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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.

Kayaba, Sumitomo to pay millions for price-fixing in US

Kayaba Industry Co, which does business in the US as suspension parts maker KYB, and Sumitomo Electric Industries are facing payments in the millions to settle price-fixing cases about the components that they make. As part of the Department of Justice's ongoing crackdown of price fixing in the auto industry, KYB agreed to pay $62 million and pleaded guilty to conspiracy to set the cost of shock absorbers from the mid '90s through 2012. The company allegedly worked with co-conspirators to keep the cost of the parts high, and those components then made it into vehicles from Honda, Kawasaki, Nissan, Subaru, Suzuki, and Toyota. "Any collusive agreement among competitors to restrict price competition undercuts our free enterprise system and violates the law," said Carter M. Stewart, US Attorney of the Southern District of Ohio, in the DoJ's announcement. Over the past few years, the DoJ has brought cases against 37 parts suppliers and 55 executives, leading to over $2.6 billion in fines. The investigations haven't always been so successful – some of the Japanese execs fled from the US to avoid prosecution. Critics allege that price fixing is simply how business is done. According to Automotive News, Sumitomo Electric Industries is also facing a $50 million settlement in a civil lawsuit that's related to price fixing of parts like wiring harnesses and heater control panels. The plaintiffs include owners and dealers that purchased vehicles with these parts. The company asserts that the violations are from before 2010, and it now has different process in place to avoid further violations. KYB Agrees to Plead Guilty and Pay $62 Million Criminal Fine for Fixing Price of Shock Absorbers Kayaba Industry Co. Ltd., dba KYB Corporation (KYB) has agreed to plead guilty and to pay a $62 million criminal fine for its role in a conspiracy to fix the price of shock absorbers installed in cars and motorcycles sold to U.S. consumers. According to charges filed today, KYB conspired from the mid-1990s until 2012 to fix the prices of shock absorbers sold to Fuji Heavy Industries Ltd. (manufacturer of Subaru vehicles), Honda Motor Co. Ltd., Kawasaki Heavy Industries Ltd., Nissan Motor Company Ltd., Suzuki Motor Corporation and Toyota Motor Company, including their subsidiaries in the United States.

2016 Subaru BRZ Series.HyperBlue Quick Spin

On its own, there's not much to "review" about the Subaru BRZ's new Series.HyperBlue trim. Limited to just 500 units, the coupe wears a new shade of blue, its 17-inch wheels and exterior badges are painted black, and inside, the HyperBlue color carries over to the accent stitching and logos on the seats. I love – no, love – this color. If you're a fan of the BRZ, like cool blues, and are thinking of picking up a 2016 model year example, this is the one to get. Plus, this car doesn't have all that bolted-on visual stuff from last year's Series.Blue. HyperBlue aside, it's the same BRZ it's always been. Yes, Subaru's updated Starlink infotainment system is now available, and there's a frameless rearview mirror inside the cabin. That's about it in terms of 2016 model year updates. But it's still worth revisiting. I've driven the BRZ at home in Detroit, and it's lovely. It's got a great chassis, it uses rear-wheel drive, and it's powerful enough to have lots of fun at legal speeds. (Seriously, why does everyone keep complaining about "only" 200 horsepower? That's plenty for this lightweight.) But until now, I've never had the chance to experience this coupe on a truly great road. So during a recent trip to southern California, I took a jaunt out to Angeles Crest Highway for a day of HyperBlue antics. On the right road, this car is even more charming than I remember. Driving Notes I think the reason why some people complain about a supposed lack of power is because they aren't driving it correctly. Peak horsepower arrives at 7,000 rpm, and the full 151 pound-feet of torque is delivered at 6,400 rpm. So for spirited driving, don't even bother revving below 3,500 rpm. No, it's not the best sounding engine (what naturally aspirated flat-four is?), but don't let the noise fool you. Keep the 2.0-liter boxer on boil, and you'll find salvation in this 200-hp mill. To me, the BRZ's steering feel is second only to the Mazda Miata. The car's lightness is accurately communicated through the wheel, but it's direct, nicely weighted, and never void of feedback. Combined with a firm, balanced chassis, you get a great sense of what all four wheels are doing at any given time. Grip level and weight distribution is easy to sense while cornering, making it easier to push the car harder and harder. The tail steps out a smidge, and you know exactly how much corrective input to give. I love a car that works so seamlessly with the driver.