The Lexus LS 400 was the car that launched Lexus in 1989 and changed the luxury car industry. Developed under a secret Toyota program called “F1” (Flagship One), it combined a whisper-quiet 4.0-litre V8, exceptional build quality and a price well below comparable German sedans. A famous TV commercial showed a pyramid of champagne glasses stacked on its hood staying perfectly still while the engine revved on a dynamometer. Within a few years, Mercedes and BMW had to rethink quality, price and service.

At a glance
Unveiled January 1989, Detroit auto show
On sale September 1989 (U.S.)
Engine 4.0-litre V8 (1UZ-FE), 250 hp
Program Toyota “F1” / “Circle F”, started 1983
Legacy Launched the Lexus brand

Project F1

In 1983, Toyota chairman Eiji Toyoda challenged his company to build a car that could beat the world’s best luxury sedans. The program lasted about six years and involved a large team of engineers and designers and hundreds of prototypes. Engineers set targets for noise, vibration, aerodynamics and fuel economy that exceeded those of the German benchmarks — and they had to meet all of them at once. Read why Toyota created Lexus.

The engine

The 1UZ-FE V8 was engineered for extreme smoothness, with precise tolerances and an all-aluminum construction. It was so quiet and balanced that it became the centerpiece of Lexus advertising — hence the champagne-glass demonstration.

Price and quality

The LS 400 launched at a price far below a Mercedes 420 SEL or BMW 735i, yet reviewers found it quieter and better built in many respects. It won comparison tests and quickly became a sales success.

Service as a product

Lexus also built a new kind of dealership experience. When a small recall occurred shortly after launch, Lexus dealers contacted owners personally, collected the cars, returned them washed and with a full tank — a story still told as a model of customer service. Excellent service became as much a part of the Lexus brand as the cars.

What it changed

The LS 400 forced German makers to improve reliability and value, pushed the industry to take noise and vibration seriously, and showed that a new luxury brand could succeed in a single generation. Honda’s Acura and Nissan’s Infiniti launched in the same era, but Lexus became the most successful Japanese luxury brand.

The LS today

The LS continues as Lexus’ flagship sedan, now in its fifth generation with a twin-turbo V6 and hybrid options. Compare it with the Mercedes in S-Class vs Lexus LS.