlights which are meant to be inspired by the way "moonlight sits on an open sea".

The feel is a bit '90s, a rough textured fabric with a silver detailing and elements clad in a thin platinum foil, making you feel like you’re in a classic high-class Japanese taxi.

But I’ll admit it plays well with the ambient lighting effect in the doors, and is a unique selling point compared to the standard leather finish.

Inside, the E-Class should feel familiar to anyone who’s spent time in a recent Benz, though the Superscreen might be the main point of difference. It’s an immediately comfortable place, though, with a relatively visually busy cabin.

The seats and their adjustability mean most drivers and passengers, regardless of height and size, should feel supported (and ideally relaxed), while touch-points are mostly either leather upholstery or digital screens.

The steering wheel, also seen in plenty of other Mercedes models, is a bit of a let-down, however, with its haptic touch pads on a slightly busy two-tier layout. This millennial found it irritating, surely too will the usually older E-Class buyer.

There are a few other small annoyances, one being that the MBUX Assistant sometimes won’t hear a command, or that not everything seems to be able to be controlled by it. The climate control vent positions are electrically adjustable to certain pre-sets through the menu, but the MBUX Assistant isn’t able to do this for you.

And while the driver display and central multimedia screen are fairly user-friendly, it’s not always immediately apparent what the quickest way to find some information or a setting is.

Our test car was fitted with the 'Plus Package', which means four-zone climate control available to the rear seats, which my 180cm-tall self found spacious with plenty of headroom, kneeroom, and even a fair bit of room under the driver’s seat.

Behind the rear seats, there’s a generous 540 litres of boot space, exactly the same capacity as the previous generation E-Class.

For passengers, as you’d expect, the LS is stellar. The massive outboard rear seats offer plenty of room, and are complete with reclining, message, and cooling functions.

Adjustable vents feature, with quad-zone climate, and the screens come with individual headphone jacks and HDMI-in so you can bring with you all sorts of entertainment options for those longer journeys.

Other suitable additions worth noting include the wine cooler (although it’s a bit small for anything other than minibar-sized beverages, hardly the 007 trope of rolling out a full-size bottle of Bollinger), flip-down mirror with a light in the roof, and the touch panel controls in the armrest. I also appreciate the built-in sunshades. Nice touch.

Less impressive is the general vibe of the middle seat. With a large raised centre split in the floor and such wide and lavish outboard seats, the middle seat feels a bit forgotten.

Up front, the practicality offering includes a high level of adjustability for the seats to suit a wide range of driving positions, electrical adjust even for the steering column, and a nice wide seat which you simply sink into.

Of course, soft finishes adorn even unseen parts of the cabin so you’ll never touch a nasty hard plastic, and there are large storage areas in both the doors and centre console box.

This big armrest console also hides the USB connectivity within, and there’s a set of big cup holders with a flip-away lid if you want the wood grain design uninterrupted when they are not in use.

I have to mention the useless touchpad controller here, but hand the brand props for offering a collection of climate shortcut buttons on the dash, an actual volume knob, and truth be told you don’t need the touchpad anyway because the screen is touch. Just be ready for the matching last-generation software, which isn’t the best to use or navigate.

The boot has a volume of 440 litres which sounds plentiful, but the actual use of it is a reminder of one of the reasons SUVs are so popular.

Yes, it’s big and reasonably deep, but putting the largest CarsGuide case in there proved a bit clumsy as you have to lift it over the tall rear bumper and it only just clears the top of the relatively small opening.

I love sedans, but this is one area where you can see the benefit of a hatch opening, particularly if you were frequently doing the airport run.

The Lexus LS is it, the flagship sedan in the Japanese premium outfit’s line-up. It’s available in two trim levels, either the borderline aggressive F-Sport or plush Sports Luxury.

It’s also available with two drivetrain choices, with no price difference between them. The F-Sport starts from $195,953, before on-roads, while the one we’re testing here, the Sport Luxury starts from $201,078.

This pricing is below par for big luxury sedans designed to be ridden in rather than driven, making it a relatively good-value proposition straight out of the gate.

The entry-level Mercedes-Benz S-Class (the S450) starts from $243,890, the single version of the BMW 7 Series (740i M Sport) starts from $268,900, leaving only the Audi A8 (50TDI) even close when it comes to pricing, which starts from $202,700. We don’t get its Korean rival, the Genesis G90 in Australia yet.

‘Value’ or not, the LS has its work cut out for it, as this particular corner of the executive transport marketplace is probably more about badge cred than it is logic, and the 500 Sports Luxury is at a further disadvantage, as it doesn’t offer the Lexus unique selling point, a silky smooth hybrid system.

Ask yourself, when it comes down to it, if money was no object would you rather have a Grand Seiko or a Rolex?

Again, logic doesn’t apply, but the Lexus does offer pretty much everything buyers in this class should be after.

Inclusions on every LS are 20-inch alloy wheels, adaptive LED headlights, 12.3-inch multimedia touchscreen with Apple CarPlay, Android Auto, and built-in navigation, a 23-speaker Mark Levinson branded audio system, climate control with interesting ‘infra-red body temperature sensors’, heated and cooled front seats with 28-way power adjust, a heated steering wheel, full four-door keyless entry with push-button start, ambient interior lighting, a panoramic view camera, electric motion-sensing boot, radar cruise, and connected services.

Just to remind you this Sport Luxury grade is the one to be driven in, not drive yourself, unlike the F-Sport alternative it scores dual 11.6-inch rear seat entertainment touch panels with HDMI input, full quad-zone climate, power reclining for the rear outboard seats with message functions, a drop-down armrest console with a climate control panel, electric sunshades for the rear three windows, a cooler box, seat ventilation, and two additional airbags for the rear seats. Proper plush. Wish it came with a driver, too.

Things you miss out on for picking this one? Not much, the F-Sport scores a more aggressive dash, an 'LFA-Style' cluster, bolstered front seats, sport steering wheel, variable gear ratio steering with rear steering, high performance brakes, and active stabilisers.

This lone E-Class variant is powered by a turbocharged 2.0-litre engine pumping out 190kW and 400Nm, assisted by a 48-volt battery system. Under EQ boost, an extra 17kW and 205Nm is available for a short time.

It’s hooked up to a nine-speed auto that drives the rear wheels, and it’s all pretty traditional… for 2024, that is.

Mercedes says the E300 is able to hit 100km/h in a respectable 6.3 seconds.

The LS500 packs a 3.4-litre twin-turbocharged V6 petrol engine with impressive peak outputs of 310kW/600Nm.

This engine is designed to replace a V8 in terms of its power and feel, and in a lot of ways it does.

It might surprise you to learn the only other place you’ll see this engine used in Australia is the Toyota LandCruiser 300 Series.

The alternative present in the LS500h is a hybrid version of the same engine, sans the turbos.

With its electric assistance, power outputs are lower than this turbo version, but get close with a combined total of 264kW.

While I like the walloping nature of the turbocharged V6 we drove, I think the hybrid is a no-brainer choice for reasons explained in the driving segment.

Mercedes claims the E-Class drinks 7.2L/100km on the combined cycle, and though we weren’t able to test that properly at the pump on the launch program, the trip computer showed up to 9.4L/100km after some quite spirited driving, which gradually averaged out to about 8.6L/100km in the afternoon once some more calm, E-Class-appropriate distance had been covered.

With its 50L fuel tank, the E-Class should theoretically be able to cover 694km on a single tank if the 7.2L/100km is achieved, though realistically it would be much less, 550-600km depending on driving style.

Given the angry sounds emanating from under the bonnet of this LS every time I put my foot on the accelerator, I was surprised to find overall fuel consumption for the week was surprisingly good.

I used the LS to drive mostly around town, and yet it beat its own urban claim of 14.2L/100km, settling at 12.9L.100km, closer to the combined fuel figure of 10L/100km.

The hybrid is said to nearly halve this consumption, and I’m inclined to believe it based on previous experience with Toyota/Lexus hybrid systems. 

The LS500 requires at least 95RON unleaded fuel and has an 82-litre fuel tank. That means you're looking at a range of around 635km, using our real-world figure.

While the E-Class has taken fairly sizeable steps in terms of its tech, it remains a fairly traditional car from behind the wheel, save for a few small changes like its mild-hybrid system and rear-wheel steering.

It’s still a petrol-powered rear-drive sedan, and it feels built more for eating up highway kilometres than it does tackling twisty turns. But that’s okay, because it will still do the latter.

Comfort is the main focus, clearly, for the E300, and the big Merc does it well. We weren’t offered a car without Airmatic air suspension on the launch, but the E-Class doesn’t seem like it would be particularly rough without it.

With it, however, large bumps and minor road annoyances only make their way into the cabin in the sense that you’re aware of them, but not bothered by them.

That slight dulling of feedback does extend to the steering wheel however, where, despite the rear-wheel steering making the car more nimble, the feedback to the driver is less encouraging of eager driving. 

While 190kW on paper doesn’t seem like enough, the E-Class makes do with its meagre engine quite well - and even though it can seem like it’s working a bit too hard at times, the E-Class’ natural state isn’t responding to a planted foot, so it’s unlikely to be a daily bother.

Engine noise, as well as wind and road noise are suitably dulled by the E300’s NVH fitout, too.

The tuning of its drive modes, in particular Comfort and Sport, seemed well-judged on our drive loop, with the option to set the 'Individual' mode to a custom configuration, most elements in Comfort while the drivetrain is set to Sport is particularly helpful when on gentle, high-speed country roads.

If you do start to approach the limits of the big sedan’s capability, it’ll let you know fairly early on. The heavy E-Class isn’t prone to sudden lurching or poor handling, and isn’t much phased by mid-corner bumps.

It’s not as dynamically engaging as some rivals, particularly the 5 Series, but it does appear to be a better provider of cross-country comfort.

For a seemingly very sophisticated car, there’s something decidedly unsophisticated about the way the LS500 feels from behind the wheel.

Immediately, it feels nowhere near as cutting edge or even as special as something like the LC500, which to me becomes the truest expression of everything Lexus.

No, the LS500 in this turbo V6 guise feels a little bit too old-fashioned. It’s quiet and under acceleration feels like a V8 of just a few years ago, but the Aisin-sourced traditional torque converter automatic transmission is, dare I say, ordinary, lacking the finesse of its German rivals. It’s a problem which is easily solved. Pick the hybrid.

Elsewhere the experience is decidedly Lexus. If you’ve driven even an IS the experience is very familiar in the LS. The touchpoints all match, the steering is light and smooth with a healthy serve of electrical assistance, and, for the most part, the ride is as floaty and comfortable as you’d expect.

I say ‘for the most part’ because there are limits to what the LS’s adjustable-height air suspension will filter out on the enormous 20-inch wheels, complete with run-flat tyres.

Small bumps and potholes are dispatched with ease. Anything too large which passes a certain thud-factor will definitely be communicated to the cabin, though, making for a strange all-or-nothing ride quality.

It is impeccably silent inside, though. The engine is distant, even under load, and tyre noise is virtually non-existent thanks to specially designed alloy wheels with hollow chambers designed to minimise this effect. Now that’s more like what I expect from a Lexus.

It handles very well for such a big unit, making it at least decent to drive for the few buyers who will actually take the helm themselves.

This is no land yacht, it’s a surprisingly agile and adept machine when faced with a bit of blacktop. And it's here where the turbocharged V6 comes into its own compared to the hybrid, offering superior driver engagement.

This Sports Luxury version of the LS500 has everything and then some. The usual key highlights are included: high-speed radar based auto emergency braking with pedestrian and cyclist detection as well as intersection assist and fully adaptive cruise control, lane keep assist with lane departure warning, blind spot monitoring with rear cross traffic alert, rear auto braking, traffic sign assist, adaptive headlights, and a panoramic parking camera.

Specific to the Sports Luxury is two additional rear airbags for a total of 12. Despite this thorough suite of equipment, the LS has not been tested by ANCAP.

The E-Class comes with Mercedes’ fairly industry standard five-year, unlimited kilometre warranty, though Mercedes-Benz Australia was unable to confirm exact servicing pricing on the launch. 

It does however list pricing for the E-Class on its website for a three-service pack at $3325, four at $4535, and five at $6800, the latter averaging out to $1360 each.

This could increase with the new generation car, and Mercedes doesn’t list estimated serving pricing for new E-Classes yet in its booking system (I checked with one of the test cars).

Servicing intervals are every 12 months or 25,000km, whichever comes first.

Lexus offers a five-year and unlimited kilometre warranty, and LX buyers get three years of complimentary membership to the brand’s ‘Encore Platinum’ owner experience, which includes three years of capped price servicing, free loan cars at the time of service, invites to events, discounts on fuel at Ampol outlets, and four uses of ‘Lexus On Demand’ which lets owners swap into another Lexus model for up to eight days at a time, as well as eight free uses of valet parking at certain locations.

Servicing on the LS occurs once every 12 months or 15,000km and is fixed for the first three years at $595. Very cheap for the space it plays in.