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Subaru suppliers rely on gray market labor

The Subaru Forester is currently the Japanese brand's bestselling model in the US. A new investigation by Reuters is making some scathing allegations about how the popular model is actually made, though. The piece claims that many of Subaru's suppliers in Ota, Japan, are using low-paid foreign workers and asylum seekers to produce components that go into the CUV. The report says that these laborers are coming from places like China and Bangladesh, and they allegedly receive a pittance compared to their Japanese counterparts. Many said that they get about $6.60 an hour, but employment brokers can take a large portion of that pay. At just four suppliers Reuters estimates there are 580 foreign workers, or about 30 percent of the total workforce. The situation has turned Ota into a cultural melting pot because of the significant population of immigrant labor. The problem stems in part from Japan's tiny labor market, and the country's odd asylum system that doesn't allow some applicants to work legally. These suppliers produce many components for the Forester, including the seats, shocks, and fuel tanks. Reuters admits that the businesses have contracts with other Japanese automakers, as well, but Subaru receives the main focus of this piece, which you can read in full, here. When asked for comment about Reuters' report, Subaru of America provided Autoblog with the following statement: "Fuji Heavy Industries does not condone the exploitation of any class of worker, either in its own operations or within its supply chain. FHI expects all employees to be treated fairly, with dignity and respect and to be provided with appropriate workplace protections. The FHI CSR policy respects and adheres to the law and regulations of business as well as upholding human rights and international standards of behavior and the ethical standards of our stakeholders. Our supply chain network has been made aware of our policy and expectations."

Here's the story with the Chicken Tax

Quiz America's auto enthusiasts about the vehicles they most want to see in the US market, and for every one that doesn't respond with a French hot hatchback or some diesel-powered offering, there'd be at least three that ask for some small, imported pickup truck. That won't happen, though, and we have the Chicken Tax to thank. This damnable bit of legislation affixes a 25-percent tariff to any light truck not built in the United States. That's why Honda, Toyota and Nissan build all their trucks in the United States, and it's also why pickups like the foreign-built Volkswagen Amarok, shown above, or the long-rumored Mahindra pickup aren't offered here. Wired has the story on the roots of the Chicken Tax, including how one Japanese manufacturer got around it and even delivered a vehicle to one of our country's presidents. Head over and check it out.

Junkyard Gem: 1980 Subaru 4WD Hatchback

Living in Colorado, where they might as well issue you a Subaru at the state line, I see plenty of worn-out Pleiades-badged cars in the local wrecking yards. Most of them fall into the 15-to-25-year-old age group, but I'll spot the occasional Malaise Era Subaru, from the era when the Leone was sold in North America as, simply, "the Subaru." Here's a 1980 base-level hatchback with the four-wheel-drive option, spotted in a yard just outside of Denver last month. In 1980, the US-market Subaru could be had in three trim levels (STD, DL, and GL), and as a coupe, sedan, hatchback, or wagon (the pickup version was known as the BRAT). This STD hatch is the cheapest possible Subaru available in 1980 with four-wheel-drive, and I'm just disappointed that they didn't put STD badges on the base-level cars. The driver had to choose between front- and four-wheel-drive by hand, using this lever. If you left the car in 4WD for long periods on dry pavement, you'd wear out the tires and/or break something. By 1997, all US-market Subarus had full-time all-wheel-drive, with no driver decisions about driven wheels needed. Subaru offered an automatic transmission and a five-speed-manual for these cars, but just about all buyers of late-1970s/early-1980s Subarus went with the cheaper four-on-the-floor manual. When you see a junkyard car with the keys still present, you can assume that the car ended up here after being totaled by an insurance company or traded in on a new car. A battered 39-year-old Subaru won't get much interest at the sort of auction these cars go to, and so the junkyard ends up being the next stop. The owner's manual was still in the glovebox, and of course I took at home and scanned a few pages (look in the gallery, above, for those scans). The folks at Subaru PR were interested in this book for their archives (they don't have one), so I'll make sure it gets to them soon. Rodent bedding and poop fill the engine compartment, and the employees of this yard marked the car as a hantavirus biohazard. I'd wear a mask if I needed to pull the engine from this car, because hantavirus is a real problem in Colorado and has a scary 35% mortality rate. Speaking of the engine, you're looking at 67 mighty horsepower here. With the car scaling in at about 2,200 pounds empty, drivers needed patience on uphill freeway onramps (actually, they needed patience when driving anywhere). By the standards of Japanese cars of this era, the rust problem doesn't look too bad.