Toyota announces Lexus entry in India in 2013

Thursday 01 December 2011, 10:35 AM by

Swayed away by the rising demand for luxury cars in India, Japanese car maker Toyota Motor Corp. is geared up to unveil the Lexus brand in the country, said two company officials.

Shekar Viswanathan, Deputy Managing Director, commercial, at Toyota Kirloskar Motor India Pvt. Ltd, said, “We want the Lexus brand to come to India, but I cannot give you any time frame.”

Toyota Motors has announced that it will be launching its premium brand, Lexus in India by 2013.

Toyota announces Lexus entry in India in 2013 | CarTrade.com
New Toyota Lexus

The Lexus range that comprises luxury sedans and sport utility vehicles (SUVs) would surely experience a bandwagon in India, and moreover, it will have its own dealerships.

An official confirmed, “We will be following the global practice as far as dealerships are concerned, The company does not want to dilute the brand quotient.”

The fully built-up Lexus models will land on the Indian soil, however which models are to be revealed in the country, seems to be unclear.

At the global level, the brand competes with the leaders Mercedes, Audi AG and Bayerische Motoren Werke AG (BMW).

Lexus which came into being in 1989 in Japan, in no time, surfaced as America’s best-selling brand and ruled the luxury segment with much aplomb.

It is important to note that though the Indian luxury car market accounts for less than 1% in the automobile industry, an upward trend in the purchasing power of people allowed the segment to swell 70% in 2010. In 2011, almost every luxury car maker has been able to overcome the slowdown that has engulfed the rest of the industry and moreover, outpaced the previous year’s performance.

Approximately 15,000 luxury cars were sold-off in India during 2010, and 20,000 units is the expected sales figure at the end of this year.

If BMW India President Andreas Schaaf is to be believed, the luxury car market of India is likely to escalate 10 times to touch 150,000 units figure by 2020.

Abdul Majeed, auto practice leader, PricewaterhouseCoopers, said, “They will have to look at it from a long-term perspective. The sales numbers in the first year of operations may not be good, but this segment will continue to grow in future. They can’t ignore the market. It is better to come to India as soon as possible and start building the brand.”

Thus, seeing the current trend in the market, big brands like Toyota are expected to focus immensely on the luxury car segment as it vows to bring unprecedented success for the car makers, through its infinite following.