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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's new, more powerful Crosstrek is nearly as efficient as the existing model

Subaru quietly confirmed the Crosstrek will receive a bigger, more powerful 2.5-liter flat-four engine for the 2021 model year. It hasn't released technical details yet, and it kept its silence when Autoblog reached out for more information, but fuel economy figures reveal buyers who order the new four won't spend more time at the pump. Searching for the 2021 Crosstrek on the Environmental Protection Agency (EPA) website shows two engine choices: a 2.0-liter, which has been available since the model went on sale, and a 2.5-liter, which is new for 2021. The latter's fuel economy checks in at 27 mpg in the city, 34 mpg on the highway, and 29 mpg on a combined cycle. For context, the 2.0 posts 28, 33, and 30, respectively. These are tiny differences that most motorists won't notice in real-world conditions, because fuel economy also depends on a variety of factors (like driving style). Subaru's time-tested all-wheel drive system comes standard regardless of displacement, and the EPA data (which our eagle-eyed colleagues at Motor Trend first spotted) suggest the 2.5-liter will exclusively be offered with a continuously variable transmission (CVT). The smaller flat-four's fuel economy figures drop to 22, 29, and 25, respectively, when it's bolted to the six-speed manual gearbox Subaru offers as standard. As we reported earlier, the 2.5-liter will power a Crosstrek trim level named Sport that will join the range for the 2021 model year. The existing Limited model will receive the bigger engine, too, while the rest of the range will carry on with the 2.0-liter. The extra horsepower will carry a price premium, but pricing hasn't been announced. Its horsepower and torque figures remain under wraps, too, but we're betting the Crosstrek will receive the naturally-aspirated 2.5-liter already available in the Forester, the Outback, and the Legacy. It makes 182 horsepower and 176 pound-feet of torque in all three applications, numbers that will very likely carry over to the Crosstrek's specifications sheet. The 2.0-liter is rated at 152 horsepower and 145 pound-feet of torque. Subaru will introduce the 2021 Crosstrek in the coming weeks. And, although the Impreza is very closely related to the Crosstrek, there's no indication it will also receive the 2.5-liter, though Subaru could surprise us. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.    

10 automakers shack up in Detroit hotel to talk Takata airbags

Since Takata has decided not to take the lead concerning potential issues with its airbag inflators, the automakers have. Perhaps that's unsurprising, since it's the automakers, not Takata, that will take a beating on the dealership floor if consumers decide its models are a health hazards. The Detroit News reports that Toyota, Honda, General Motors, Ford, Chrysler, Mazda, BMW, Nissan, Mitsubishi and Subaru met in a hotel conference room near the Detroit Metropolitan Airport last week to sort out a way to understand the technical issues involved. So far, faulty airbag inflators have been ruled the cause of five deaths and 50 injuries around the world, but neither Takata nor investigators understands exactly why the inflators are malfunctioning. The National Highway Traffic Safety Administration recently asked Takata to issue a national recall, Takata declined, citing a minuscule failure rate and the fact that it's still investigating the issue. Toyota and Honda then made an industry-wide appeal for "a coordinated, comprehensive testing program" that would pinpoint the problem inflators and get them replaced, and that's what the Detroit meeting was about. Numerous issues, however, will make this a long row to hoe: simply getting the parts to replace the nearly 20 million inflators in cars recalled around the world so far - even working with other suppliers - will take a years, but more importantly, no one knows if the replacement inflators currently being installed will suffer the same issue. Answers will hopefully come quickly with Takata, the ten automakers and NHTSA all independently investigating the problem.