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What's the difference?
BMW’s original X2 crossover from 2018 was not a massive sales success in Australia. The related X1, however, was and continues to be a very popular pick in the ultra competitive premium small SUV class.
BMW has flipped the script for the second-generation X2, giving it a dramatic makeover that ushers in a bold design that’s now in keeping with its SUV strategy. That is to offer a ‘conventional’ SUV - X1, X3 and X5 - and then a coupe-style sibling - the X2, X4 and X6 - to sit alongside it.
Beyond the new look there are significant changes throughout the car, including the introduction of an all electric version - the iX2.
We drove the two flagship grades at the international launch in Lisbon, Portugal - the petrol-powered M35i xDrive, and the iX2 xDrive30. They might look the same, but they maintain their own distinct characters. Let’s dive in…
One question frequently discussed in the skunkworks of the CarsGuide office is: What exactly does Lexus stand for?
When the brand debuted its original export-market IS sedan in 1999 the messaging was more or less clear: Toyota’s premium sub-brand was here to be a Japanese BMW.
The brand even employed Nobuaki Katayama – chief engineer on the iconic Corolla AE86 program – to again take the reins of its small rear-wheel drive sedan program.
As the years went on though, Lexus changed. Fundamentally geared toward the US market, the second-generation (wild IS F aside) became a bit more sedate and softer around the edges, while the third generation strayed even further from the sedan’s performance-inspired roots, leaning into a plush interior, hybrid drive, and even CVT transmissions.
This brings us to today’s Lexus IS. Essentially a heavy facelift of the third generation (which arrived back in 2013), the brand has “reimagined” its core sedan with a tweaked design and updated technology for 2021.
Is it enough to keep it relevant against its ever-present European rivals and the newly arrived threat from Hyundai’s Genesis G70? I took a signature IS300h hybrid for a week to find out.
There is little doubt the new X2 represents a vast improvement over the original model. The design alone gives it a lot more presence.
More interior and boot space also helps widen the SUV’s appeal and the significant tech updates are welcome.
It is on the pricey side and there are a few too many options that should be standard.
However, the M35i is hard to ignore as a sporty premium crossover, and the iX2 xDrive30 is the sort of electric SUV that should worry Volvo.
They both have their own distinct flavours, so there’s no dud in this line-up. Of course, we will hold final thoughts for the local launch when we can drive all four grades. But until then, it’s a welcome return to form for the X2.
Smooth, cosy, quiet, the IS looks and feels better than ever, but without a doubt this hybrid version is a car best suited to cruising the dense metropolis of Chiba at midnight more than it is carving up a bunch of S-bends in the Australian countryside on the weekend.
While that might still limit its appeal for fans of German sports luxury sedans and place it further from the original IS’s ambitions, it does offer an intriguing efficiency and luxury focused alternative, without the compromises brought by rivals with more sporting intent. In a way then, the IS 300h perhaps inadvertently best embodies what Lexus is as a brand.
The second-gen X2 looks very different to the original from 2018. That first X2 had a squat stance, looked more like a hatchback than an SUV, and the glasshouse appeared as though it had been squished into the body of the car.
The 2024 X2 adopts a similar design philosophy to the X4 and X6 - swoopy, coupe-like roofline and liftback, and bold styling elements at the front and rear.
It has a much more upright, flush front end, freshly designed large kidney grille and an edgy headlight design. There’s flared wheel arches and broad shoulders at the rear, as well as a cool new horizontal tail-light signature.
The X2 has grown in size in a big way. It’s 194mm longer, 21mm wider, and 64mm taller than the outgoing model. That naturally means more space inside, too.
Inside there are big changes. The X2 adopts elements introduced by the excellent iX SUV a couple of years ago. They include the curved display, and a floating arm rest with a control panel. Some of this is also familiar from the X1.
The materials mostly look and feel like they are high quality, and there is an appealing minimalism to the overall design and layout. The chunky sports steering wheel is visually appealing, but it’s a bit too thick in my hand.
Look closely and quite a lot has changed. This is really a story of doing a facelift right. Lexus has kept all the great-looking bits of the car that launched in 2013, like its striking side profile and angular accents, while dumping most of its least popular elements like the spidery front light-clusters and busy front splitter, in favour of something more refined and conservative.
It even adds some new flair in the rear three-quarter, with dramatic LED light-clusters working their way into a trendy highlight strip across the boot lid.
These changes all add up for a much tougher, sportier, and nuanced design compared to the outgoing car. One that manages to make an eight-year old design look as contemporary as ever.
I even liked our test car in its plain black shade, although I'm less sure about those conservative-to-a-fault, almost Camry-esque alloy wheels.
On the inside, sadly not a whole lot has changed. The busy design looked dated when this generation of IS launched in 2013, and it still looks dated now.
The visual assault of buttons, toggles, displays, textures, and trims is a lot to take in, and makes the cabin feel smaller than it is.
It probably didn’t help the sensory overload of this car’s interior as I hopped out of the stripped-back interior in the Tesla Model 3 I had the week before.
My less-than-impressed brother, a student of design, described the IS’s interior best when he told me “It’s a bit maximalist, don’t you think?”
If nothing else, at least Lexus hasn’t blatantly imitated anyone else when it comes to its interior, but the brand remains firm on dorky design items like the laptop touchpad, redundant drive-select dial, and odd vacant panels under the climate unit which do it no favours.
A welcome upgrade for the 2021 model year is the new media screen, a highlight piece perched atop the dash. It’s bright, has excellent contrast, and doesn’t seem to fall victim to glare.
The Apple CarPlay support I used was seamless and sharp and made the most of the available real-estate in its widescreen layout.
I somehow didn’t mind that the instrument cluster in this base car is analog. It almost suits the IS’s character better than a digital set-up would. Also offered is a small information display between the dials which I used for monitoring the hybrid drive.
A final note on the IS’s design. The fit and finish is quality, inside and out. It leaves you with an impression that this is an immaculately built vehicle, one that should be a must for all luxury cars, and always a strong point for Lexus.
Where the previous X2 was a very small crossover with niche appeal, the increase in size for the new model means more people will be interested in it. Possibly even people with a small family.
Those increased dimensions pay dividends inside, with ample headroom up front and more than enough space across the front row, although the raised armrest console is somewhat narrow.
The seats in both the iX2 xDrive30 and the M35i xDrive are very supportive thanks to ample bolstering, but both were also on the firm side. The iX2’s synthetic leather was slightly more comfortable than the M35i’s sports-focused front seats.
The power-adjustable seats and height- and reach-adjustable steering wheel means it’s not hard to find a decent driving position, but forward vision is impeded by a very thick A-pillar, and the letterbox-like rear windscreen in the X2 means rearward vision is limited. Good thing it has excellent parking cameras and sensors.
Storage is decent in the X2, with room for big bottles in the door cavity, and a few nooks and large open spaces in the console. Although secure storage is limited with the armrest housing a very shallow space. I do like BMW’s phone charger setup. Rather than lying on a pad, it slots into a vertical holder that has a latch to keep it in place when cornering. The only drawback is that you can see the screen which could potentially distract some drivers.
The X2 introduces operating system nine to iDrive, which is housed in the central part of the curved display and operated by touchscreen or the controller on the floating central console. After some familiarisation, the functionality isn’t that much different to the previous version of the operating system. The main menu looks cool and is mostly easy to navigate. The sub-menu icons - of which there are heaps - look a little Microsoft Windows.
The X2 has drive modes that also interact with the interior of the car and change lighting, EV noise and more. They include Personal Mode, Sport Mode and Efficient Mode as standard, but if you opt for (and pay extra for) BMW Digital Premium, the modes extend to Expressive Mode, Relax Mode and Digital Art Mode. Some of these are quite cool, especially some of the EV sounds, but would I use them everyday? Probably not.
The clearest indication of increased space is in the second row. There’s much more legroom than the old X2, and behind my six-foot frame I had enough space with a couple of centimetres between my knees and the front seat backs. Toe room was very limited, however.
The roof has been scalloped out to ensure more headroom, which is welcome given the extra sloping roofline.
There are a pair of USB-C ports back there, lower air vents, map pockets, decent door storage, and a centre armrest with cup holders.
The boot is sizeable, in both engine grades but you only get a tyre repair kit. There is underfloor storage for the charging cables in the iX2.
At 560 litres with all seats in place and 1470L with the second row stowed, the petrol grades have a bit more space than the iX2 at 525L (all seats in place) and 1400L (second row lowered).
Well, the IS is a sedan, so it doesn’t quite have that high-riding appeal of an SUV, and for this update it has even leaned further into its low-slung proportions with a roofline that descends a further 15mm and a boot lid which is 31mm lower overall.
As with the previous car, the interior is quite closed-in thanks to that busy dash design and large centre console. Rather than feeling claustrophobic though, it is best described as cosy, with lots of plush finishes throughout the doors and centre stack befitting a luxury nameplate.
Adjustability is great for the front two occupants and there are two large bottle holders between the seats, a large but shallow console box under the armrest, bottle holders with adjoining bins in the doors, and a smallish glove box.
That’s about where storage ends though, with no extra trays or bins in front of the oddly placed shifter, just an awkwardly finished plastic panel where it feels like a little tray or storage cutaway should be.
The touchpad for operating the media screen joins an unnecessary drive-select cluster in eating up centre console space where there could be more storage.
The rear seat is quite limited on space despite being lavishly trimmed. I fit behind my own (182cm/6'0") driving position with little knee or headroom to spare.
Again, it’s cosy and very comfortable, but if you're taller or wider than me you may run into issues.
The centre rear seat is all but useless for adults, with the IS’s rear-drive architecture necessitating a huge transmission tunnel that almost comes as high as the seat base itself.
Storage is limited to pockets on the back of the front seats, small bins in the doors that double as handholds, and a drop-down armrest with two bottle holders.
There are no power outlets for rear passengers, but there are dual adjustable air vents.
Boot space is 450L which is a little small for the class. It’s impressive the hybrid only managed to lose 30 litres compared to petrol-only IS variants, though, so best to count your blessings.
The largest CarsGuide travel case easily fit in the wide but short available space.
In Australia, there will be four X2 grades in total - the xDrive20i and M35i xDrive petrol models, and the iX2 eDrive20 and xDrive30 all-electric models.
The iX2 xDrive 30 and the two X2 petrol grades are expected late in quarter one, or early in quarter two. The iX2 eDrive20 will follow shortly after in the third quarter.
The model grades largely mirror that of the X2’s mechanical twin, the X1, although the X1 is also offered in base front-wheel-drive sDrive18i guise as a range-opener.
At the international launch event, the two grades available to drive were the iX2 xDrive30 and the X2 M35i, so I will focus on those two models when it comes to the driving and practicality sections of this review. But I will detail elements of the whole range in other sections.
That X2 xDrive20i kicks off the range from $75,900 before on-road costs. For that you get features like a leather sports steering wheel, dual-zone automatic climate control, satellite navigation, an automatic tailgate, 19-inch alloy wheels, four USB-C ports and more driver-assistance systems and digital services compared with the previous model.
The $92,900 X2 M35i xDrive adds an extra dollop of performance but also includes 20-inch alloy wheels, a 12-speaker Harman/Kardon sound system, leather upholstery, a panoramic glass roof, a BMW M body kit and more.
The most affordable iX2 is the eDrive20 that kicks off at $82,900, while the iX2 xDrive30 dual-motor all-wheel-drive is $85,700. Both of these currently fall under the luxury car tax threshold at the time of writing.
There are several individual options and options packages across the range that can quickly push these prices up.
The X2 is a bit more expensive than the equivalent grades of the X1. The X2 xDrive20i costs $5500 more than the same X1 grade, while the M35i is only $2000 dearer than the equivalent X1.
For the EV, the X2 price premium is $4000 for the eDrive20 and just $800 for the xDrive30.
When it comes to rivals, pricing is a little higher than similar swoopy small SUVs like the Audi Q3 Sportback when it comes to the petrol models.
For the EV, competitors include the Lexus UX300e ($79,990-$87,665), Mercedes-Benz EQA (from $82,300-$102,579), and the Volvo C40 Recharge ($78,990-$87,990).
To be precise the variant we’re looking at here is the IS 300h Luxury. It’s the base IS trim with the hybrid powertrain and it wears a before on-road costs (MSRP) of $64,500.
Base car or not, the new IS is very well specified. Now standard are 18-inch alloys (up from 17s), full LED headlight clusters, eight-way power adjustable front seats, dual-zone climate control, 10-speaker audio system, and importantly a brilliant new 10.3-inch multimedia screen with widescreen Apple CarPlay, Android Auto, built-in navigation, and DAB+ digital radio support.
Keyless entry and push-start ignition also continue to be offered, as well as a leather-look interior trim which in our car was in a rather contrasting 'Ochre' colour option.
Our IS 300h was also fitted with the creatively named ‘Enhancement Pack 1’ which adds an openable moonroof for $2000. The significantly more expensive ‘Enhancement Pack 2’ ($5500) adds the moonroof alongside 19-inch alloys, upgraded LED headlights, interior ornamentation, scuff plates, a panoramic reversing camera, 17-speaker premium audio, ‘leather-accented’ interior trim, ventilated front seats, and an electric rear sunshade.
These packs are seemingly largely unnecessary but are also very cheap for a brand at the premium end of the market.
Lexus has made pretty much all of its high-end active safety equipment standard on this base ‘Luxury’ for 2021, alongside some previously unavailable tech which we’ll take a look at in the safety section of this review.
At this price the Lexus IS 300h goes into battle against the Mercedes-Benz C 200 ($66,900), BMW 320i ($70,900), Audi A4 35 TFSI ($55,900), and the ever-looming threat of Hyundai’s Genesis, which offers its similarly-sized G70 in base form at $59,300.
Some of these base-spec rivals are cheaper, some are more expensive, but did you notice none of them are hybrids?
Access to Toyota’s affordable and popular hybrid drive is a real point of difference for the Lexus brand, and we expect it’s a key drawcard for the loyal customer base. More on that later.
Each of the four grades come with a different powertrain, and the xDrive20i kicks it all off with its 2.0-litre four-cylinder turbocharged petrol unit, making 150kW of power and 300Nm of torque. It drives all four wheels via a seven-speed dual-clutch transmission and can hit 100km/h in 7.4 seconds.
The xDrive M35i ups the fun factor with a gruntier 2.0-litre four-cylinder turbo-petrol unit, driving all four wheels via the same transmission as the 20i, all while delivering power and torque of 233kW/400Nm This ensures a 0-100km/h dash of 5.4 seconds.
The iX2 eDrive20 is powered by a 150kW/247Nm electric motor on its front axle, and the iX2 xDrive 30 uses two motors - one on the front and one on the rear axle for all-wheel-drive traction. The total system output is 230kW and 494Nm and the xDrive30 gets to 100km/h in just 5.6 seconds.
The IS 300h does stand out from the luxury sedan crowd by offering a hybrid drivetrain at a reasonable price. Some rivals offer plug-in options further up the price scale cementing them as a niche option, but the beauty of this Lexus is its very mild $3000 price jump over the base petrol car.
The base car’s 2.0-litre turbo is dumped in favour of a 2.5-litre non-turbo Atkinson-cycle four-cylinder hybrid set-up similar to the one proving popular in the Toyota Camry and RAV4.
The petrol engine produces 133kW/221Nm on its own, and the electric motor produces 105kW/300Nm. Toyota says the “combined system output” of this is 164kW.
Either way, that's less than the base 2.0 turbo. The 300h also swaps out an eight-speed torque converter automatic in favour of a continuously variable transmission. Rare in a rear-wheel drive car.
A fuel-use figure for the xDrive20i is yet to be confirmed, but the front-wheel-drive sDrive20i offered in Europe with a three-cylinder engine sips as little as six litres per 100 kilometres on the combined cycle. Expect the Australian version to be a little higher than that given it’s AWD and has a more potent engine.
The M35i consumes 7.7L/100km.
The high-voltage 64.8kWh lithium-ion battery in the iX2 ensures a driving range on the WLTP cycle of between up to 477 kilometres in the eDrive20 and between 417 and 449km for the xDrive30.
The latter has an energy efficiency range of 16.3 to 17.7kWh/100km, and BMW says you should be able to top up the battery from 10 to 80 per cent in 29 minutes at a fast charging station.
That driving range is not bad compared with the Lexus UX300e and Peugeot e-2008, but not quite as impressive as the Volvo C40 twin-motor.
I missed out on checking the energy efficiency figure of the iX2 xDrive30 following our drive, but after an 88km drive loop, the iX2’s range had dropped by 91km, which is just a 3km difference.
As you might hope this hybrid IS has an astoundingly low official/combined fuel consumption rating of 5.1L/100km.
I was pleased to find that after a week of mainly urban driving conditions, our IS was returning a figure of 6.9L/100km. Not bad at all, especially for a class where fuel consumption can get a little out of hand with turbocharged engines or V6s.
Of course, using the hybrid system to your advantage over the long term will get this number much lower, as I discovered on my long-term test of the Toyota Corolla hybrid which essentially uses a smaller version of the same system.
Certainly, if fuel consumption is a high concern, you’re better off with this car than the top-spec V6 (IS 350) which will easily see consumption enter double digits.
Lexus recommends a minimum RON rating of 95 for the IS 300h, and the fuel tank is 66 litres regardless of variant, giving the hybrid an impressive theoretical range of around 1000km.
The M135i xDriveis undeniably quick off the mark. The lovely 2.0L turbo engine is well matched to the seven-speed dual-clutch and it’s responsive and willing from a standing start and when overtaking.
The engine sounds lovely too, although we suspect it’s amplified in the cabin, and steering is as sharp as it should be in a warmed-up performance SUV. We darted through some very twisty roads outside Lisbon and had quite a lot of fun in the process, so the M Performance badge is justified.
I drove the previous-generation X2 M35i a few years back and was disappointed with the ride quality. It was quite jiggly on uneven road surfaces and way too firm.
While the new version still has a firm tune to aid dynamic driving, it is much more compliant than the old car and overall ride comfort has improved.
The iX2 is also quick off the mark and in xDrive30 guise is only 0.2sec slower to 100km/h than the M35i.
That lively, smooth EV acceleration is present here, adding a sense of fun to the iX2.
It too has sharp steering, and the cabin is hushed. Not just because it’s an EV either. We were on coastal roads on a windy day and there was only a hint of wind noise in the cabin.
In some instances taking corners that had typical European walls or houses right up against the road, the iX2 would slow before I had a chance to tap the brakes. But it was hard to tell if that was a vehicle safety function, or the regenerative braking.
The ride in the iX2 was a bit of a mixed bag. It coped with some of the pockmarked roads exceptionally well, soaking up the imperfections. But then on other roads it was a little choppy.
It also bounces a little when you go over speed bumps, but that’s not exclusively an iX2 trait. I’ve felt it on many an EV, given the placement of the very heavy battery packs under the floor.
On the driving tech front, the X2 has a well executed head-up display projected directly onto the windscreen. It includes the speedo of course, nav guidance, a crystal clear display and more info.
There is no doubt the IS 300h is capable. You can feel it through the car’s solid rear-drive underpinnings, silky smooth steering, and reactive chassis.
What this car doesn’t offer is excitement in quite the same sense as many of its rivals. That’s down to this hybrid’s drivetrain. It just doesn’t have that powerful follow-through in the same way turbocharged BMWs or Audis or Mercedes do.
If it’s that 'sports luxury' experience you’re seeking better off looking to the base 2.0-litre turbo or the V6 and their eight-speed automatics.
The 300h does offer something a bit different. The gentle refined efficiency of Toyota’s signature hybrid system in a luxury rear-drive package that’s smaller than this car’s ES bigger brother.
While it may feel capable thanks to the lighter suspension components and altered track that the brand has committed to for this update, the hybrid drive matches this car’s softer character brought about by its gentle suspension tune and light steering.
This is an easy car to drive around a city, it filters out bumps nicely, while offering near silence in the cabin and breezy steering for every day scenarios like manoeuvring in tight parking lots.
The CVT auto and instantaneous torque available from the electric motor make it best at traffic speeds, being both reactive and predictable, with silent acceleration when inching forward at the lights or cruising along at 50km/h.
As you might expect though, the wheezy Atkinson cycle engine and CVT conspire for a noisy and less than engaging experience under heavy acceleration.
It’s not as though you’re rewarded with particular vigour either, with this combination being a bit sluggish when a lot is asked of it.
It loses its reactivity and refinement at higher speeds or in the corners on country roads as the transmission elastically tries to keep up with the demands of the driver.
Still, few luxury sedans are quite as purpose-built for the toils of a city, and if you want to get drawn into this car’s hybrid drive antics, it’s easy to make a game out of saving fuel by trying to rely on its low-speed electric motor capability.
Really then, it leans into its urban luxury appeal. A luxury sedan for the streets of Tokyo. An ideal car in this class for the urban environment.
If you don’t care for the thrill of a turbocharger or frequently seek to explore the twists of your nearest B-road, you could do worse than the comfort and ambiance the 300h offers.
The X2 and iX2 are yet to be crash tested by ANCAP or Euro NCAP for that matter.
As mentioned, it gets a more generous list of standard safety features than its predecessor. Features include the latest version of BMW’s front collision warning system, auto emergency braking, speed limit detection, active pedestrian protection and a front centre airbag.
All X2s come standard with BMW’s Driving Assistant Professional which features ‘Steering and Lane Control System’, adaptive cruise control with stop and go braking function, and a blind-spot monitor, as well as Parking Assistant Plus with a surround-view camera, reversing assistant and ‘Drive Recorder’.
A full active safety suite is now standard across the IS range, including freeway-speed auto emergency braking with pedestrian detection (works during the day and at night) and cyclist detection (works during the day only), and a new intersection braking feature, lane keep assist with lane departure warning, blind spot monitoring, rear cross traffic alert with reverse auto braking, traffic sign recognition, adaptive cruise control, and auto high-beam assist.
There is also an auto SOS function, as recently added to the Toyota Yaris Cross, which automatically triggers if an airbag is deployed. On the topic of airbags, every IS has a thorough suite of 10 (dual front, dual side, quad head, dual front knee).
This all adds up with the standard array of stability, brake, and traction controls for a maximum five-star ANCAP safety rating, although the IS was last assessed way back in 2016.
The IS is built in Japan.
The X2 range is covered by BMW’s five-year, unlimited kilometre warranty - something the German giant only increased from three years back in 2022. This is now the minimum standard.
The battery warranty for the iX2 is eight years or 160,000 kilometres.
BMW does not have scheduled servicing terms, instead, servicing is condition-based and the car’s computer will alert the driver when to book in for a service.
A five-year servicing package will cost you $3171 for the petrol X2s, while the iX2 is $2186 for six years.
Lexus gets slightly ahead of the luxury pack with an extra year of warranty. While BMW and Audi still sit on three, Lexus offers four, but it is limited to 100,000km and is still outdone by Mercedes-Benz and Korean newcomer, Genesis, offering five-year/unlimited kilometre promises.
The IS has capped price servicing fixed at $495 for the first three years of ownership with roadside assist, and the brand will even pick up and drop off your car, or offer a free loan car during every 12 month or 15,000km service.
It’s worth noting that German rivals offer pre-paid service packages out to five years, and Genesis is trying to make a splash with free servicing.
Lexus does offer a luxury ownership program dubbed ‘Encore’ which includes invites to experiences and certain partnerships with restaurants and the like to keep potential owners enticed.