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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

Subaru prices limited edition Hyper Blue models

In the market for a new Subaru BRZ or WRX STI but aren't interested in World Rally Blue or any of the other shades on offer? Prefer your car look like a very loud, boxer-powered smurf? Then get in line for one of the limited-edition Hyper Blue models. We've covered these two before, but now, Subaru has released the pricing details on the rare models. All 500, manual-only Hyper Blue BRZs will be sold for $28,845, or just $655 more than the 2016 BRZ Limited 6MT. If you prefer more power and an extra set of doors, the 700 special-edition STI demands $39,790, which is $4,300 more than the base STI, but $1,000 less than the range-topping Limited model. In addition to their paint, the Hyper Blue models add black alloy wheels – 17-inchers for the BRZ and 18-inch BBS-branded hoops for the STI – black badges, and black wing mirrors. In the case of the BRZ, the cabin even gets Hyper Blue accents throughout the cabin, including contrast stitching on the seats, shift boot, and emergency brake handle. Read on for the full press release from Subaru detailing the pricing and equipment options. SUBARU ANNOUNCES PRICING ON LIMITED EDITION 2016 SERIES.HYPERBLUE BRZ AND WRX STI MODELS Production limited to 700 WRX STI & 500 BRZ BRZ receives upgraded SUBARU STARLINK® Multimedia Rear Vision Camera now standard on BRZ Exclusive Hyper Blue exterior paint and interior trims Cherry Hill, N.J. - Subaru of America, Inc. has announced pricing on 2016 Series.HyperBlue limited edition BRZ and WRX STI models. Production is limited to 700 WRX STI and 500 BRZ cars for the United States. Vehicles arrive in retail locations this fall. The $38,995 Series.HyperBlue WRX STI brings exclusive Hyper Blue stitching to the standard Alcantara® seats, leather-wrapped steering wheel, manual transmission shifter boot, and console as well as carpeted floor mats with the traditional Cherry Red STI logo. The Series.HyperBlue WRX STI wears 18-inch BBS® Black Alloy wheels and black exterior badging as well as exterior mirrors. SUBARU STARLINK 7.0" Multimedia Navigation System comes standard on this trim with 9 Harman/Kardon® speakers and 440-watt amplifier. Powered by a 305-horsepower 2.5-liter turbocharged/intercooled BOXER engine, the WRX STI helped to pioneer the sport compact segment with a rally-bred drivetrain and Multi-Mode Driver Controlled Center Differential (DCCD) and Symmetrical All-Wheel Drive.

West Coast labor dispute hampers Japanese automakers' US plants

The ongoing labor dispute between the International Longshore and Warehouse Union and port owners along the West Coast is starting to affect more Japanese automakers building vehicles in the US. The issue already forced Honda and Subaru to take the expensive option of airlifting some parts into the US weeks ago, and according to USA Today, Toyota and Nissan have begun doing so, as well. The choice hasn't been cheap, though, and Subaru's chief financial officer estimated that the decision cost around $60 million more per month than sending components by cargo ship. The effects continue to radiate, according to USA Today, and shortages of some models are possible. Honda is slowing production at its factories in Ohio, Indiana and Canada because the automaker doesn't have enough transmissions and electronics for some vehicles. Toyota already cut back on overtime at some factories. Nissan has only seen a small effect from the issue, though, because of its local suppliers. Dock workers and port owners have been negotiating on a new contract since last year, and the union has organized work slowdowns in response. According to USA Today, the automakers could move shipments to Canada or Mexico, but it would take longer for parts to arrive. News Source: USA TodayImage Credit: Mark Ralston / AFP / Getty Images Earnings/Financials Plants/Manufacturing UAW/Unions Honda Nissan Subaru Toyota shipping port labor dispute