With high fuel prices and decreased cash flow, many buyers are looking for smaller cars that don't compromise on luxury or prestige – or so the theory goes. It's a lesson that the European automakers have learned, and learned well with offerings like the BMW 1 Series, Audi A3, and Volvo C30. Now, Lexus has confirmed it is entering the fray with a contender of its own, releasing this sketch to give us a little preview.

Expected to debut in concept form at the upcoming Frankfurt Motor Show – right where its desired competitors are birthed – the Lexus hatchback is anticipated to carry the CT nameplate and offer up a variety of hybrid drivetrains in a package that could set the tone for future Lexus models from the ground up. While a version of the hatchback is widely expected to reach showrooms, we have to wonder if the relatively disappointing sales for cars in this segment (essentially everyone but Mini) will keep the production CT out of American dealers. Stay tuned for more info as the show approaches next month.

Lexus will soon expand its European lineup with an all-new, entry-level premium hatchback, but a new report suggests the baby Lexus could find its way to the North American market. Lexus’ premium hatch will debut in concept form at next month’s Frankfurt Motor Show.

According to Automotive News, the smaller Lexus – believed to be called the CT – could roll into U.S. Lexus dealers by 2012. The new Lexus model would go up against vehicles like the Audi A3 and BMW 1-Series, as well as upcoming premium models such as Cadillac’s sub-CTS model.

Details remain scarce on the new Lexus model, but the U.S. version of the premium compact could come as a hybrid only. European buyers will have the option of at least two diesel powertrains, but Lexus has no plans to introduce diesels to the U.S. market.

Pricing also remains a mystery, but something near the $30,000 mark seems appropriate for the segment.

European buyers will have the option of at least two diesel powertrains, but Lexus has no plans to introduce diesels to the U.S. market.

but a new report suggests the baby Lexus could find its way to the North American market

A second teaser image of Lexus‘ Frankfurt Motor Show-bound compact concept has hit the Web. The premium hatch — which will officially wear the LF-Ch nameplate — is intended to give Lexus a better foothold in the European market.


The teaser images clearly show the LF-Ch will take the form of a sporty hatchback, pinning Lexus’ smallest offering against the likes of the BMW 1-Series, Audi A3 and Volvo C30. It remains to be seen if the LF-Ch will be offered as a three-door, but the concept will bow in five-door guise — as evidenced by the latest shots.

The LF-Ch will clearly be offered with at least one hybrid drivetrain, but it remains unknown if Lexus will also offer the hatch with a Euro-friendly diesel.

Tadashi Arashima, Lexus’ head European marketing chief, confirmed late last year that a new small car was under development for the European market, with the LF-Ch likely to be that car. Although a production version of the Lexus concept will be in European showrooms within a few years, it remains to be seen if the LF-Ch will ever make it to the U.S. market. However, previous reports have suggested the baby Lexus could hit out shores by 2012.

Lexus today announced the LF-Ch compact hybrid concept, which will have its world premiere on September 15, 2009 at the Frankfurt Auto Show, will be on display for the first time in North America at the 2009 Los Angeles Auto Show in December.

As the latest concept hybrid vehicle from Lexus, LF-Ch offers dramatic style, premium features, an innovative drivetrain with low emissions, and impressive fuel economy in a sporty yet versatile five-door package.

“Lexus has been leading the luxury hybrid market ever since we came out with the RX 400h in 2005,” said Mark Templin, Lexus division group vice president and general manager. “To continue raising the hybrid benchmark, we need to continue exploring hybrid technology in different segments. The LF-Ch concept gives us the opportunity to gauge consumer reaction and help us determine whether or not this would be viable for production.”

The LF-Ch concept was designed by Calty Design Research Inc., Toyota’s North American-based research and design center located in Newport Beach, Calif., and will allow the brand to study the needs of young urbanites and consumer values in a compact luxury vehicle.

“The LF-Ch concept is the next evolution of the compact luxury vehicle,” said Kevin Hunter, president of Calty. “We were able to create a beautifully designed hybrid with a deep sense of mystery and intrigue.”

Designers created an intriguing contrast between the powerful, machine-like surfaces, fluid forms and details that appear hand-sculpted.

The exterior of the LF-Ch concept exudes strength and simplicity with a wide stance, broad and high-shoulders, an arching roofline that flows into the rear spoiler, and sheer surfaces wrapped in a contemporary yellow paint. To give the sporty five-door concept the illusion of a sleek coupe, designers cleverly blackened the B-pillar and hid the rear door entry button in the chrome molding.

An aggressive grille with a wide front bumper and air dam gives the hybrid concept a powerful personality in keeping with its dynamic lines. Efficient and bright LED taillights and headlamps also add to the vehicle’s personality. The concept is marked with hybrid details including its blue Lexus logo, which is shared across the Lexus family of hybrids, and hybrid side badging.

Inside, designers created an elegant cabin that is contemporary, and functional with metal and leather trim. Metal surfacing stretches the length of the asymmetric dashboard and blends with leather trim to provide a luxuriously handcrafted and soothing environment. The artistic leather, and metal detailing is also visible on the door panels, instrument panel and seats.

A blue headliner light, that borders the roof and contrasts with the yellow exterior, turns on to reveal an ambient pattern reminiscent of a sophisticated lounge. A wide grip steering wheel with integrated paddle shifters makes for a spirited driving experience. The instrument panel features two, large twin dials with a uniquely embellished turbine blade design.

The LF-Ch is powered by the latest generation of Lexus Hybrid Drive technology. A drive mode-switch allows the driver to select between four modes: Normal, Eco, and EV plus a Sport mode that amplifies throttle response for the most enthusiastic drivers.

Lexus’ Remote Touch controller with user-adjustable haptic feedback, also currently found on the 2010 HS 250h hybrid and RX luxury utility vehicles, allows the driver or front passenger to operate the navigation, audio and climate systems.

The LF-Ch has four sport seats that feature trim lighting along the cushion’s edge for cabin illumination. Rear passengers can enjoy headrest-mounted iPhone® docking capability for audio and video entertainment. In addition, the LF-Ch has storage in the rear seat armrests for small items such as iPods®, PDAs and cell phones.

“We look forward to hearing feedback on the LF-Ch,” said Templin. “We hope consumers like what they see so we can change the luxury hybrid marketplace again.”