2023 Subaru Outback Touring on 2040-cars

Auto blog

Upcoming Subaru WRX STI rumored to get hybrid drivetrain

Subaru might electrify the next-gen WRX STI. According to a rumor from Motoring in Australia citing an unnamed Subie insider, the brand's engineers reportedly have two hybrid systems under development for the future model. The move would allow the STI to boost power output and improve fuel economy and lower emissions to keep up with US regulations. According to Motoring's speculation, the next STI might use an electric motor at the back to power the rear axle and an upgraded version of the FA20 turbocharged 2.0-liter at the front. A new dual-clutch six-speed gearbox would help the power get to the road, and the total system could allegedly offer around 322 horsepower versus 305 hp from the current US model. This rumor also claims the next-gen STI would continue as a sedan when it arrives in 2017. Like previous iterations, the four-door will share underpinnings with the Impreza, which will mean a move to Subaru's new modular platform. The standard hybrid might only be the beginning of electrification for the future STI. Motoring's source also claims the company has a plug-in hybrid variant under development, but it might not debut until the 2018 Tokyo Motor Show. A hybrid STI could be exciting, but until there are solid facts, this rumor joins a long history of powertrain speculation about the high-performance Subaru. In 2008 and 2010, reports emerged about a diesel version, but it never appeared. We once even heard that the current-gen WRX might boast an electric turbo.

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 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.