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Will more efficient tech mean higher prices for Subaru?

If the latest ruling by the California Air Resources Board holds, then Subaru at least must build a plug-in hybrid in the coming years to comply with the Golden State's regulations. Fuel economy looks to improve across the board for the brand, though, thanks to $780 million going into the development of cleaner powertrains for this fiscal year alone. However, buyers might have to pay more for a Subie in the future after this boost in green spending. "Related costs are going up more than expected, bringing the profit margin downward," Fuji Heavy Industries President Yasuyuki Yoshinaga said to the Nihon Keizai newspaper in Japan, according to Automotive News. "We are a small company. We do not benefit as much from economy of scale as bigger companies, so we will have to make up for the increased costs by raising our brand value." At the moment, Subaru's electrified lineup in the US comprises just the XV Crosstrek Hybrid, but the company is reportedly planning to add more. Plus, Subie also wants to make its internal combustion engines more efficient. According to Automotive News, all of the brand's mills are getting direct injection by 2016, and cylinder deactivation and lean combustion cycles are on track for 2020. Earlier rumors also suggested that the automaker might bring the turbocharged four-cylinder boxer to more products, as well. While these more efficient models might cost more, Subaru must carefully maintain the balancing act of introducing the technology and keeping sales growing. As of May 2015, the brand had 42 straight months of year-over-year growth in the US and had record sales in the country last year. The company has already decided to significantly boost production capacity at its Indiana factory in hopes of keeping the good times rolling.

2015 Subaru Forester tS Quick Spin

When Subaru invited me to Japan and the famed Suzuka racing circuit to drive its BRZ tS, there was more on the menu than sporting coupes. The STI buffet also included the Subaru Forester tS. If you caught my BRZ tS review, the Forester follows the same idea: modified for better, more precise handling but without any increase in power. As I shared in the first tS review, and with Subaru's news at the New York Auto Show, the company plans to increase the awareness of Subaru Tecnica International – STI – over the next five years. In the case of the BRZ tS, a similarly-conceived car is coming to the US in the next few years. Such is not the story with the Forester tS. The JDM-only product was on hand to drive as further proof of what STI can do, but not as a preview to an upcoming model for sale in America. Subaru execs wouldn't go so far as to rule the idea out completely, but there was plenty of wink-nudging admitting the limited market for something like the Forester tS over here. Firmly ensconced in the "forbidden fruit" category, then, I still thought it'd be fun to report on the hot-ish, wagon-ish Forester. This one's for the other car nerds like me. Driving Notes So, what's new on this tS? Basically STI made the Forester stickier and less prone to roll under high cornering load. The same type of flexible tower brace previously found under the hood of the WRX is used here, and "flexible draw stiffeners" connect the body to the front and rear subframes for added body stiffness. The braces incorporate a very strong coil spring, and add lateral stiffness with enough give to allow the tires to stay in perfect contact with the road surface. The tires in question are 245-section Bridgestones, riding on attractive 19-inch STI wheels, both increases from the 225-section tires and 18-inch wheels that come standard in the US on the Forester 2.0XT model. The tS also has a more-powerful Brembo braking package; handy when hauling a 3,600-pound vehicle down from straightaway speeds. Subaru benchmarked the tS versus other 'sporty' SUVs and CUVs, including out and out performance variants. (Japanese professional modesty prevented Subaru reps from naming specific names, but suffice it to say that the Germans were involved.) In terms of roll rates, yaw response, slalom time, g-force and more, the Subaru's tS package shows massive improvements versus the standard Forester, and holds up to the competitive targets too.

Subaru weighing Outback vs Forester approach for seven-seater

Subaru is gearing up for a return to the seven-seat crossover segment, and it's focusing the new model on the US market, but just which approach it will take has yet to be decided. One possibility, according to Automotive News, would be to position it as a larger counterpart to the Outback wagon, with rugged off-road styling. The other would be to sell it as a big brother to the Forester, with cleaner styling. One thing Subaru most definitely does not want to repeat is the Tribeca fiasco, so we wouldn't expect the new model to carry that same nameplate. Introduced in 2006, the Tribeca's divisive front-end styling kept it from being a serious player, and it underwent a facelift only two years later. It was withdrawn from the market altogether after 2014. The company had targeted moving 36,000 units of the Tribeca each year, but sold fewer than 2,800 in America in 2011, barely over 2,000 in 2012, less than 1,600 in 2013 and just a few hundred in 2014. The new seven-seat crossover will go after the likes of the Toyota Highlander, Nissan Pathfinder and new Honda Pilot among three-row Japanese crossovers. Like those rivals, it will be built in the US for the US market – namely at Subaru's assembly plant in Indiana, the same state where the Highlander is produced. The new crossover's arrival will, according to reports, mean that the Levorg wagon offered in Japan and Europe won't be offered Stateside. Related Video: