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Toyota offered $146.5 million to build Lexus ES in Kentucky

Toyota posted a media advisory yesterday saying that Akio Toyoda, president of Toyota, and Jim Lentz, CEO of Toyota North America, would be making a production announcement tomorrow in New York City, and Automotive News reports that the automaker will be announcing a plan to domestically produce the Lexus ES. According to the report, numerous plants are competing to build the ES in North America, and the State of Kentucky has offered the automaker up to $146.5 million to build the luxury sedan at the Georgetown, KY assembly plant.
If Georgetown gets the ES, which has been built in Japan since its debut in 1989, it would be built alongside the Toyota Camry, which is somewhat ironic since in our review of the 2013 Lexus ES350, we wrote that this ES finally says "goodbye to its Camry roots." In order to get the whole amount offered, the article states that Toyota would have to invest $531.2 million and hire 570 full-time workers at the plant, which doesn't sound all that unreasonable since the plant would require an additional 50,000 units of annual production, not to mention the fact that the Georgetown facility is already at its capacity for building the Camry.

Lexus GX and LX future may be in doubt

With the debut of an all-new RX, Lexus is in a position for continued strong sales in the luxury SUV arena. The fourth-generation RX has grown, making room for the new NX model beneath it. But further up the ladder, things could change for the GX and LX. In an interview with Autoblog at the 2015 New York Auto Show, Lexus executive vice president Mark Templin gave some hints at the future of his brand's SUV lineup. "With NX and RX, we have a really good one-two punch in the crossover segments, and we think we can cover most of the markets with that," he said. As for the larger, three-row GX and LX models, which are built on a traditional ladder-frame chassis, things aren't so clear. Templin noted the the success of both models all over the world – the LX is the best-selling Lexus in Saudi Arabia. The same is true for sales here, he said: "We do very well with those products in the United States – GX has been a great product for us in the US for the last couple of years since its initial introduction. But the future of those vehicles longer term is in doubt because of regulations that are being driven by governments all over the world." Don't start stockpiling LX 570s in anticipation of shortages just yet. Templin didn't give any specifics; he just notes that tightening fuel economy and emissions regulations could affect product planning. In our analysis, if and when GX rides off into the sunset, Lexus still needs a midsize, three-row SUV to fill that gap. The most likely candidate for that is some variation on the RX. Whether or not that's the case, don't expect a BMW-like proliferation of body styles from Toyota's luxury division. "It creates problems. It creates complexity, that's hard for every step of the process," Templin said, nothing that too many models stresses the design department, manufacturing, and even dealers inventory selection. As for the bottom end of the lineup, Templin wouldn't comment on a compact SUV below the NX, saying "I think there are more potential options for us in the future, but we're not trying to grow the number of models we have in our lineup. It's not really what our core business is about." For now, Lexus and Templin are focused on launching the RX, which accounts for three of every 10 Lexus models ever sold. The 2016 model, available in RX 350 and RX 450h hybrid versions, goes on sale by the end of the year. Related Video:

Lexus takes to Pikes Peak in RC F GT Concept

Lexus is gearing up to take on Pikes Peak with the RC F GT Concept you see here, developing the new racing prototype for the venerable hillclimb event. Different from the more extreme GT3 and GT500 racing concepts we've seen to date, the new GT concept is more closely based the road-going RC F. Only it's leaner and meaner and ready to take on the grueling 12.4-mile race to the clouds and all its 156 turns. The RC F GT packs the same 5.0-liter V8 and eight-speed automatic transmission as the production model. The major difference is that it weighs some 800 pounds less, thanks largely to the widespread use of carbon fiber body panels and polycarbonate windows. It also incorporates a more aggressive aero kit and rolling stock, and allows the technicians to tune the engine for competition applications. To tackle the Peak, Lexus is handing the keys over to none other than Justin Bell, the former GT2 class winner of the 24 Hours of Le Mans and the FIA GT Championship. He'll be fielding the RC F GT in the Time Attack class for production-based vehicles, while providing Lexus engineers with valuable performance data and the chance to develop components for future applications. Two years ago, the IS F CCS-R prototype competed in the same event, and served as a test bed to develop the powertrain that went into the RC F that followed. Related Video: LEXUS TO COMPETE IN 2015 PIKES PEAK INTERNATIONAL HILL CLIMB WITH ALL-NEW RC F GT CONCEPT - V8 Powered, Production Car-based Coupe to be Driven by Justin Bell - RC F GT Program to Serve as Key Developmental Tool for F brand Engineering June 22, 2015 TORRANCE, Calif. (June 22, 2015) – On June 28th, Lexus will compete in the Time Attack class of the Pikes Peak International Hill Climb. The luxury automaker will be campaigning the all-new RC F GT Concept, a vehicle that builds upon the legacy of the IS F CCS-R vehicles that last competed at Pikes Peak in 2013. This historic event, now in its 93rd running, is a race against the clock that tests man and machine with the changing elements, altitude, and a treacherous 12.42 mile, 156 turn course that winds up the peak from 9,390 feet up to the 14,115 foot summit. The new Lexus will be piloted up the mountain by British driving ace, 24 Hours of Le Mans winner, and automotive media personality Justin Bell. "With very little time behind the wheel, the RC F GT Concept has already proven fast and easy to drive, very much like the production models, actually.