1998 Subaru Legacy Outback Limited Low Miles Serviced Extremely Clean on 2040-cars

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Subaru says Japan car output halted due to defective part

TOKYO — Subaru Corp said its sole car factory in Japan accounting for roughly 60 percent of global production had halted output a week ago after it discovered a defect in a component procured from a supplier. The Asahi newspaper first reported the suspension at the Gunma plant on Wednesday, saying the defect was found in the power steering component. A spokesman for Subaru says the problem affecting Crosstreks and Foresters was discovered early. None of the affected vehicles had reached consumers, and won't until they've been repaired. Perhaps 10,000 cars, maybe fewer, were intended for the U.S. market. Subaru, which exports the majority of its domestically made cars, could not say when production would resume. Production at Subaru's plant in Indiana was unaffected.Related Video: Plants/Manufacturing Subaru

2019 Subaru Crosstrek PHEV will be company's first plug-in hybrid

Subaru just announced its first-ever plug-in hybrid, and it comes in the form of its third-best-selling car, the Crosstrek. This is actually fitting in a couple of ways. First off, it's a quick-selling vehicle, but also because the Crosstrek was the model used for Subaru's first conventional hybrid, introduced for the 2014 model year. Sadly, the company has yet to reveal photos of the new hybrid, hence our inclusion of photos of the old model. The Crosstrek PHEV will also have a similarity to the Subaru BRZ in the sense that it benefits from Toyota technology. The company said that the hybrid system comes from Toyota. But don't fear, Subaru fans, it's still mated to a flat-four. The crossover will, like many other PHEVs, be capable of driving in full-EV mode and in conventional hybrid mode. The company hasn't announced how much range it will have. Subaru did reveal that the new PHEV is coming soon, with an on-sale date at the end of 2018. As such we should see photos and more details in the near future. While there aren't many plug-in hybrid compact crossovers, there are a few, and they're fairly compelling. The closest competition will be the Kia Niro PHEV, which has a claimed range of 26 miles and a solid 46 mpg when running with the gas engine. It starts at $28,840. Another potential competitor is the Mitsubishi Outlander PHEV, which provides 22 miles of electric-only range and a less impressive 25 mpg with the gas engine. The Outlander does boast more cargo space thanks to its bigger body, but also has a higher base price of $35,915. Related Video:

Japan may aid carmakers facing U.S. tariff threat

TOKYO — Japan is considering giving carmakers fiscal support including tax breaks to offset the impact from trade frictions with the United States and a sales-tax hike planned for next year, government sources told Reuters on Wednesday. Going into a second round of trade talks with the United States on Sept. 21, Japan is hoping to avert steep tariffs on its car exports and fend off U.S. demands for a bilateral free trade agreement that could put it under pressure to open politically sensitive markets, like agriculture. "If the trade talks pile pressure on Japan's car exports, we would need to consider measures to support the auto industry," a ruling party official said on condition of anonymity because of sensitivity of the matter. The auto industry accounts for about 20 percent of Japan's overall output and around 60-70 percent of the country's trade surplus with the United States, making it vulnerable to U.S. action against Japanese exports. Japan's biggest automakers and components suppliers fear they could take a significant hit if Washington follows through on proposals to hike tariffs on autos and auto parts to 25 percent. Policymakers also worry that an increase in the sales tax from 8 percent to 10 percent planned for October 2019, could cause a slump in sales of big-ticket items such as cars and home. Prime Minister Shinzo Abe has twice postponed the tax hike after the last increase from 5 percent in 2014 dealt a blow to private consumption, which accounts for about 60 percent of the economy. To prevent a pullback in demand after the tax hike, the government may consider large fiscal spending later when it draws up its budget for next year, government sources said. "One option may be to greatly reduce or abolish the automobile purchase tax," one of the government sources said. The government is also considering cuts in the automobile tax and automobile weight tax to help car buyers, the source added. Reporting by Izumi Nakagawa and Tetsushi KajimotoRelated Video: Image Credit: Getty Government/Legal Isuzu Mazda Mitsubishi Nissan Subaru Suzuki Toyota Trump Trump tariffs trade