The new generation Lexus ES has arrived in Australia with electric power for the first time in the model's history, alongside a refreshed hybrid. Four variants are confirmed: ES300h Luxury from $75,000, ES300h Luxury with the Enhancement Pack from $82,000, ES350e Sports Luxury from $77,000, and ES500e Sports Luxury from $84,000, all before on road costs.
The price gap that matters
The standout number is the gap between the ES300h Luxury hybrid and the ES350e electric model: just $2,000. For that, buyers get a battery electric sedan with a 74.7kWh battery and a WLTP rated range of 510km from the front drive ES350e. The flagship ES500e adds a second motor for all wheel drive and a combined 252kW, against 165kW from the ES350e's single motor. The ES300h hybrid, arriving later in the year, uses a 2.5 litre engine paired with an electric motor for a combined 144kW.
Cartell Assessment
When the electric version of a car costs almost the same as the hybrid, that is the strongest argument for going electric that a price list can make. Lexus has effectively removed the price penalty as an excuse, at least at the entry point of the ES range. The ES500e's power step to 252kW gives it a genuine performance case too, not just a range or efficiency one.
AU Outlook
Expect this price parity to put pressure on rival luxury sedans that still charge a premium for electric power. If Lexus can hold this pricing structure through the ES300h's local launch later in the year, buyers cross shopping a mid size luxury sedan will have very little financial reason to default to the hybrid.
