This is the first glimpse of Lexus’s answer to the Audi A3, a premium hatchback that will be coming to the UK late next year. A concept version of the car will make its debut at the Frankfurt motor show next month.
Lexus is keen to get a foothold in the C-segment premium market, which has so far been dominated by cars like the A3 and BMW 1-series.
“The C-premium segment has been growing and Lexus wants to position a car in that segment,” said the source.
Unlike Audi, which showcases new design directions on flagship cars like the forthcoming new A8, Lexus will be presenting a new styling philosophy on the compact concept.
A Lexus source told Autocar a production version has now been given the green light. Although Lexus saloons are generally rear-wheel drive, this model is likely to be front-wheel drive, like the Audi.