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Subaru CEO expects record U.S. sales in 2020 despite market slowdown

TOKYO  - Subaru expects its U.S. vehicle sales to rise to a record high in 2020, as demand for its crossover models helps it buck the trend of slowing car sales in the Japanese automaker's biggest market. The company has been growing rapidly in the United States, the world's No. 2 auto market, roughly doubling the number of vehicles sold over the past six years, thanks in part to a ramp-up in local production capacity and a marketing strategy focused mainly on affluent and liberal-minded consumers. Japan's smallest automaker said that ongoing U.S. demand for its Forester and Outback models would likely boost overall sales in the country to 720,000 to 730,000 units next year, up by as much as 4.3% from the around 700,000 vehicles it expects to sell by the end of this year. "We expect the U.S. market to slow only slightly next year, so we're planning to see more growth in our sales. We think we can achieve this," CEO Tomomi Nakamura told reporters in Tokyo. He added that he saw room for the automaker to expand its share of the SUV market, which stands at around 7% at the moment, given that Subaru's SUV models outsell its Legacy and Impreza sedan models. "If competition in the U.S. SUV market continues, that segment will keep growing even as the overall market slows," he said. U.S. sales account for around 65% of Subaru's total global sales of around 1 million units. By the end of November, sales of the Forester this year had climbed 6.4% from a year ago, while sales of the Outback, its best-selling model in the country, were up 0.9%. However, the rapid growth in the country has coincided with a jump in global quality-related issues which has sapped profitability in the past year or so. (Reporting by Maki Shiraki; writing by Naomi Tajitsu; Editing by Kirsten Donovan) Earnings/Financials Subaru Crossover SUV

Subaru recalls certain 2017-2019 Impreza and Crosstrek models

Subaru will begin two recalls covering hundreds of thousands of vehicles on December 13 for engine-related issues. The first recall covers 466,205 vehicles and includes 2017-2019 Imprezas and 2018 and 2019 Crosstreks. This recall is for an Engine Control Module that could continue to power the ignition coil after the engine is shut off. That could result in a short circuit and blown fuse. Dealers will update the vehicle's software to fix the issue, and some vehicles may also need their ignition coils replaced. The second recall applies to 2017-2018 Impreza and 2018 Crosstrek models totaling 205,000 vehicles. Certain models are equipped with aluminum Positive Crankcase Ventilation valves that can come apart. If that happens, the separated components could potentially enter the engine and cause a loss of power while driving. Dealers will inspect and replace the PCV valve if necessary, unless the separated bits can't be found, in which case the engine will be replaced, free of charge. Owners with affected vehicles can contact Subaru customer service at 1-844-373-6614.

2019 Subaru Ascent crossover revealed | Big and not so bold

Just over a year after Subaru first indicated its intention to build a three-row crossover with the Viziv-7, we now get to see the end product, the 2019 Ascent. Compared with the Viziv-7 and the Ascent concept, the basic shape remains, but all of the rugged, square-shouldered detailing has been toned way down. The body is now full of soft, inoffensive lines that result in it looking more like a blown-up Outback than its own thing. It's not a bad-looking vehicle, but it isn't quite as bold as we hoped. Under the skin is a brand-new engine in the Subaru lineup. It uses a turbocharged and intercooled 2.4-liter flat-four, and the turbo is a twin-scroll unit. It produces 260 horsepower and 277 pound-feet of torque, and will help the Ascent tug on up to 5,000 pounds of whatever you want to tow. The engine is mated to a CVT that can be shifted manually through eight preset ratios via steering-wheel paddles. Power goes to all four wheels, as is the Subaru way. All Ascents also come with the X-Mode off-road setting and hill descent control, as well as 8.7 inches of ground clearance. In the cabin, Ascents can be had with seating for up to eight people. All models come standard with a second-row bench seat, while Premium trim and higher can be had with second-row captain's chairs at no extra cost. Passengers can take advantage of three-zone automatic climate control, with redundant controls for the second row. Apple CarPlay and Android Auto are standard equipment along with a 6.5-inch touchscreen infotainment system that can be optioned up to an 8-inch. As for cargo space, there's 19.6 cubic feet behind the third row, over 40 cubic feet behind the second row, and about 72 cubic feet with both rows folded. Drivers will also be able to take advantage of standard EyeSight with automatic emergency braking, lane-keep assist and adaptive cruise control. The 2019 Ascent goes on sale next summer. Subaru has not yet announced pricing. View 16 Photos Related Video: