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Subaru boosting US capacity thanks to strong sales

It is very, very good to be Subaru right now. The company is rolling, with its global operating profits increasing 21 percent last quarter. While part of that is due to favorable currency conditions, the simple fact is that Subaru is selling a hell of a lot of cars, particularly in North America. The company's North American branch is expected to hit its sales goal of 600,000 units per year five years ahead of schedule, after moving 570,000 units in the recently completed fiscal year (remember, the Japanese fiscal year runs from April 1 to March 31). Last quarter alone, Subaru NA saw a 12 percent increase in sales, significantly more than either the company's home market or the increasingly vital Chinese market, where sales declined by one and 14 percent, respectively. With such promising results, it's no surprise that Fuji Heavy Industries President Yasuyuki Yoshinaga announced plans to bump up production at the company's Indiana factory. Yoshinaga-san is pushing for annual capacity of 394,000 units by the end of calendar year 2016, Automotive News reports, adding that inventory levels in the US are too low. "If only we had more cars, we could be selling more," Yoshinaga told AN during a news conference. FHI's previous plans for the factory were much less aggressive. Originally, production would be expanded to 328,000 units by 2017, AN reports, with an eye towards a full 400,000 units per year by 2021. With 394,000 rolling out of the Lafayette, IN factory by next year, though, it's clear how keen Subaru is to take advantage of such strong demand. News Source: Automotive News - sub. req.Image Credit: Dave Umberger / Associated Press Earnings/Financials Subaru sales fuji heavy industries

2015 Subaru Outback priced at $24,895*

Just a few weeks after announcing the pricing for the 2015 Legacy sedan, Subaru is getting ready to roll out the all-new 2015 Outback with a base price $24,895, plus an $850 destination charge. Like its platform-mate, the styling could be described as an evolution of the previous generation, but the company claims big changes underneath to improve comfort. It's scheduled to starting hitting dealers this summer.
The Outback continues to share most of its mechanical bits with the Legacy, including its engines. The 2.5-liter boxer-four-cylinder gets a touch more potent with 175 horsepower and 174 pound-feet of torque, and better fuel economy at 25 miles per gallon city, 33 highway and 28 combined. The 3.6-liter flat-six-engine has 256 hp and 247 lb-ft and also sees a marginal economy improvement at 20/27/22. All models now come standard with a CVT, and Subaru's Symmetrical All-Wheel Drive gets some improvements with standard Hill Descent Control, Hill Start Assist, Active Torque Vectoring and X-Mode, a system to increase traction when needed.
The base 2.5i trim goes for $25,745 (all prices after destination), up $425 from last year's CVT base model. It comes standard with a 6.2-inch touchscreen infotainment system with a USB port and AUX input. The 2.5i Premium trim retails at $27,845, but the upgrade nets buyers dual climate zones, a 10-way power driver's seat, leather-wrapped steering wheel, all-weather package and a 7-inch infotainment system. The 2.5i Limited costs $30,845 and includes leather upholstery, 18-inch wheels, a 12-speaker stereo, heated rear seats, lane change assist, rear cross traffic alert and a power tailgate. The top The 3.6R Limited trim is $33,845 and in addition to the bigger engine features HID low-beam headlights and stainless steel dual exhaust tips.

Poor sales prompt Subaru to kill the Crosstrek Hybrid

The Subaru XV Crosstrek is a major hit. It's high off the ground, offers enough seating for five, and has Subaru's iconic all-wheel-drive system, which is exactly what modern consumers want. As we pointed out last year, Subaru posted impressive sales figures thanks to its crossover lineup, which includes the Forester, Outback, and XV Crosstrek. It turns out, though, that Subaru owners aren't interested in the hybrid variant of the crossover, as Subaru plans to axe the XV Crosstrek Hybrid, reports Cars Direct. The discontinuation of the XV Crosstrek Hybrid is due to the crossover's poor sales figures, claims Cars Direct. Subaru introduced its first-ever production hybrid, the XV Crosstrek Hybrid, in 2013 and after just three years the vehicle is being killed. As we pointed out in our review of the vehicle, the hybrid's larger price tag and marginally better fuel economy made it a tough choice over the non-hybrid models. The XV Crosstrek Hybrid starts – sorry, started – at $27,245, while the base 2.0i model has - had - a price tag of $22,445. That's $4,800 more for a vehicle that gets seven mpg better in the city and only three mpg more on the highway at 30 mpg city and 34 mpg highway. We reached out to Subaru for a comment, but haven't heard back yet. We'll update the story when we hear back from the automaker. Related Video: Featured Gallery 2014 Subaru XV Crosstrek Hybrid: First Drive View 53 Photos News Source: Cars DirectImage Credit: Copyright 2016 Jonathon Ramsey Green Plants/Manufacturing Subaru Crossover Hatchback subaru xv crosstrek subaru hybrid discontinued subaru xv crosstrek hybrid