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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

Subaru suppliers rely on gray market labor

The Subaru Forester is currently the Japanese brand's bestselling model in the US. A new investigation by Reuters is making some scathing allegations about how the popular model is actually made, though. The piece claims that many of Subaru's suppliers in Ota, Japan, are using low-paid foreign workers and asylum seekers to produce components that go into the CUV. The report says that these laborers are coming from places like China and Bangladesh, and they allegedly receive a pittance compared to their Japanese counterparts. Many said that they get about $6.60 an hour, but employment brokers can take a large portion of that pay. At just four suppliers Reuters estimates there are 580 foreign workers, or about 30 percent of the total workforce. The situation has turned Ota into a cultural melting pot because of the significant population of immigrant labor. The problem stems in part from Japan's tiny labor market, and the country's odd asylum system that doesn't allow some applicants to work legally. These suppliers produce many components for the Forester, including the seats, shocks, and fuel tanks. Reuters admits that the businesses have contracts with other Japanese automakers, as well, but Subaru receives the main focus of this piece, which you can read in full, here. When asked for comment about Reuters' report, Subaru of America provided Autoblog with the following statement: "Fuji Heavy Industries does not condone the exploitation of any class of worker, either in its own operations or within its supply chain. FHI expects all employees to be treated fairly, with dignity and respect and to be provided with appropriate workplace protections. The FHI CSR policy respects and adheres to the law and regulations of business as well as upholding human rights and international standards of behavior and the ethical standards of our stakeholders. Our supply chain network has been made aware of our policy and expectations."

Subaru Impreza Sport Hybrid launches in Japan

Subaru is adding the Impreza Sport Hybrid to its lineup, but it's exclusive to the Japanese market for the moment. The latest Impreza variant is rated at 48 miles per gallon on the Japanese testing cycle, and it joins the XV Crosstrek as the only hybrids in Subaru's lineup. The brand doesn't currently list overall horsepower or torque specs for the new model. However, given that they share a 2.0-liter boxer four-cylinder engine, CVT, all-wheel drive, and battery packs mounted under the rear cargo floor, figures similar to the Crosstrek hybrid's 160 hp and 163 lb-ft of torque seem likely. Subaru's EyeSight system is standard on all models of the hybrid Impreza, and the tech is programmed to work with the adaptive cruise control to eke out the best fuel economy possible while driving. There are also some styling tweaks, including updates to the lower air dam, revised side sills, a roof spoiler, and LED taillights. Don't get too excited about parking an Impreza Sport Hybrid in your garage any time soon, though. Subaru of America's Jessica Tullman told Autoblog, "At this point, there are no plans to bring it here." The model goes on sale in Japan on July 10 with a starting price of the equivalent of about $18,900, before the country's consumption tax. A higher trim S model with an upgraded interior goes for around $19,900. Subaru Launches "Impreza Sport Hybrid" in Japan Tokyo, June 19, 2015 – Fuji Heavy Industries Ltd. (FHI), the manufacturer of Subaru automobiles, will launch an "Impreza Sport Hybrid" on July 10, 2015, through Subaru dealerships in Japan. The new Impreza Sport Hybrid is the second fun-to-drive hybrid from Subaru, following on from the Subaru XV Hybrid launched in 2013. The motor assist function offers smooth, linear acceleration, which is teamed with sharp, sporty handling to bring out the distinctive enjoyment of driving a hybrid model while achieving fuel economy of just 20.4 km/liter (JC08 mode).*1 Designed to make optimum use of the low center of gravity and superior weight balance that characterize Subaru's unique Symmetrical All-Wheel Drive (AWD) layout, the electric motor and high-voltage batteries of the hybrid version are positioned for superb driveability. The hybrid model further enhances the appeal of the Impreza Sport lineup by embracing Subaru design values to achieve its own sporty, top-quality exterior look and a refined, up-to-the-minute interior style.