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Subaru boosting US capacity thanks to strong sales

It is very, very good to be Subaru right now. The company is rolling, with its global operating profits increasing 21 percent last quarter. While part of that is due to favorable currency conditions, the simple fact is that Subaru is selling a hell of a lot of cars, particularly in North America. The company's North American branch is expected to hit its sales goal of 600,000 units per year five years ahead of schedule, after moving 570,000 units in the recently completed fiscal year (remember, the Japanese fiscal year runs from April 1 to March 31). Last quarter alone, Subaru NA saw a 12 percent increase in sales, significantly more than either the company's home market or the increasingly vital Chinese market, where sales declined by one and 14 percent, respectively. With such promising results, it's no surprise that Fuji Heavy Industries President Yasuyuki Yoshinaga announced plans to bump up production at the company's Indiana factory. Yoshinaga-san is pushing for annual capacity of 394,000 units by the end of calendar year 2016, Automotive News reports, adding that inventory levels in the US are too low. "If only we had more cars, we could be selling more," Yoshinaga told AN during a news conference. FHI's previous plans for the factory were much less aggressive. Originally, production would be expanded to 328,000 units by 2017, AN reports, with an eye towards a full 400,000 units per year by 2021. With 394,000 rolling out of the Lafayette, IN factory by next year, though, it's clear how keen Subaru is to take advantage of such strong demand. News Source: Automotive News - sub. req.Image Credit: Dave Umberger / Associated Press Earnings/Financials Subaru sales fuji heavy industries

Japan is the only country to get this WRX S4 tS

Before the Impreza switches to a new platform, Subaru is wringing more limited editions out of the old one. The most recent, the Subaru WRX S4 tS, is a Japan-only special that is based off of the WRX S4 model released a few years ago. Underneath the hood, the WRX S4 tS gets the same modified 2.0-liter turbocharged flat-four from the WRX S4 that generates 296 horsepower and 295 pound-feet of torque. The modified engine produces 28 horsepower and 37 pound-feet of torque more than the standard WRX, and is only five horsepower off the turbocharged 2.5-liter Boxer engine in the WRX STI, while making more torque. The handling has been improved thanks to a similar setup to the one on the WRX STI S207, another Japan-only model released last year, that features adjustable DampMatic II front suspension from Bilstein, along with other goodies. The exterior gets 19-inch BBS forged aluminum wheels, red pinstripes on the front grille and rear bumper, and a large front spoiler. On the inside, the WRX S4 tS benefits from Recaro bucket seats and a luminescent speedometer. The sedan is also equipped with Subaru's advanced safety features in the form of EyeSight. Japanese enthusiasts can also choose a more hardcore option with the NBR Challenge Package that commemorates the automaker's victories in the SP3T class of the Nurbrugring 24 Hours in 2015 and 2016. The sportier model gets 19-inch wheels from BBS, a carbon-fiber rear wing, special badging, and a suede-lined steering wheel on the inside. We reached out to Subaru to see if the vehicle would be sold in the US, but the spokesperson refused to comment. With the WRX S4 and the S207 being Japan-only models, we doubt the new limited edition WRX S4 tS would be offered outside of Japan. Related Video:

California adapts ZEV mandate with PHEVs for smaller automakers

California is the nation's largest market for zero-emissions vehicles with over 100,000 of them estimated to be on the roads there. The state's goal is to keep that number growing every year. To that end, the California Air Resources Board is now tweaking its rules in a way that might not boost ZEVs but could mean more plug-in hybrids for the Golden State. Jaguar Land Rover, Mazda, Mitsubishi, Subaru, and Volvo asked for an exemption to the state's zero-emissions vehicle mandate last year due to their relatively small development budgets compared to larger automakers. CARB denied their request but did craft a compromise, according to Automotive News. Rather than being required to offer a ZEV in the state, companies with an annual global revenue of less than $40 billion, like those in this group, may instead sell plug-in hybrids to earn ZEV credits. The companies aren't completely off the hook, though. If these plug-in hybrids don't earn enough credits, the corporations must buy them on the market to make up the difference. Automakers with popular electric models like Nissan and Tesla have made a big business through this trading system by selling their surplus to rivals. Tesla alone pocketed $51 million in the first quarter from this part of its business, according to Automotive News. The changes to the regulations also aren't set in stone, yet. CARB is meeting in 2016 and could adjust things further at that time. Related Video: News Source: Automotive News - sub. req. via Hybrid CarsImage Credit: Justin Sullivan / Getty Images Government/Legal Green Jaguar Land Rover Mazda Mitsubishi Subaru Volvo Emissions Electric Hybrid California zev credits zero emissions vehicle