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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's three-row Tribeca replacement spotted testing with Explorer and CX-9 in tow

Despite being a roomy, midsize crossover with seven seats living in a market that's mad for the genre, Subaru had a difficult time selling the Tribeca. Subie's largest automobile was one of the worst selling vehicles of 2012, which surely led to its death in 2014. The latest spy shots of Subaru's new three-row crossover reveals that the automaker is finally ready to replace the Tribeca. Our photographers managed to capture photos of Subaru's upcoming three-row crossover testing with the Ford Explorer and Mazda CX-9. The heavily disguised model doesn't appear drastically different than the dead Tribeca, but thick cladding is hiding the majority of the vehicle's features. From the front, the CUV looks to have similar triangular headlights as the old Tribeca, but have been given a sharper design. The front grille closely resembles the one found on the current Subaru Outback with three horizontal slats. The large air intake toward the bottom of the front fascia is also similar to the Outback's. The overall profile of the 'ute indicates that the new crossover will be similarly sized to the now-dead Tribeca, current Explorer, and present-day CX-9. At the back, the crossover features square taillights that are comparable to the ones found on the Forester's LED units. The prototype's dual exhaust outlets hint toward Subaru's 3.6-liter six-cylinder Boxer engine. The new seven-seater is expected to utilize Subaru's new modular architecture that will underpin the majority of the automaker's lineup. While the Tribeca was larger than its competitors, the previous model, as we pointed out in our review, had polarizing styling and a subpar interior that held the machine back. The Tribeca's replacement, which is expected to debut in 2018, should fix the previous car's issues with a rugged, sleeker exterior design and a more luxurious interior. Related Video: Featured Gallery 2019 Subaru Three-Row SUV View 16 Photos Image Credit: KGP Photography Spy Photos Subaru Crossover SUV subaru tribeca three-row three-row cuv

Subaru executive casts doubt on manual transmission future

Some disconcerting news for Subaru fans has come out from the Geneva Motor Show. Subaru's U.K. managing director told Auto Express that he doesn't see the manual transmission as having a future at the automaker. He explained that the company is really focusing on safety, and in turn Subaru's Eyesight technology. As a refresher, that system uses stereo cameras to enable features such as automatic emergency braking, lane keep assist and adaptive cruise control. The feature isn't currently available on manual-equipped Subarus, and the executive said he wasn't sure if the system was compatible. And with Subaru's push for safety and Eyesight, he said that continuing to offer manual cars without the system could undermine that push. This sounds dire at first, but we shouldn't panic yet. First, this is just an executive for Subaru's U.K. branch, not for the global company or the U.S., and car companies don't have the same offerings everywhere. For example, the Crosstrek is only offered with a CVT in Europe, but here in America – land of the free, home of the clutch – Subaru offers a six-speed manual. So, while it is possible that certain regions will have reduced or no manual options, that doesn't mean it would be across the board. View 22 Photos And even if Subaru decided it would phase out manual transmissions on most of its mainline cars, as it did with the Legacy, we can't imagine the company abandoning the transmission for its performance cars. WRX and STI fans would riot in the streets, possibly on their way to buy a next-generation Focus RS or Golf R, and the BRZ, a car built around the idea of driver engagement, wouldn't survive in a market with the Miata. Subaru may want to improve safety, but they're still a for-profit company, and sales of its performance cars would surely tank without a manual option. One more reason not to fret is that, while Subaru doesn't currently have a manual-compatible suite of semi-autonomous safety features, that doesn't mean it's impossible. As it so happens, Mazda offers low-speed automatic emergency braking as a standard feature on all its models in every trim. Mazda also has higher-speed emergency braking, lane keep assist and adaptive cruise control as options, and they are compatible with manual transmission cars. You can order up a top trim Mazda3 Grand Touring with a manual transmission right now. Keeping all this in mind, we think it's highly unlikely that Subaru will abandon the manual transmission.