Lexus is analyzing the prospects of launching a smaller crossover to sit below the recently introduced NX.

Lexus is analyzing the prospects of launching a smaller crossover to sit below the recently introduced NX.

The company's European vice-president Alain Uyttenhoven says an entry-level crossover is "not impossible" as it “made sense” for Lexus although he didn't provide exact details about a potential launch date. Such a model would help boost Lexus sales in Europe, China and Japan where there is a strong desire for smaller premium cars.

It would be a smart move for Lexus since right now they rely too much on the North American market where they sell about half of all 500,000+ cars produced each year. Uyttenhoven pointed out there is a strong desire for small premium cars and Lexus could fill this niche with new models.

He also talked about the flagship LS which will not get a four-cylinder engine but he did say fuel cell technology could be implemented by the end of the decade if fuel cells will progress enough for "performance driving."

Gallery: Lexus could build sub-NX crossover