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Subaru nixes plans for US-built XV Crosstrek

Subaru is on a sales tear, with numbers up 21 percent through the end of November compared to last year. It's been investing in its Indiana factory, and having ended its contract to build the Toyota Camry there, the 400,000-unit capacity was once seen as more than Subaru needs. At some point Subaru had plans to build the XV Crosstrek here in the US, but Reuters reports that the company has changed its mind and will build the little crossover Scooby in Japan, in the same Gunma Prefecture factory where the Impreza, BRZ and Levorg are built. The report cites "the relatively high sales price," the weakening yen versus the dollar and capacity constraints at the Indiana facility. For a planned production run of 65,000 Crosstrek units annually, the new math – especially the yen valuation, which has declined against the dollar to a rate not seen since 2007 – makes Japanese production a viable option. Subaru isn't the only manufacturer taking its toys back home, either: the Reuters report says Toyota is considering shifting some Camry production back to Nippon, while Nissan plans to do the same with the Rogue. Our guess is that if Subaru sales continue the trend they've been on for years, the assembly decision will give them more local flexibility here for addressing it. Featured Gallery 2014 Subaru XV Crosstrek Hybrid: First Drive View 53 Photos News Source: ReutersImage Credit: Copyright 2014 AOL Plants/Manufacturing Subaru Crossover subaru xv crosstrek

2015 Subaru Forester tS Quick Spin

When Subaru invited me to Japan and the famed Suzuka racing circuit to drive its BRZ tS, there was more on the menu than sporting coupes. The STI buffet also included the Subaru Forester tS. If you caught my BRZ tS review, the Forester follows the same idea: modified for better, more precise handling but without any increase in power. As I shared in the first tS review, and with Subaru's news at the New York Auto Show, the company plans to increase the awareness of Subaru Tecnica International – STI – over the next five years. In the case of the BRZ tS, a similarly-conceived car is coming to the US in the next few years. Such is not the story with the Forester tS. The JDM-only product was on hand to drive as further proof of what STI can do, but not as a preview to an upcoming model for sale in America. Subaru execs wouldn't go so far as to rule the idea out completely, but there was plenty of wink-nudging admitting the limited market for something like the Forester tS over here. Firmly ensconced in the "forbidden fruit" category, then, I still thought it'd be fun to report on the hot-ish, wagon-ish Forester. This one's for the other car nerds like me. Driving Notes So, what's new on this tS? Basically STI made the Forester stickier and less prone to roll under high cornering load. The same type of flexible tower brace previously found under the hood of the WRX is used here, and "flexible draw stiffeners" connect the body to the front and rear subframes for added body stiffness. The braces incorporate a very strong coil spring, and add lateral stiffness with enough give to allow the tires to stay in perfect contact with the road surface. The tires in question are 245-section Bridgestones, riding on attractive 19-inch STI wheels, both increases from the 225-section tires and 18-inch wheels that come standard in the US on the Forester 2.0XT model. The tS also has a more-powerful Brembo braking package; handy when hauling a 3,600-pound vehicle down from straightaway speeds. Subaru benchmarked the tS versus other 'sporty' SUVs and CUVs, including out and out performance variants. (Japanese professional modesty prevented Subaru reps from naming specific names, but suffice it to say that the Germans were involved.) In terms of roll rates, yaw response, slalom time, g-force and more, the Subaru's tS package shows massive improvements versus the standard Forester, and holds up to the competitive targets too.

Subaru supplies running low as automaker struggles to keep up with US demand

Consumers in the US are gobbling up Subaru models, a trend that may result in dealer shortages if the Japanese automaker isn't able to meet the surging demand. A quick look at the numbers reveals a 25.2 percent year-over-year jump in April US sales, and a 17-percent gain for the first quarter of 2013. The sales are so strong that the company's CEO, Yasuyuki Yoshinaga, told the Wall Street Journal that Subaru will exceed its 2016 goals (380,000 US units sold) by the end of the company's current business year. The US market has grown to be one of Subaru's best, with the company now logging about half its global sales on our shores.
While strong sales are good problem to have, the automaker has relatively limited production capacity, which may leave dealers with sparse inventory. Certain models, such as the popular Forester crossover (shown above), could hit 10,000 units this month with the plant at full capacity (far above its target of 8,000 units). On average, the US car industry has a 60-day supply of vehicles on hand, but inventory for the new Forester is at just 16 days. "If this situation persists, we'll face a supply shortage," Mr. Yoshinaga told the WSJ.
Despite being one of the smallest Japanese automakers by volume, this is all positive news for Subaru and parent Fuji Heavy Industries, which projects a second straight year of record operating profit thanks to strong US sales and a weaker yen.