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Lexus has big expectations for small NX crossover

One has to wonder why it took so long for Lexus to enter the hotly contested compact premium crossover market. The brand itself projects some 36,000 sales for its brand-new NX, which is set to go on sale in the US in November. Add that potential to the 100,000-plus RX crossovers it sells annually in the States and Lexus looks poised to put some hurt on German rivals like Audi, BMW and Mercedes.
The vast majority of Lexus NX models imported to the States will be powered by a new 2.0-liter turbocharged four-cylinder engine that pumps 235 horsepower and 258 pound-feet of torque to either the front or all four wheels. Just 10 percent or so of NX models will get the 194-horsepower hybrid powertrain wrapped in NX 300h trim. Though not yet rated by the EPA, Lexus projects mileage ratings of 22 city, 28 highway and 24 combined for the turbo and 35/31/33 for front-wheel-drive hybrids (expect a one-mpg combined hit for AWD models with either engine).
In terms of sizing, the Lexus NX is dimensionally very similar to the Audi Q5, which starts at $37,300. Lexus hasn't yet released pricing information for its NX, but promises to be in the same range as its competitors. We note with interest that the larger Lexus RX starts at $40,795 - a little over $3,000 more than the Audi its NX will compete against - and wonder out loud if the Japanese automaker can undercut its German competitors in pricing with the NX. Expect official pricing info from Lexus closer to its on-sale date later this year.

Lexus in no hurry to be a big player in China

For a while now, China's spiraling wealth, population and development has had the world's luxury automakers in an expansionist fervor, with many executives exhibiting the sort of gleefully maniacal behavior historically reserved for gold-rush prospectors. Yet Toyota, of all companies, is exercising a surprising amount of caution in the Asian nation.
As The Wall Street Journal notes, Toyota's premium brand, Lexus, sold all of 64,000 vehicles in China last year, while BMW cleared its books of 326,000. In fact, it didn't even bother entering the market until 2005, while rival Audi built its first car in the market a decade and a half earlier. Even now, Lexus doesn't build any vehicles in China, and with the country's notoriously high tariffs on imports, that's a major disadvantage. Yet the business daily quotes Lexus executive vice president Mark Templin as saying that the brand is nowhere near ready to start building cars in the market. "We're not having those discussions about when we're going to go to China... We have a lot of work to do before we get to that point."
Part of that work includes establishing a more expansive dealer network - Lexus only had 99 stores as of 2012, while rival Mercedes-Benz had over two-and-a-half times as many, and it's still expanding. Adding a lot of dealers without having a goodly number of competitively priced offerings for them to sell may seem like an odd strategy, but Templin tells the WSJ that the goal is to "cultivate our image for quality and customer service and let the customers that we have go tell that story for us."

Toyota and Lexus recall models for inadvertent airbag deployment

The Basics: Toyota will recall 320,000 examples in the US of the 2003-2006 Land Cruiser, 2004-2006 4Runner, 2005-2006 Tundra and Sequoia, 2003-2006 Lexus LX470, and 2004-2006 GX470. The Problem: The curtain shield airbags that come down from the roof can inadvertently deploy shortly after vehicle startup. This is due to improper programming of the airbag control module. Injuries/Deaths: "Toyota is not aware of any crashes caused by the condition. We have received reports alleging injuries such as abrasions and ringing in ears," company spokesperson Cindy Knight told Autoblog. The Fix: Toyota and Lexus dealers will replace the airbag control module with a new part, which will have improved programming. If You Own One: Toyota and Lexus will notify affected owners by mail early this month. Related Video: Toyota and Lexus Recall Certain Land Cruiser, 4Runner, Tundra, Sequoia, LX, and GX Vehicles February 02, 2016 TORRANCE, Calif., February 2, 2016 – Toyota Motor Sales, U.S.A., Inc. today announced that it is conducting a safety recall of approximately 320,000 Model Year 2003-2006 Land Cruiser; 2004-2006 4Runner; 2005-2006 Tundra and Sequoia; 2003-2006 LX 470; and 2004-2006 GX 470 vehicles. The involved vehicles are equipped with side Curtain-Shield-Airbags (CSAs) which deploy from the roof in the event of certain types of crashes. Due to improper programming in the airbag control modules, there is a possibility that, under certain specific and limited conditions shortly after startup, the CSAs and seat belt pretensioners could activate when not necessary. Unexpected activation of the CSAs could increase the risk of injury to the occupant. All known owners of the involved vehicles will be notified by first class mail. Toyota and Lexus dealers will replace the airbag control module with one which has an improved programming at no cost to owners. Information about automotive recalls, including but not limited to the list of involved vehicles, is subject to change over time. For the most up-to-date Safety Recall information on Lexus, Toyota and Scion customers should check their vehicle's status by visiting http://www.toyota.com/recall and entering the Vehicle Identification Number (VIN). Safety Recall inquiry by individual VIN is also available at the NHTSA site: safercar.gov/vin. For any additional questions, customer support is also available by calling Toyota Customer Service at 1-800-331-4331 or Lexus Customer Service at 1-800-255-3987.