Lexus confirms plans for baby IS

By Ben Pulman

Motor Industry

22 October 2008 14:15

Lexus has officially confirmed it will build a BMW 1-series rival. Speaking to the German media, European company MD Tadashi Arashima told reporters: 'We will offer a Lexus in the compact class'. He explained that Lexus needed 'smaller and more efficient vehicles' in the face of European CO2 regulations.

Arashima refused to speculate on a possible launch date, but the on-again-off-again baby IS won’t see the light of day until the next decade. Expect rear-wheel drive and L-Finesse looks.

In his interview, Arashima likened the car to BMW's 1-series and Audi’s A3, but its new model isn’t the only small Lexus on the way. To separate itself from rivals, Lexus wants to offer more hybrid models – the company intends to launch a baby hybrid, first into the US, then Europe.

Sharing its modular architecture with the new Toyota Prius, the Lexus version will feature a larger engine, possibly as big as a 2.5-litre unit. Expect the five-door hybrid hatch in late 2009, with a design that resembles Toyota's Hybrid X concept (pictured above right).

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By Ben Pulman