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Subaru to stop building Camry for Toyota in the US

It was back in 2007 that Subaru of Indiana Automotive, under contract from Subaru minority shareholder Toyota, built the first Toyota Camry at its plant in Lafayette, Indiana. Rumblings of the end of that contract work have been around for a while, as Subaru talked of expanding capacity to build more units and add a line for the Impreza, and Toyota talked of moving Camry production to its Georgetown, KY plant. The news was official internally last November when SIA Executive Vice President Tom Easterday told the Louisville Courier-Journal that Camry production would end. Now, Automotive News reports that both automakers have admitted publicly that the end will come in 2016.
SIA currently has a 170,000-unit capacity devoted to the home-brand Legacy and Outback models, while a $400-million expansion increases that to 300,000 units to prepare the facility for Impreza production in two years. Freeing up the 100,000 units of production devoted to the Camry means a 400,000-unit capability, which is far more than Subaru needs at the moment, but the Toyota exit will allow it to expand any way it sees fit. Subaru has said it will absorb the workers on the Camry line and no jobs will be lost, the mayor of Lafayette saying the development could change the timetable for the expansion.

California adapts ZEV mandate with PHEVs for smaller automakers

California is the nation's largest market for zero-emissions vehicles with over 100,000 of them estimated to be on the roads there. The state's goal is to keep that number growing every year. To that end, the California Air Resources Board is now tweaking its rules in a way that might not boost ZEVs but could mean more plug-in hybrids for the Golden State. Jaguar Land Rover, Mazda, Mitsubishi, Subaru, and Volvo asked for an exemption to the state's zero-emissions vehicle mandate last year due to their relatively small development budgets compared to larger automakers. CARB denied their request but did craft a compromise, according to Automotive News. Rather than being required to offer a ZEV in the state, companies with an annual global revenue of less than $40 billion, like those in this group, may instead sell plug-in hybrids to earn ZEV credits. The companies aren't completely off the hook, though. If these plug-in hybrids don't earn enough credits, the corporations must buy them on the market to make up the difference. Automakers with popular electric models like Nissan and Tesla have made a big business through this trading system by selling their surplus to rivals. Tesla alone pocketed $51 million in the first quarter from this part of its business, according to Automotive News. The changes to the regulations also aren't set in stone, yet. CARB is meeting in 2016 and could adjust things further at that time. Related Video: News Source: Automotive News - sub. req. via Hybrid CarsImage Credit: Justin Sullivan / Getty Images Government/Legal Green Jaguar Land Rover Mazda Mitsubishi Subaru Volvo Emissions Electric Hybrid California zev credits zero emissions vehicle

2015 Subaru WRX looks to set a new benchmark in LA

Subaru has just taken the wraps off of the new, 2015 WRX at the 2013 Los Angeles Auto Show. The totally redesigned sedan - the five-door option won't be offered - is more powerful, more fuel efficient (with the right transmission), better looking and more intelligently designed than the car it's replacing.
A new 2.0-liter, direct-injected, turbocharged flat-four sits thumping away under the hood, its top-mount intercooler getting force-fed air by a rather prominent hood scoop. Power output sits at 268 ponies and 258 pound-feet of torque, accessible between 2,000 and 5,000 rpm. While the new car only has a three-horsepower advantage on the current Impreza WRX, it delivers 14 more pound-feet of torque and delivers peak output across a much wider swath of the rev range (the old car netted 244 lb-ft at 4,400 rpm). All this extra grunt comes at a negligible weight penalty - a 2015 WRX with the six-speed manual is just 59 pounds heavier than a 2014 model.
As we said, a six-speed manual is will be available, and as a bonus, it packs one additional cog over the current, 2014 WRX's five-speed DIY transmission. So equipped, the WRX will scamper to 60 in just 5.4 seconds. As for the previously-confirmed continuously variable transmission, it will come with both six- and eight-speed manual shift modes, but will take half a second longer to get to the magical 60-mile-per-hour mark.