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Subaru to drop industrial products, focus on making cars

Subaru, the company formerly known as Fuji Heavy Industries, said Monday it is ceasing production of its industrial products after more than 60 years in order to focus on its core automotive business. The change was effective Sept. 30. "By concentrating management resources on Subaru's core automotive business, the company will further reinforce its business structure in the aim of substantially enhancing the Subaru brand and achieving even greater sustainable growth," the company said in a statement. The move appears to mark the culmination of a steady retrenchment from its industrial business. Fuji Heavy Industries Ltd. last year announced it was changing its name to Subaru Corp. in order to strengthen the brand and focus on its core automotive and aerospace business. It also moved to integrate its Industrial Products Company within Subaru's automotive business effective Oct. 1, 2016. Subaru is a Japanese name for the Pleiades star cluster, and it symbolizes the six companies that merged to form Fuji Heavy Industries in 1953. Subaru's aerospace division is a contractor for the Japan Defense Agency. The automaker's industrial products business began in 1951 when its former Omiya Fuji Industries Co. Ltd. began production of the 540 cc M6 engine. Subaru says its Industrial Products Co. Ltd. affiliate will continue to handle after-sales service of Subaru-built generators, pumps and engines used in construction, agriculture and industrial equipment. The company also says it will cease manufacturing engines for installation in other vehicles as supply contracts expire. Meanwhile, Subaru is busy reorganizing its plant in Lafayette, Ind., to begin production of the Ascent, a three-row, eight-passenger crossover based on its Viziv-7 concept that debuted late last year. Related Video:

Subaru ending Tribeca production in January?

The writing has been on the wall for some time, but it seems that Subaru is finally pulling the lever on the guillotine to put the midsize Tribeca crossover out of its misery. Jalopnik has what appears to be a communication from Subaru to its dealers announcing that the final Tribeca will roll off the Lafayette, IN assembly line in January, with the last dealer delivery expected to occur the following month.
The last report we heard regarding the Tribeca said that Subaru could be planning a fullsize, three-row crossover, possibly to compete against the Nissan Pathfinder and Ford Explorer. Dropping the Tribeca would leave the automaker without a three-row crossover for the foreseeable future, but according to the memo, Subaru has sold just 78,000 Tribecas since 2005 making it one of the worst-selling vehicles in the US in 2011 and 2012 - for comparison, the automaker has already found 84,372 customers for its new Forester this year (through September) alone.
We have reached out to Subaru for comment on the Tribeca's passing, but have yet to hear back as of this writing. Stay tuned for an update, when and if we get word.

10 automakers shack up in Detroit hotel to talk Takata airbags

Since Takata has decided not to take the lead concerning potential issues with its airbag inflators, the automakers have. Perhaps that's unsurprising, since it's the automakers, not Takata, that will take a beating on the dealership floor if consumers decide its models are a health hazards. The Detroit News reports that Toyota, Honda, General Motors, Ford, Chrysler, Mazda, BMW, Nissan, Mitsubishi and Subaru met in a hotel conference room near the Detroit Metropolitan Airport last week to sort out a way to understand the technical issues involved. So far, faulty airbag inflators have been ruled the cause of five deaths and 50 injuries around the world, but neither Takata nor investigators understands exactly why the inflators are malfunctioning. The National Highway Traffic Safety Administration recently asked Takata to issue a national recall, Takata declined, citing a minuscule failure rate and the fact that it's still investigating the issue. Toyota and Honda then made an industry-wide appeal for "a coordinated, comprehensive testing program" that would pinpoint the problem inflators and get them replaced, and that's what the Detroit meeting was about. Numerous issues, however, will make this a long row to hoe: simply getting the parts to replace the nearly 20 million inflators in cars recalled around the world so far - even working with other suppliers - will take a years, but more importantly, no one knows if the replacement inflators currently being installed will suffer the same issue. Answers will hopefully come quickly with Takata, the ten automakers and NHTSA all independently investigating the problem.