Toyota has clarified that the introduction of its luxury brand Lexus in the Indian market is not going to take place for at least two more years.
As per reports, Toyota Kirloskar Motor recently declared that there would not be any novel product introductions coming from them by the next 3 years period.
The car manufacturer will focus on augmenting the Toyota Etios twins.
Earlier, the company has declared that they are making plans to introduce the Lexus brand in the domestic market with the aim to challenge recognized German brands comprising Audi, BMW, as well as Mercedes.
But, because of increase in customs duty of luxury vehicles in the past year’s financial plan and an appreciating Indian currency, the company has reviewed its approach.
Mr. Sandeep Singh, deputy managing director for marketing stated, “We were eager to roll out Lexus brand and also made a declaration. However, we have now put the verdict on hold considering higher duty and Indian currency instability.”
“Because, like other makers, we cannot set up Lexus vehicles here, as the quality criteria are very severe. I don’t see Lexus brand getting introduced here at least by the next two years,” Mr. Sandeep Singh.
Launching Lexus cars as CBUs will turn them very costly as compared to other luxury vehicle brands who are pushing their entry level cost point constantly southwards.