2026 Lexus UX300h Review (Australia) – A Hybrid Luxury SUV That Redefines Compact Class

The 2026 Lexus UX300h has landed in Australia, offering a refined hybrid SUV experience with premium build quality, class-leading safety, and remarkable fuel economy. Here’s our full in-depth review covering interior, performance, safety, pricing, and verdict.

Introduction – The Lexus Journey in Australia

Each brand comes with a tale, and Lexus’s tale in Australia has been that of understated ambition. In the late 1980s and 90s, while prestige customers were concentrating laser-like on Mercedes-Benz, BMW, and Audi, Lexus entered with something new: Japanese workmanship, fanatical dependability, and a pleasant price benefit.

Flash forward to 2026, and the world is a different place. Australians no longer obsess over badge status and prestige as much as they do about efficiency and technology. Enter the Lexus UX300h at just the right time. Conceived as the youngest sibling of the Lexus SUV lineup, the UX was built for urban roads but has grown up into something more: a hybrid delivering true luxury without the need for a large footprint or a massive fuel price tag.

This is not merely an update; the 2026 UX300h is a demonstration of how much compact luxury SUVs have come of age. It’s a premium vehicle that does not attempt to be boisterous or harsh — it whispers refinement while quietly guzzling fuel.

Interior and Features – Where Craftsmanship Meets Tech

Lexus has consistently been associated with interiors that are like sanctuaries, and the UX300h continues this legacy.

On first opening the door, you’re welcomed by an ambience that fuses traditional Japanese design references with contemporary technology. The materials are luxurious — soft leather, tactile trims, and soft-touch panels wherever you look. In contrast to most rivals that toss hard plastics around the cabin, the UX300h’s construction is substantial, verging on architectural. Each button has a sharp click, each panel perfectly aligned, and even the stitching speaks volumes of careful attention to detail.

The driver’s seat is greatly improved in ergonomics. The raised yet small driving position is easy on city manoeuvres, though still commanding on motorways. Lexus has made subtle changes this year: the seating comfort is enhanced, lumbar support is improved, and the cabin appears more spacious when in fact the SUV is still quite compact.

On the tech side, Lexus doesn’t spare. The 12.3-inch digital instrument cluster is sharp and legible, the infotainment system has wireless Apple CarPlay and Android Auto capability, and the shift-by-wire gear selector is futuristic without being gimmicky. Move up the trims, and luxury intensifies — ambient cabin lighting, heated and ventilated leather seats, and a Mark Levinson premium audio system that makes every playlist sound like a private concert hall.

It’s Lexus through and through: calm, quiet, and incredibly well put together.

Performance – Smooth, Silent, and Surprisingly Capable

Underneath the sculpted bodywork, the UX300h packs a 2.0-litre petrol engine paired with electric motors. Together, they generate around 146 kW, which may not sound like headline-grabbing power, but in practice it’s exactly what this SUV needs.

Urban driving is where the hybrid setup comes into its own. On slow traffic, the UX300h tends to revert to pure EV mode, cruising silently from one junction to the next. There is a seamless handover between petrol and electric power — you don’t even realize it’s happening, you just sense the thriftiness. On the motorway, the acceleration is consistent and comforting, ideal for passing without bother.

Fuel efficiency is a genuine selling point: 4.2 L/100 km for the front-wheel drive model and close to 4.4 L/100 km for AWD. That is one of the most economical luxury SUVs available on the Australian market. When fuel prices are as volatile as Sydney weather, that’s no minor benefit.

The dynamics? Quick, light, and predictable. The suspension is comfort-tuned, absorbing potholes without being wallowy. Not a hot hatch in disguise, but more fun than you’d think from a hybrid. Lexus has discovered the perfect balance of comfort and control.

Safety Features – Technology That Watches Your Back

Safety has long been a Lexus strength, and the UX300h shows why. The Lexus Safety System+ comes as standard throughout the range, loading up with features that most competitors still charge extra for:

Pre-collision warning with pedestrian and cyclist detection – for city reassurance.

Lane tracing assist – keeps you on track with subtle steering nudges.

Adaptive cruise control – ideal for highway cruising up the Hume.

Road sign recognition – because let’s be honest, we all forget the odd speed sign.

Blind-spot monitoring & rear cross-traffic alert – very useful in crowded shopping centre multi-storey car parks.

Safe Exit Assist – bright stuff that stops you opening a door into a oncoming cyclist.

Throw in 10 airbags and a strengthened chassis, and the UX300h doesn’t just take care of you — it takes care of everyone else too.

Capabilities – For Urban Australia

The UX300h is not an Outback tourer, and it doesn’t pretend to be. Rather, it’s developed for where Australians actually spend most of their driving lives: cities, suburbs, and highways.

Its small footprint and 10.4m turning circle contribute to its uncanny agility — parallel parking in Sydney or Melbourne no longer seems so daunting. The available AWD system provides added assurance when roads become slippery, ideal for beach holidays or rainy winter mornings.

While its ground clearance isn’t intended for hardcore off-roading, the UX300h gets along fine on gravel tracks, steep driveways, and weekend outings. It’s essentially a city-savvy SUV with just enough flexibility to accommodate real-world Australian lifestyles.

Pricing and Availability in Australia

The UX300h line includes several trims, allowing consumers to choose based on budget and preference. Prices (before on-road costs) begin at approximately:

Luxury 2WD – $55,370

Sports Luxury AWD – $66,970

F Sport AWD – $73,210

Every Lexus is backed by a 5-year / 100,000 km warranty, roadside assistance, and capped-price servicing — providing peace of mind that rivals the premium feel.

Pros and Cons

Pros:

Exceptional hybrid fuel economy

Lexus-level craftsmanship and reliability

Loaded with safety tech as standard

Compact and easy to handle in cities

AWD option available for additional grip

Cons:

Less boot space than competitors

Not a performance model

Premium price relative to mainstream hybrids

Final Verdict – A Lexus for the Intelligent Luxury Consumer

The 2026 Lexus UX300h does not attempt to be everything to everyone. Rather, it exactly knows what it is: a luxury compact SUV that shines at refinement, safety, and fuel efficiency.

If you need a large family car hauler, go elsewhere in the Lexus range. But if your average day is city driving, the odd highway run, and a penchant for arriving everywhere with panache at hardly any cost at the fuel pump, the UX300h is difficult to surpass.

It’s a Lexus that will win over your heart as much as your head — delivering craftsmanship you can sense, technology you can rely on, and frugality that will put a smile on your face every time you avoid the servo.