The Lexus GX midsize luxury SUV has been on sale since 2003 and has enjoyed some success during that time, managing to rack up to 35,420 sales in 2004 - its best year on record and easily eclipsing the company’s annual target of 20,000 units. Demand in the midsize luxury SUV segment, however, has tanked in recent years and so far this year sales have dropped more than 52%.

While many rivals may soon start pulling out of the segment altogether, Lexus intends to stick it out by launching a redesigned GX, according to inside sources who spoke with Ward’s Auto. The new model is expected to feature all-new sheet metal as well as a 310hp (231kW) 4.6L V8 in replacement of the current model’s anaemic 263hp (196kW) 4.7L V8. This new 4.6L engine, incidentally, is the same unit used in the 2010 Toyota Tundra.

The current body-on-frame platform will remain, but expect radically different styling as well as a redesigned rear door. The interior will also be fully updated, with more luxurious trim and an updated navigation system coming as standard.

The new GX will likely be called the GX 460 and bow in towards the end of the year as a 2010 model.

When contacted, Lexus General Manager Mark Templin declined to confirm the new GX but said the brand wants a continued presence in the midsize luxury segment.