Lexus IS 2026 Model Price Increases Nearly $5,000 with New V6 Engine

Lexus has unveiled the 2026 iteration of its IS sedan, marking a significant shift in its lineup with a nearly $5,000 increase in the entry price. The update introduces a streamlined offering that now features only a single 3.5-liter V6 engine across all trims, eliminating previous four-cylinder and V8 options. The new base model, the IS 350, will start at $46,795, a jump from the previous entry-level IS 300.

The redesigned IS was first revealed in Japan in September 2023, and it is set to arrive at US dealerships in early 2026. This latest model showcases a more aggressive front design, enhanced interior features, and chassis updates aimed at improving driving dynamics.

Pricing and Model Changes

The most notable change in the 2026 model is the removal of the IS 300 and IS 500 variants, which has contributed to the steep rise in the starting price. The IS 350 now serves as the entry point, pushing the manufacturer’s suggested retail price from $41,830 to $46,795. Despite this increase, the IS 350 remains competitively priced against rivals like the 2026 BMW 330i, which starts at $47,500.

When comparing equivalent trims, the increases are less pronounced. For example, the F Sport Design trim sees a price hike of $1,640, while the fully equipped F Sport version rises by $2,015. All prices include a $1,295 destination and handling charge.

Design and Interior Updates

The 2026 IS features a refreshed exterior that includes a redesigned front end with a more sculpted bumper, updated spindle grille, and modified air intakes. The overall shape remains consistent with previous models, but the new design elements lend a sharper and more aggressive look to the sedan.

Inside, the cabin undergoes significant changes, presenting a more modern aesthetic with a new dashboard layout, updated door panels, and a reworked center console. The central touchscreen has been enlarged to 12.3 inches and now operates alongside physical toggle switches for climate control, enhancing user accessibility. The inclusion of four USB-C ports and a wireless charging pad further modernizes the interior experience.

Additionally, Lexus introduces a Radiant Red interior theme and optional Forged Bamboo trim inserts to diversify the standard black and gray options. The standard audio setup includes 10 speakers, with an upgrade available to a 17-speaker Mark Levinson system.

Engine and Performance Enhancements

For 2026, Lexus has simplified its engine offerings to a single 3.5-liter V6 producing 314 horsepower and 280 lb-ft of torque. This engine can be paired with either an eight-speed automatic transmission for rear-wheel drive models or a six-speed automatic for all-wheel-drive variants. The decision to eliminate both the entry-level IS 300 and the higher-performance IS 500 indicates a strategic shift towards consolidating the product line.

Chassis updates aim to enhance the overall driving experience. Lexus reports that new steering and suspension settings will provide more consistent feedback and a more natural response during cornering. The adjustments are designed to create a more intuitive and enjoyable driving experience without altering the fundamental hardware.

For early adopters, Lexus has announced a limited-run Special Appearance Package for the first 350 units of the IS 350 F Sport sold in the US. This package features a unique matte Hakugin White exterior, custom black-and-white interior trim, and exclusive features such as black BBS 19-inch forged wheels and triple-beam LED headlights.

With these updates, the 2026 Lexus IS aims to maintain its competitive edge in the luxury sedan market, even as it raises its price point. Detailed pricing information for the new model shows a clear distinction between the updated IS and its predecessor, reflecting the changes in the lineup and the focus on performance and luxury.

The refreshed Lexus IS is anticipated to make a strong debut in the US market, appealing to consumers looking for a blend of style, performance, and modern amenities.