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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.

Subaru's three-row Tribeca replacement spotted testing with Explorer and CX-9 in tow

Despite being a roomy, midsize crossover with seven seats living in a market that's mad for the genre, Subaru had a difficult time selling the Tribeca. Subie's largest automobile was one of the worst selling vehicles of 2012, which surely led to its death in 2014. The latest spy shots of Subaru's new three-row crossover reveals that the automaker is finally ready to replace the Tribeca. Our photographers managed to capture photos of Subaru's upcoming three-row crossover testing with the Ford Explorer and Mazda CX-9. The heavily disguised model doesn't appear drastically different than the dead Tribeca, but thick cladding is hiding the majority of the vehicle's features. From the front, the CUV looks to have similar triangular headlights as the old Tribeca, but have been given a sharper design. The front grille closely resembles the one found on the current Subaru Outback with three horizontal slats. The large air intake toward the bottom of the front fascia is also similar to the Outback's. The overall profile of the 'ute indicates that the new crossover will be similarly sized to the now-dead Tribeca, current Explorer, and present-day CX-9. At the back, the crossover features square taillights that are comparable to the ones found on the Forester's LED units. The prototype's dual exhaust outlets hint toward Subaru's 3.6-liter six-cylinder Boxer engine. The new seven-seater is expected to utilize Subaru's new modular architecture that will underpin the majority of the automaker's lineup. While the Tribeca was larger than its competitors, the previous model, as we pointed out in our review, had polarizing styling and a subpar interior that held the machine back. The Tribeca's replacement, which is expected to debut in 2018, should fix the previous car's issues with a rugged, sleeker exterior design and a more luxurious interior. Related Video: Featured Gallery 2019 Subaru Three-Row SUV View 16 Photos Image Credit: KGP Photography Spy Photos Subaru Crossover SUV subaru tribeca three-row three-row cuv

Subaru teasing new WRX S4 model ahead of Japanese debut

The Subaru WRX range is growing just a little bit larger, at least in Japan, with the automaker's teasing announcement of a new version called the S4. Unfortunately, the company is keeping details about its latest all-wheel drive sport sedan a closely guarded secret for the moment.
From what we can glean, it appears that the S4 might be a more luxurious take on the WRX. According to the release, the name stands for the four qualities that Subaru wants the sedan to have: "'Sports performance', 'Safety performance', 'Smart driving' and 'Sophisticated feel.'" As part of this focus, the car comes with the company's EyeSight camera system. Thankfully, we don't have too long to wait to find out what all of the buzz words actually mean because Subaru is unveiling the S4 on August 25 in Japan.
The automaker also launched a teaser website for the S4 that you can cheek out, here, but at the moment it doesn't provide any more details about the new sport sedan. The site just has countdown until the August reveal. There's also no indication yet whether this potentially more premium WRX could make it US shores. Scroll down to read the Subaru's rather concise teaser for the upcoming S4.