Lexus NX Goes Hybrid-Only in Japan as Petrol Sales Collapse
Lexus has dropped the petrol NX350 from its Japanese lineup, leaving the mid-size SUV as a hybrid and plug-in hybrid only, while new-car buyers eyeing a bargain luxury sedan are finding the seventh-generation ES undercuts the Camry.
Lexus NX Drops Petrol Engine in Japan
Lexus has removed the petrol-powered NX350 from its lineup in Japan, the company confirmed on its Japanese website. The mid-size luxury SUV is now offered there exclusively as the NX350h hybrid and NX450h+ plug-in hybrid (PHEV). The NX350 used a turbocharged 2.4-litre four-cylinder engine making 205kW and 430Nm, paired with all-wheel drive and an eight-speed automatic. Lexus Australia has been contacted for comment on whether the petrol NX will follow suit locally.
Petrol NX Sales Plummet in Australia
Petrol-powered NXs accounted for just over half of all NX sales in Australia in 2022 and 2023, but by 2024 that share had dropped to 22.1 per cent, and in 2025 it fell again to 16.8 per cent. The vast majority of NXs sold in Australia are now hybrids, though the plug-in NX450h+ has faced supply issues since launch. The entry-level NX250, with a naturally aspirated 2.5-litre engine, was axed in 2025. The shift mirrors the RX large SUV, where the petrol RX350 accounted for just 15.6 per cent of sales in 2025.
Petrol LS Limousine Discontinued in Japan
Lexus in Japan has also announced the discontinuation of the petrol-powered LS limousine. The move comes ahead of a planned update for the current-generation flagship sedan, which is expected to be its final one. The LS joins the LM and the UX small SUV in being offered only with hybrid powertrains in Australia, should the petrol options be dropped locally. The LM500h people mover pairs a hybrid version of the 2.4-litre turbo engine with an all-wheel-drive layout, but that powertrain remains in the RX in Australia.
Used Lexus ES Hybrid Undercuts New Camry
A 2021 Lexus ES has a Kelley Blue Book Fair Purchase Price between $27,400 and $33,700, depending on trim, putting it in the same territory as a new 2026 Camry, which starts at $29,600. CarGurus lists an average price of $31,940 for 2021 ES inventory, with 72.7 per cent of that stock accident-free. The seventh-generation ES (2019–2025) suffered accelerated depreciation typical of luxury vehicles, letting buyers get a premium cabin and Toyota's latest hybrid engineering for roughly the price of a mainstream sedan.
ES 300h Shares Toyota's Current Hybrid Engine
The ES 300h uses the 2.5-litre A25A-FXS inline-four, the same engine that powers almost every modern Toyota hybrid, from the RAV4 to the newest Camry. Introduced in 2017, it remains one of the most reliable hybrid engines on the market. The ES 300h achieves 44 mpg combined, compared with 51 mpg for the base 2026 Camry, but it beats the Camry AWD XSE's 43 mpg. The hybrid ES is front-wheel drive only; the ES 250 AWD, introduced for 2021, uses a non-hybrid 2.5-litre engine.
ES Cabin Refinement vs Camry Tech
The 2021 Lexus ES in Luxury and Ultra Luxury trims comes with semi-aniline leather upholstery, while the top Camry XLE and XSE only offer standard leather. The ES also has 10- and 14-way power seats with thigh extensions, versus eight-way adjustment in the Camry. Double-pane acoustic glass, extra firewall insulation, and a more compliant suspension give the ES a quieter, smoother ride. The trade-off is technology: the 2021 ES uses the polarizing Remote Touch trackpad infotainment system, while the 2026 Camry gets a modern 12.3-inch touchscreen.
ES Hybrid vs Camry: The Real Trade-Offs
Choosing a used ES 300h over a new Camry means accepting a few compromises. The Camry is lighter and more fuel-efficient in base form, and a new car comes with a zero-mile warranty and a more up-to-date infotainment system. Replacement parts for a mass-market Camry will also cost less over time. But the ES Hybrid offers a more isolated, refined driving experience, wider and more supportive seats, and the same legendary reliability. For buyers who prioritize cabin comfort and smoothness over the latest tech, the ES is the smarter value.