Lexus introduced the IS lineup in 1998 as a contender for the compact-sedan premium segment on the U.S. market, and, later on, it sold it in Europe as well.

Just by looking at it, it was hard not to notice that Lexus’s marketing department studied long and hard the BMW 3-Series (E36) and decided to make a competitor for it. As a result, the design team tried hard to conceal that inspiration theme and produced something that didn’t look like a BMW.

At the front, the IS had to stick to the corporate reversed trapezoidal grille with four slats that sported the logo in the middle. Its big headlights resembled those installed on the first generation of the Mercedes-Benz C-Class (W-202), but with raised corners instead of straight and lowered ones. It showed an original styling for the taillights with round lamps covered by a clear lens and a pair of round red fog-lights on the trunk lid in the rear.

Inside, the IS featured one of the most attractive instrument panels on the market. It was inspired by a sports chronograph watch with a center-mounted speedometer and three other gauges inside its dial and left room for a wide tachometer on the left and a fuel gauge on the right. Its ergonomically designed interior and the step-like pattern for the automatic gear selector showed keen attention to detail. There was room for two grown-ups in the back due to the high transmission-tunnel that crossed the car from the engine to the back.

Under the hood, Lexus installed an inline-six, two-liter engine like the BMW offered. It produced approximately the same amount of power and torque. That was the base engine. Apart from that, the carmaker offered three other engine options, including a 2.2-liter turbo-diesel, like Mercedes-Benz.