2021 Subaru Wrx Sti on 2040-cars

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Subaru WRX S4 gets big power bump in Japan

A month after originally teasing it, Subaru is finally unveiling its WRX S4 model for Japan. It's a bit more than just a plush take on the sport sedan, because Subaru is fitting a more powerful version of the 2.0-liter, turbocharged boxer four-cylinder engine than we get on these shores.
The company says that S4 stands for "'Sports performance', 'Safety performance', 'Smart driving' and 'Sophisticated feel," and it certainly looks like this Rex ticks all of those boxes. The most surprising feature is the Japanese model's 2.0-liter turbo engine boasting 296 horsepower (221 kilowatts) and 295 pound-feet (400 Newton-meters) of torque in this application. That's quite a healthy upgrade over the 268 hp and 258 lb-ft that Americans get in the standard WRX, and it's even nipping at the heels of the 305 hp and 290 lb-ft from the STI with a 2.5-liter mill that we get over here.
While extra power is always welcome, enthusiasts might not be so thrilled that Subaru's Sport Lineartronic Continuously Variable Transmission is the sedan's only available gearbox. However, it offers a simulated eight-speed shifting mode when drivers notch the car into Sport# driving mode. Of course, the S4 also packs Subie's trademark all-wheel drive with Vehicle Dynamics Control and Active Torque Vectoring as standard.

Subaru will cap sales, introduce US-only SUV and PHEV

With Subaru's meteoric growth over the past few years, it seems like the company would double down on the success and expand. However, the Japanese brand has announced that it will take the opposite approach. Rather than continually increasing global deliveries, the automaker will instead cap annual volume to between 1.03 million and 1.1 million units, according to Automotive News. While the strategy will keep Subaru's niche status, the brand's lineup certainly won't stagnate. After abundant rumors, a US-only, seven-seat crossover will eventually be assembled in Indiana, and Impreza production will reportedly move there in 2016. In addition, the company will launch a plug-in hybrid around 2018, but it'll only be sold where necessary to meet zero-emissions requirements. While the Japanese brand is widely known for crossovers and wagons, Subaru isn't forgetting its performance fans, either. Fuji Heavy Industries President Yasuyuki Yoshinaga confirmed yet again that a second-gen BRZ is under development. "We have already agreed with Toyota we will do a full model change. We have not decided when it will be introduced," he said to Automotive News. Subaru has been considering whether to grow for years, but the planning eventually favored maximizing the current factories. For example, Subaru decided not to build a plant in China but has chosen to boost capacity at the line in Lafayette, IN. Yoshinaga sees the strategy as a way to maintain the brand's soul. "Many companies try to be bigger or sell more vehicles. If Subaru does the same thing, we will lose our characteristics," he said to Automotive News. Related Video:

How new car shortages may impact your buying experience

If you want further proof that the auto industry is bouncing back, look no further than the empty lots and forecourts of your local dealership. According to a story by The Wall Street Journal, continued high demand for mainstream cars is overtaxing automakers' ability to produce enough models. Several dealers interviewed for the story are reporting two-week supplies as opposed to the typical two-month allocations.
With sales expected to hit 1.4 million units when August numbers arrive shortly and incentive spending down to its lowest amount since January, these limited supplies are pushing prices even higher. For example, according to the WSJ, the average price of a Ford Fusion is up past $26,000. Unfortunately, it's difficult for manufacturers to increase production quickly. If it invests in its facilities, as many manufacturers have done, it risks wasting cash if growth suddenly slows. At the same time, the momentum gained over the past several years could be short lived if vehicle supplies continue to dwindle. "Manufacturers are in a precarious situation," notes Karl Brauer, a senior director at Kelley Blue Book.
Low interest rates and a wealth of desirable features are also allowing customers to purchase more expensive vehicles while justifying their higher overall price tags, a situation that is compounding supply shortages. Even now, during the annual end-of-summer clearance season, deals on new vehicles are remarkably difficult to come by. According to the report, the Toyota Corolla is in a self-inflicted state of shortage, as Toyota clears out inventory in anticipation of the new 2014 generation arriving in dealers. Ford's supplies should rebound as Fusion production comes on line at its Flat Rock, Michigan factory. The Chevrolet Impala, Honda Odyssey, Civic, and Accord and Subaru Forester are also facing shortages.