Lexus India’s Bold Move: All Sales Will Be SUVs by 2024

In recent years, the automotive industry has witnessed a significant shift in consumer preferences, with a growing inclination towards Sports Utility Vehicles (SUVs). This trend is not only prevalent in the global market but is also taking India by storm. According to the President of Lexus India, SUVs are set to account for a substantial 50% of the brand’s sales by the end of 2024. In this article, we will delve into the reasons behind this surge in SUV demand, Lexus India’s strategies, and what it means for the Indian automotive landscape.

The Rising Popularity of SUVs

A Global Phenomenon

SUVs have become a global phenomenon, with their popularity soaring across various continents. Their appeal lies in their versatility – offering ample space, a commanding driving position, and a blend of power and style.

Indian Consumer Preferences

In India, the affinity towards SUVs can be attributed to several factors. Firstly, the perception of safety associated with SUVs due to their robust build and higher seating position appeals to Indian consumers. Additionally, the Indian road conditions, often characterized by potholes and rough terrains, make SUVs a practical choice.

Lexus India’s Strategic Shift

A Premium Brand’s Adaptation

Lexus, known for its luxury and precision, is not immune to the SUV wave. The brand is strategically pivoting to cater to the evolving Indian market. By diversifying its portfolio to include more SUV models, Lexus is aligning itself with the changing consumer preferences.

Competitive Pricing

To compete effectively in the Indian market, Lexus is also working on competitive pricing strategies. Offering a luxury SUV at a reasonable price point is one way the brand is making itself more accessible to a broader audience.

Localization Efforts

Lexus is also focusing on localization, aiming to assemble some of its SUV models in India. This move will not only reduce costs but also resonate with the ‘Make in India’ initiative, garnering support from local consumers.

Impact on the Indian Automotive Landscape

Expanding SUV Segment

Lexus India’s projections indicate a significant expansion of the SUV segment in the Indian automotive landscape. This surge will likely prompt other automakers to follow suit, resulting in a wider variety of SUVs available to Indian consumers.

Changes in Consumer Behavior

As SUVs gain prominence, we can anticipate shifts in consumer behavior. Smaller sedans and hatchbacks may witness a decline in demand as SUVs offer a more comprehensive package, including space, comfort, and status.


The rise of SUVs in India is not merely a passing trend; it represents a significant transformation in the automotive industry. Lexus India’s ambitious goal of having SUVs account for 50% of their sales by the end of 2024 aligns with this transformative period. As consumers increasingly opt for SUVs, it’s clear that the automotive landscape in India is set for a dynamic shift.


Q. Are SUVs more fuel-efficient than smaller cars?
SUVs have improved in terms of fuel efficiency, but smaller cars generally offer better fuel economy due to their lighter weight and smaller engines.

Q. Is Lexus India planning to introduce electric SUVs?
While not confirmed, it’s possible that Lexus India may introduce electric SUVs in the future to align with the global trend towards electric vehicles.

Q. What are the advantages of owning an SUV in India?
Some advantages of owning an SUV in India include better ground clearance, improved safety on rough roads, and more interior space.

Q. How will the rise of SUVs impact the resale value of smaller cars?
The resale value of smaller cars may decrease as SUVs become more popular, but it will ultimately depend on market dynamics and individual preferences.

Q. What is the expected timeline for Lexus India’s SUV expansion plans?
Lexus India aims to achieve 50% SUV sales by the end of 2024, so we can expect to see gradual changes and introductions leading up to that date.

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