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Subaru to drop industrial products, focus on making cars

Subaru, the company formerly known as Fuji Heavy Industries, said Monday it is ceasing production of its industrial products after more than 60 years in order to focus on its core automotive business. The change was effective Sept. 30. "By concentrating management resources on Subaru's core automotive business, the company will further reinforce its business structure in the aim of substantially enhancing the Subaru brand and achieving even greater sustainable growth," the company said in a statement. The move appears to mark the culmination of a steady retrenchment from its industrial business. Fuji Heavy Industries Ltd. last year announced it was changing its name to Subaru Corp. in order to strengthen the brand and focus on its core automotive and aerospace business. It also moved to integrate its Industrial Products Company within Subaru's automotive business effective Oct. 1, 2016. Subaru is a Japanese name for the Pleiades star cluster, and it symbolizes the six companies that merged to form Fuji Heavy Industries in 1953. Subaru's aerospace division is a contractor for the Japan Defense Agency. The automaker's industrial products business began in 1951 when its former Omiya Fuji Industries Co. Ltd. began production of the 540 cc M6 engine. Subaru says its Industrial Products Co. Ltd. affiliate will continue to handle after-sales service of Subaru-built generators, pumps and engines used in construction, agriculture and industrial equipment. The company also says it will cease manufacturing engines for installation in other vehicles as supply contracts expire. Meanwhile, Subaru is busy reorganizing its plant in Lafayette, Ind., to begin production of the Ascent, a three-row, eight-passenger crossover based on its Viziv-7 concept that debuted late last year. Related Video:

Toyota, Mazda drop Takata as Mitsubishi, Subaru weigh options

It's not a very good time to be Takata right now. Fresh on the heels of longtime partner Honda ditching them, Toyota and Mazda have both come out and said they will not use the company's airbag inflators if they continue to rely on ammonium nitrate. Bloomberg reports that Subaru and Mitsubishi are also contemplating a divorce. "The inflator using ammonium nitrate produced by Takata will not be adopted by Toyota," President Akio Toyoda said during a briefing today. "What's most important above anything else is the safety and peace of mind of customers." Mazda echoed that position, simply saying it "will not use Takata airbag inflators which contain ammonium nitrate in our new cars." When you lose three huge OEM accounts in as many days, it's certainly going to have a deleterious effect on your fortunes. In Takata's case, that's meant a staggering 39-percent drop in their share price over the last three days. Yesterday alone, the company saw a 6.2-percent fall, Bloomberg reports. As the business publication reports, though, Takata isn't going down without a fight. The company is "considering some plans to survive," including a fundraising plan that will see it potentially offer up additional shares for sale. Still, at least one analyst doesn't see whatever company survives staying involved in the airbag inflator business. "I really don't see how they're going to be able to survive as an inflator manufacturer," Valient Market Research founder Scott Upham told Bloomberg. "When your major clients publicly come out and say that they're not going to use your products anymore, it makes this very difficult to sustain your business." News Source: Automotive News - sub. req.Image Credit: Carlos Osorio / AP Honda Mazda Mitsubishi Subaru Toyota Safety supplier

With the Subaru Viziv Performance Concept, be careful getting your hopes up

Subaru fans have reason to be excited. The company revealed the Viziv Performance Concept at the Tokyo Motor Show, and it's pretty obvious that it's a preview of a future WRX. The big vents, hood scoop, fenders, and its sedan profile all shout WRX. Someone from Subaru's design department even confirmed that the study could influence the next model. While admiring the concept's lines and imagining the next model, we, as well as some of our commenters, realized that we should keep our hopes and expectations low. The reason for this is that Subaru pulled a bit of a bait-and-switch with WRX styling before, back in 2013. That year, the company revealed the WRX Concept. It, like the Viziv Performance Concept, was a vented, scooped, flared, low-roof interpretation of the next WRX. Everyone loved it, and they were psyched to see a Subaru that could truly be described as beautiful, rather than say, unique, or interesting, or different, or any other kindhearted euphemism. View 11 Photos Then Subaru unveiled the production WRX for 2015. To the company's credit, it did manage to include design cues from the concept such as the fender flare lines and fascia shape, and it shared very few exterior panels with the Impreza. Unfortunately, it was still based on the Impreza platform, and those lines had to be pulled in and compressed onto the tall and narrow economy car. Without the low roof, ultra-wide fenders, and long, defined trunk, the car lost a lot in translation. The result thoroughly disappointed, and on occasion infuriated, fans. Basically, we've been burned before by Subaru's concepts. Heck, if you want more proof, take a look at the Subaru BRZ STI Performance concept that had a turbocharged engine. And yet, we still have no turbo BRZ on the market. But just because we're trying to be realistic doesn't mean Subaru won't surprise us with a close-to-concept WRX in the future. And the company is showing some signs that its concepts are more realistic. Looking at the evolution of the Viziv-7 concept into the Ascent concept and production prototypes, it seems a lot of the original design has survived. So hope isn't lost, just tempered. Related Video: Featured Gallery Subaru Viziv Performance Concept Tokyo Motor Show View 12 Photos Tokyo Motor Show Subaru Concept Cars Performance Sedan 2017 tokyo motor show subaru wrx concept subaru viziv perfromance concept