Why was the Lexus GS discontinued?
2 Answers
Due to high costs leading to an excessively high selling price, this model experienced dismal sales. Below is relevant information: 1. Both the Lexus GS and ES are mid-to-large-sized sedans with very similar body dimensions. However, their positioning and tuning orientations have relatively distinct differences. The most fundamental distinction lies in the fact that the ES features a front-engine, front-wheel-drive layout, leaning towards family/commercial use, while the GS has a front-engine, rear-wheel-drive setup, endowing it with stronger sportiness. 2. From a sales perspective, the Lexus GS sold only 1,228 units from January to August this year. In contrast, the ES accumulated sales of 36,120 units, accounting for 44.5% of Lexus' sales in China. Lexus has already planned to cease development of the next-generation GS model.
The discontinuation of the Lexus GS is quite interesting. As someone in the automotive industry, I've analyzed this internally: the mid-size luxury sedan market has shrunk drastically in recent years. Competitors like the Mercedes-Benz E-Class and BMW 5 Series are too strong, and the GS's sales have never taken off. Lexus also has its own issues—the ES is cheaper and offers more space, effectively cannibalizing the GS's market. Plus, younger buyers nowadays prefer SUVs, making life even harder for sedans. I heard Toyota did the math—the GS's R&D costs were too high, and its production line consumed too many resources, so axing it made the most financial sense. However, rear-wheel-drive platform enthusiasts must be pretty disappointed, as the GS's handling was truly unique in the Lexus lineup.
