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Toyota to boost its Subaru stake to more than 20%

TOKYO — Toyota Motor Corp plans to raise its stake in Subaru Corp to more than 20% from around 17% now, a deal that would also see the smaller firm invest in Japan's top automaker, two people with direct knowledge of the matter said on Friday. The deal is due to be approved at a Toyota board meeting on Friday, the people said, declining to be identified because the information has not been made public. The investment would come a month after Toyota and another smaller Japanese automaker, Suzuki, said they would take small equity stakes in each other. Such tie-ups highlight how automakers are scrambling to chase scale, manage costs and boost development. Traditional car makers, especially smaller ones like Subaru and Suzuki, are struggling to meet the fast pace of change in an industry being transformed by the rise of electric vehicles, ride hailing and autonomous driving. Toyota's investment is likely to cost more than 70 billion yen ($650 million) based on Subaru's stock market value, said the Nikkei business daily, which first reported the news. Subaru is likely to reciprocate with a stake in Toyota that would roughly equal the value of Toyota's additional investment, one of the people told Reuters. The companies have long worked together on projects such as the Toyota 86 and Subaru BRZ twins. At one time, Subaru built Toyota Camrys in its Indiana plant. Representatives for both Toyota and Subaru said the news was not something that had been announced by their companies. "The plan appears to be to ultimately make Subaru a fully owned subsidiary, to help create a 'mega Toyota.' This is the first step towards that," said Takeshi Miyao, managing director of Carnorama, a consultancy. "It's all about building scale." Subaru is particularly strong in sport-utility vehicles (SUV) and all-wheel-drive technology. The two automakers in June said they planned to jointly develop an electric sport-utility vehicle on a platform produced together, to split costs. Car markers around the world have been joining forces to slash development and manufacturing costs of new technology. Ford Motor Co and Volkswagen AG have said they will spend billions of dollars to jointly develop electric and self-driving vehicles. Toyota seems to be particularly keen to build scale now by investing in smaller, domestic automakers, rather than forging cross-border tie-ups like some of its rivals.

Subaru WRX STI S209 is the most expensive production Subaru ever

We asked for it, and now we have it: The ultimate WRX STI. It’s called the STI S209, and we drove the extra-special Subaru just a few short weeks ago. Now we have a price, and itÂ’s officially the most expensive new Subaru ever. All 209 examples of the S209 will sell for $64,880. WeÂ’ll give you a second to process that, but a second most likely isnÂ’t long enough. Every one of the 209 cars will be headed to the U.S. starting in November this year — STIÂ’s shop is only able to produce 2-3 cars per day, so itÂ’ll be a slow trickle of cars being shipped over here. Previous to the S209, the Type RA was the top dog in the American WRX lineup. It cost $49,855, and offered a nice bump in performance over a regular STI. This S209 finally gives us the significant increase in power weÂ’ve been asking for all these years, but it also represents a massive effort at making the best-handling STI ever. Aftermarket modifications could get you partway there, but there will be no true equivalent to the S209 coming from somebodyÂ’s garage. We fully expect itÂ’ll be Subaru WRX STI enthusiasts who spring for the few available cars, as the $64,880 price will likely be a major roadblock for all but the true believers. At that price thereÂ’s a huge variety of other cars to choose from, many of them more desirable than an ultra-rare Subaru to some folks. Dealer markups could take this car to even greater heights, especially if a dealer finds some Subaru fanatics with money to burn. If the 341-horsepower S209 sounds like something you need to park in your garage, we suggest you get over to the nearest bank and Subaru dealer as soon as possible.

2018 Subaru Outback Buying Guide | The original crossover, explained

From outside, the 2018 Outback has a clean look that's similar to the rest of the Subaru range. The front and rear have been reshaped and fitted with new headlights and taillamps. A wide range of new wheel designs are also available, along all trim levels. Overall, it's a slightly more upscale design, which is exactly what you'll find when stepping inside. The dashboard and infotainment system have received a substantial refresh and have a more modern look and feel. Higher-quality materials help give the Outback cabin an overdue upgrade, since the previous model was starting to significantly trail its rivals when it came to interior style and amenities. Mechanically, the 2018 Outback carries on as before, with the same four and six-cylinder engine options, both of which are coupled to standard all-wheel drive and a Continuously Variable Transmission (CVT) across all trim levels. Here you'll find all the information needed to make an educated buying decision if you're considering a 2018 Subaru Outback, including safety and reliability ratings, engine specs, horsepower, fuel economy ratings and pricing. We'll also summarize what Autoblog's professional auto reviewers think of the Outback. Is the 2018 Subaru Outback Safe? The National Highway Traffic Safety Administration gives the 2018 Subaru Outback an overall crash-test rating of five stars. The Outback scored perfect five-star ratings in front and side impact tests, along with a four-star rating for rollover resistance. The Insurance Institute for Highway Safety, which provides ratings for new vehicles based on its own comprehensive crash tests, gave the Outback its "Top Safety Pick+" — the highest possible rating. The Outback scored "good" ratings in every crash test. It also earned a good rating for the effectiveness of its headlights, along the ease of use of onboard LATCH anchors for child seats. Ratings may differ for Outbacks from other model years, so be sure to visit the NHTSA and IIHS websites to review ratings on the specific vehicle you're researching. At the time of this writing, the 2018 Outback is not subject to any ongoing recalls, according to the NHTSA database. Is the Outback reliable? J.D. Power most recently reviewed initial quality in the 2016 Outback, before the current model year's significant makeover. At the time, it gave the Outback three out of five possible stars for Overall Quality — an "average" score.