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Subaru, like Nissan, admits improper checks on Japan cars, expects recalls

TOKYO — Subaru on Friday said it had failed to follow proper inspection procedures for vehicles for the domestic market, an issue likely to result in a product recall and adding to a list of compliance problems at Japanese companies. The automaker said for more than 30 years, final inspections of new vehicles at its main Gunma complex north of Tokyo were sometimes conducted by inspectors who were not listed as certified technicians, violating transport ministry requirements. The automaker said it was therefore considering recalling about 255,000 vehicles including its Legacy, Forester and Impreza models produced at the complex and sold at home, at a cost of around 5 billion yen ($43.86 million). Chief Executive Officer Yasuyuki Yoshinaga at a news conference said inspectors in training for certification to sign off final checks had been approving the checks under the names of their trainers, a process the automaker followed for over 30 years without realizing it did not meet ministry requirements. "The final inspection process is very important and we acknowledge that we did not meet requirements," Yoshinaga said. "It's always been my goal to make this company good. This issue shows that we're not there yet." Subaru said it would report details of an internal investigation to the ministry on Monday, and that it needed to better communicate requirements to workers. "It's always been my goal to make this company good. This issue shows that we're not there yet." The revelation followed a similar oversight at Nissan, while Kobe Steel has been grappling with a data fabrication scandal, tarnishing Japan's reputation for quality control. Yoshinaga said the issue was discovered during an internal inspection ordered by the ministry after Nissan late last month revealed similar violations on inspections governing vehicles sold in Japan at its domestic factories. The ministry requires certified technicians to sign off on paperwork for final inspections for vehicles produced in Japan for the domestic market. The extra step does not affect product quality and is not needed for vehicles exported overseas. Toyota, Honda and other Japanese automakers on Friday said they have reported to the ministry that they found no issues with their respective inspections. Subaru shares closed down 2.6 percent on Friday after falling more than 3 percent following media reports of the improper inspections. The broader market rose 1.2 percent.

These are the cars with the best and worst depreciation after 5 years

The average new vehicle sold in America loses nearly half of its initial value after five years of ownership. No surprise there; we all expect that shiny new car to start depreciating as soon as we drive it off the lot. But some vehicles lose value a lot faster than others. According to data provided by iSeeCars.com, trucks and truck-based sport utility vehicles generally hold their value better than other vehicle types, with the Jeep Wrangler — in both four-door Unlimited and standard two-door styles — and Toyota Tacoma sitting at the head of the pack. The Jeep Wrangler Unlimited's average five-year depreciation of 30.9% equals a loss in value of $12,168. That makes Jeep's four-door off-roader the best overall pick for buyers looking to minimize depreciation. The Toyota Tacoma's 32.4% loss in initial value means it loses just $10,496. The smaller dollar amount — the least amount of money lost after five years — indicates that Tacoma buyers pay less than Wrangler Unlimited buyers, on average, when they initially buy the vehicle. The standard two-door Jeep Wrangler is third on the list, depreciating 32.8% after five years and losing $10,824. Click here for a full list of the top 10 vehicles with the least depreciation over five years. On the other side of the depreciation coin, luxury sedans tend to plummet in value at a much faster rate than other vehicle types. The BMW 7 Series leads the losers with a 72.6% drop in value after five years, which equals an alarming $73,686. BMW's slightly smaller 5 Series is next, depreciating 70.1%, or $47,038, over the same period. Number three on the biggest losers list is the Nissan Leaf, the only electric vehicle to appear in the bottom 10. The electric hatchback matches the 5 Series with a 70.1% drop in value, but since it's a much cheaper vehicle, that percentage equals a much smaller $23,470 loss. Click here for a full list of the top 10 vehicles with the most depreciation over five years.

Subaru Impreza gets smarter, safer and sharper in Japan

Subaru quietly gave the sedan and hatchback variants of the Impreza a mid-cycle update in Japan. Both body styles now wear a sharper front-end design, and they receive additional tech features. The current, fifth-generation Impreza made its global debut at the 2017 New York Auto Show. The 2020 model introduced online in Japan stands out with a revised front fascia characterized by a wide air dam that stretches the entire width of the bumper, chrome-look L-shaped trim on either end of it, and a revised grille. The changes made to the rear fascia are largely limited to tweaked lights. All told, you need to be an eagle-eyed car-spotter to tell the face-lifted model apart from its predecessor. Buyers seeking a sportier Impreza will be disappointed, Subaru is still taking its time developing the next WRX, but those who want a more high-tech car that helps them drive will be thrilled. Every Japanese-spec Impreza regardless of trim level is now equipped with EyeSight Touring Assist, a suite of electronic driving aids that handles accelerating, braking and steering in a wide range of conditions. These features don't make the Impreza autonomous in any way, and the driver still needs to stay focused on the road ahead, but they help when driving becomes tedious. There are other, more minor upgrades on the menu. The door mirrors now tilt down when the driver selects reverse, for example, and Subaru added a front-view camera.  In Japan, the Impreza carries on with either a 1.6-liter flat-four rated at 115 horsepower, or a 2.0-liter flat-four with 154 horses on tap. The entry-level model is front-wheel drive, surprisingly, but all-wheel drive is standard on higher trims. Regardless, both engines shift through a continuously variable transmission (CVT) that offers seven pre-programmed virtual gears. The Impreza lost its manual transmission in its home country years ago, though the company's American division continues to let buyers give a shift. Subaru hasn't announced plans to make similar changes to the American-spec model and tells us "it's too early for us to release information" about that, but it's not too far-fetched to speculate we'll get an updated Impreza sooner rather than later. We might see the model break cover during the 2019 edition of the Los Angeles Auto Show in November, and it could arrive in showrooms during the 2020 model year.