Lexus models will be limited to US only.
The Japanese automaker, which is owned by Daimler AG, said it would enter US market with its new model, the Lexus XJ.
Lexus models are expected to start shipping this year, with the Lexis XJ, a compact sedan, coming out in 2019.
The automaker said it expects to make around 100,000 vehicles this year and has plans to build another 250,000 in the US by 2021.
The automaker has a global presence with more than 40 plants, and employs more than 7,000 people in the United States.
It is the first automaker to make the transition from one US-based brand to another.
In March, Ford Motor Co. announced that it would join Toyota in producing a compact crossover model called the Ford F-150, a vehicle that will go into production by 2021 in the U.S.
Toyota also announced it will produce vehicles for the U-segment in the first half of 2019, but has not yet set a date.