The luxury vehicle division of Toyota is called Lexus. Toyota created Lexus as a separate premium brand to compete with established luxury manufacturers in markets such as the United States, Europe, and Japan.
The project began in 1983 under the internal code name F1. Its first production model, the Lexus LS 400, launched in 1989 and was praised for its quiet ride, smooth V8 engine, build quality, and comparatively accessible price. Lexus initially focused on export markets; it was not introduced as a distinct brand in Japan until 2005.
Lexus is sometimes confused with Acura or Infiniti because they were created by Toyota's Japanese rivals Honda and Nissan, respectively. Lexus also develops SUVs, performance cars, hybrids, and battery-electric vehicles, so it is more than a traditional luxury-sedan division. The brand remains owned and operated under Toyota Motor Corporation.