With new global boss Takashi Watanabe at the helm, Lexus is finally venturing into the modern age of fully electric vehicles. To pick up the pace, Watanabe said Lexus will “humbly look at and learn from” Tesla’s accomplishments.
Watanabe took over as president of Lexus in April after former brand boss Koji Sato succeeded longtime Toyota CEO Akio Toyoda.
The new leader says fully electric vehicles will open up new possibilities for Lexus to expand the brand.
“In 2026, we will introduce the next-generation battery EV that re-innovates the vehicle modular structure, significantly alters our production methods and completely re-imagines the software platform,” Watanabe stated (via Automotive News), adding, “We have also prioritized vehicle design to embody the essence of Lexus.”
Lexus aims to sell 1 million EVs annually by 2030 as it works toward an all-electric lineup by 2035. According to the brand’s boss, the luxury automaker will spearhead Toyota’s next-gen EV offensive.
Despite the enthusiasm, Toyota and Lexus combined sold a total of 24,466 electric vehicles last year. Compared to overall sales of over 9.5 million, EVs accounted for a mere 0.26% of the share.
With a little over 7,400 EV sales through the first seven months of 2023, they still represent less than 1% of combined Toyota and Lexus sales. In the US, Lexus has sold only 2,068 units of its first EV model, the RZ electric SUV.
Lexus RZ (Source: Lexus)
Lexus to “look and learn” from Tesla’s EV success
To pick up the pace and close the widening gap with EV leaders like Tesla and BYD, Lexus’s parent company, Toyota, recently revealed multiple emerging technologies and production methods.
At a technical briefing in June, Toyota highlighted several new innovations it planned to introduce, including advanced EV batteries, design improvements to enhance efficiency, and manufacturing upgrades to streamline output.
Toyota EV battery roadmap (Source: Toyota)
Toyota is vowing its next-gen EV batteries, due out in 2026, will provide nearly 500 miles of (over 800 km) range with a 20% cost reduction compared to the bZ4X.
More recently, the Japanese automaker showed off its next-gen EV production line during a plant tour with Giga casting technology, a process Tesla introduced in 2020.
Gigacast prototype (Source: Toyota)
Lexus will piggyback off the new technology and processes to better compete as electric vehicle sales are only expected to continue rising.
“We need to make it easier to build and simplify as much as possible,” Watanabe said. He added that it’s “important to humbly look at and learn from” Tesla’s success.
Lexus electrified sport concept (Source: Toyota)
Despite using Toyota’s tech, Lexus still needs to differentiate itself. “We need to be more unique — we need to define that,” the brand boss explained that Lexus will need to go beyond the product, including a software operating system.
Lexus will introduce a concept of its next-gen EV at the Japan Mobility Show, expected to roll out in 2026.
Electrek’s Take
As with Toyota, introducing this technology is better late than never. Industry leaders like Tesla have been improving efficiency in all areas.
By the time Toyota and Lexus’s next-gen EVs roll out in 2026, Tesla will already be on to the next step.
Advanced batteries, design improvements, and manufacturing upgrades will help Toyota (and Lexus) compete, but delaying it will only put it further behind the pack.
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On today’s exciting episode of Quick Charge, we don’t even mention “you know who,” focusing instead on EV news from Rivian, Lucid, Nissan, Ford, and what it takes to make a MAN in the heavy truck space. Check it out!
Sure, Nissan is pushing back production estimates on its yet-to-begin-production Nissan LEAF and Ford’s EV sales were down significantly in Q2, but there’s more to the story than the “Faux News” crowd would have you believe. Plus: some new electric success stories from Porsche and a disappointing (but still cool) dive into some new home backup battery tech.
New episodes of Quick Charge are recorded, usually, Monday through Thursday (most weeks, anyway). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.
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Got news? Let us know! Drop us a line at tips@electrek.co. You can also rate us on Apple Podcasts and Spotify, or recommend us in Overcast to help more people discover the show.
he 30% federal solar tax credit is ending this year. If you’ve ever considered going solar, now’s the time to act. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. It has hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use, and you won’t get sales calls until you select an installer and share your phone number with them.
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Battery electric cars sold today in Europe produce 73% less life-cycle greenhouse gas emissions than gas cars, even when factoring in production, according to new research from the International Council on Clean Transportation (ICCT). That’s a big improvement from 2021, when the gap was 59%.
Meanwhile, hybrids and plug-in hybrids haven’t made much progress. The study confirms what clean transportation advocates have been saying for years: If Europe wants to seriously slash emissions from its dirtiest mode of transport – ICE passenger cars, which pump out nearly 75% of the sector’s pollution – it needs to go all-in on battery EVs.
“Battery electric cars in Europe are getting cleaner faster than we expected and outperform all other technologies, including hybrids and plug-in hybrids,” said ICCT researcher Dr. Marta Negri. Credit the continent’s rapid shift to renewables and the higher energy efficiency of EVs.
The makeup of the EU’s power grid is changing fast. By 2025, renewables are expected to generate 56% of Europe’s electricity, up from 38% in 2020. And that’s just the beginning: the share could hit 86% by 2045. Since cars bought today could still be on the road two decades from now, the growing use of clean electricity will only boost EVs’ climate benefits over time.
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Gas-powered cars, on the other hand, will stay mostly tied to fossil fuels as the cost and availability of biofuels and e-fuels are still uncertain.
Hybrids and plug-in hybrids only cut lifetime emissions by 20% and 30%, respectively, compared to gas cars. That’s partly because plug-in hybrids tend to run on gas more than expected. So while hybrids aren’t useless, they’re just not good enough if we’re serious about climate goals.
Countering EV myths with hard data
There’s been a lot of noise lately about whether EVs are really that green. The ICCT study takes aim at the bad data and misleading claims floating around, like ignoring how the grid gets cleaner over time or using unrealistic gas mileage figures.
It’s true that manufacturing EVs creates more emissions upfront – about 40% more than making a gas car, mostly due to the battery. But EVs make up for it quickly: that extra emissions load is usually wiped out after about 17,000 km (10,563 miles) of driving, which most drivers hit in a year or two.
“We’ve recently seen auto industry leaders misrepresenting the emissions math on hybrids,” said Dr. Georg Bieker, senior researcher at the ICCT. “But life-cycle analysis is not a choose-your-own-adventure exercise.”
ICCT’s new analysis includes emissions from vehicle and battery production and recycling, fuel and electricity production, and fuel consumption and maintenance. It even adjusts for how the electricity mix will change in the coming years – a key detail when measuring plug-in hybrid performance.
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The EV2 may be Kia’s smallest electric vehicle, but it has a big presence on the road. Kia promises it won’t feel so small when you’re inside, thanks to clever storage and flexible seating. After a prototype was spotted testing in the Alps, we are getting our closest look at the Kia EV2 so far.
Kia EV2 spotted in the Alps offers our closest look yet
Kia first unveiled the Concept EV2 during its 2025 EV Day event (see our recap of the event) in April, a preview of its upcoming entry-level electric SUV.
Despite its small size, Kia claims it will “redefine urban electric mobility” with new innovative features and more. Kia has yet to say exactly how big it will be, but given it will sit below the EV3, it’s expected to be around 4,000 mm (157″) in length. The EV3 is 4,300 mm (169.3″) in length.
Looking at it from the side, it sits much higher than you’d expect, similar to Kia’s larger EV9. During an exclusive event at Milan Design Week in April, Kia gave a sneak peek of the interior.
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Kia said the interior is inspired by a “picnic in the city,” or in other words, a retreat from the busy city life. With a flat-floor design and flexible seating, you can quite literally have a picnic in the city.
Kia Concept EV2 (Source: Kia)
Although we’ve seen the EV2 out in public testing a few times, a new video provides the closest look at Kia’s upcoming electric SUV.
The video, courtesy of CarSpyMedia, shows an EV2 prototype testing in the Alps with European license plates. There’s also a “Testfahrt” sticker on the back, which translates to “Test Car” in German.
Kia EV2 entry-level EV caught testing in the Alps (Source: CarSpyMedia)
As the prototype drives by, you can get a good look at it from all angles. Like in past sightings, the front features stacked vertical headlights with Kia’s signature Star Map lighting. Even the rear lights appear to be identical to those of the concept.
The interior will feature Kia’s next-gen ccNC (connected car Navigation Cockpit) infotainment system. The setup includes dual 12.3″ instrument clusters and infotainment screens in a curved panoramic display. Depending on the model, it could also include an added 5.3″ climate control screen.
Last month, a crossover coupe-like model was spotted on a car carrier in Korea, hinting at a new variant. The new model featured a design similar to that of the Genesis GV60.
Kia’s CEO, Ho Sung Song, also recently told Autocar that a smaller, more affordable EV was in the works to sit below the EV2. Song said the new EV, priced under €25,000 ($30,000), was “one area we are studying and developing.”
With the EV4 and EV5 launching this year, followed by the EV2 in 2026, it could be closer toward the end of the decade before we see it hit the market. Next-gen EV6 and EV9 models are also due out around then.
The Kia EV2 is set to launch in Europe and other global regions in 2026. Unfortunately, it’s not expected to make the trip to the US.
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