2018 Subaru Wrx Silver on 2040-cars

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Subaru puts China production on hold amidst slowing growth

Subaru's 2015 sales and production forecast estimates the Japanese brand to sell about 60,000 vehicles in China this year, a 10 percent rise. However, a recent decision not to build a factory there might make future growth more difficult. Given the changing state of the market, the automaker doesn't seem concerned by the potentially lost sales. According to Bloomberg, even if the Chinese government gave permission for Subaru to build its planned joint venture factory with Chery, the Japanese brand would not take advantage of it. "Since the profits are split with your partner, you would have to double the sales to maintain the profits you earn by exporting from Japan," said Akira Mabuchi, the company's executive in charge of China, according to Bloomberg. Subaru is in the odd position of being the only major Japanese automaker without a joint venture partner to build cars in China, but the massive year-over-year growth there seems to be slowing. Auto sales in China were up 6.9 percent in 2014, according to Bloomberg, compared to 14 percent in 2013. Also, Chinese consumers have been famously averse to buying Japanese vehicles with only half of the consumers there even willing to purchase one. Instead, the company is focusing on the US market, according to Bloomberg. The decision makes sense. While Subie's sales in China shrunk 2 percent in 2014 to about 55,000 vehicles, the company grew 21 percent in the US to 514,000 units. The automaker already has plans to add capacity to its factory in Indiana. News Source: BloombergImage Credit: Jae C. Hong / AP Photo Plants/Manufacturing Subaru

Subaru mulling expanding Indiana plant for Forester, Impreza

Thanks to currency fluctuations and their impact on the bottom line, a growing number of Japanese automakers are starting to increase vehicle production in the US, and it appears Subaru could be the next to do so. According to Bloomberg, Subaru is looking into expanding production capacity at its Lafayette, Indiana assembly plant, which currently builds the Outback, Legacy and Tribeca as well as the Toyota Camry.
Subaru's Indiana plant currently has an annual maximum capacity of 310,000 units, but the automaker is expecting to far exceed that figure this year, with year-to-date sales of 299,788 units through November (not including Camry) - an increase of almost 30 percent over 2011. The report indicates that Subaru could expand the plant to add as many 50,000 additional units to the plant, likely in the form of either the Forester or Impreza.

2015 Subaru WRX: Road trip to Maine [w/video]

After driving one of the best sport compacts on the market to one of the best-driving-roads states in the Union, who'd have thought that one of my big takeaways would be... great fuel economy? And yet, after putting more than 2,200 miles on our long-term 2015 Subaru WRX, driving from Ann Arbor, MI, to The Great State of Maine and back, my overall fuel consumption figures were almost as baffling as the premium-gasoline prices throughout Canada. In the early part of the now-past autumn, my wife Molly and I were happy to make use of the long-term WRX for our annual road trip from Michigan to Maine. Our goal, as ever, was to fit as much hiking, boating and lobster eating as we could into a one-week span. And, with the sporting Scoobie as our ride this time, I also hoped to spend time bombing down some of my favorite roads through the White Mountains. Anyone that pays attention to the industry knows that New England is a hot spot for Subaru sales, but it turns out that the WRX is just about tailor made for enjoying the best of Maine, too. First up, though – as it was the most surprising to me – is the fuel economy story. I knew going into the trip that I'd log more than two grand on the odometer, but I never expected the returns to be quite so positive as they ended up netting out. My total observed economy over 2,226 miles was 28.38 miles per gallon, or just a fraction better than the EPA estimated highway number of 28 mpg. How'd I do that? My total observed economy over 2,226 miles was 28.38 miles per gallon. Well, for starters, the stretch of Canadian highway between Michigan and Vermont is exceptionally long, flat, straight and dull. Excepting the inevitable traffic around Toronto, the trip is mostly of the "set it and forget it" variety, typically at a cruise of about 72 miles per hour (so as not to attract the Mounties). Doing that haul, I had one tank of premium (15.9 gallon capacity) last for 466 miles, running a trip-best 31.9 mpg. Considering that the Canadian petrol was running me roughly five American bucks per gallon, I appreciated the Subie's newfound frugality. One small issue, tangentially related to fuel, did crop up on the road. The WRX's gas door stopped popping open when I pulled the lever after my second fill up. As it turned out, there is a technical service bulletin out for this very issue, which was looked after as soon as we got back to the States.