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Subaru investing $400 million for Impreza production in Indiana

As a part of a goal to increase its US sales tally up to 500,000 annual units by the end of the decade, Subaru is investing $400 million in its Lafayette, IN assembly plant in order to start building the Impreza in 2016. According to Automotive News, about half of that investment will be for a new paint plant while another big chunk will be used to extend the assembly line to allow for the increased capacity.
Currently, Subaru's Lafayette plant is responsible for building about 200,000 Legacy, Outback and Tribeca models each year (not including around 100,000 Toyota Camry sedans), but Subaru-specific output will be increased to 300,000 units, requiring an additional 900 new hires as well. Although a previous report suggested the Forester and Impreza would be moving Stateside, this AN article only mentions the hatchback and sedan versions of the Impreza being added to Lafayette - and no mention of the closely related XV Crosstrek.

Takata recall of 10 million replacement airbag inflators could get even larger

Takata is recalling 10 million replacement air bag inflators in the United States, the largest ever auto safety recall in history, as U.S. regulators consider whether to expand its scope to include modules that have not yet been the subject of a recall campaign.  Nearly every OEM that sells cars in the U.S. falls under the umbrella of this replacement part recall, including the Detroit Three, Honda, Toyota, Nissan, BMW, Daimler, Subaru and Volkswagen (including Audi).  The 10 million inflator recall made public in early January covers inflators that were a temporary fix. The figure includes some replacement modules that never made it into customer vehicles. Several automakers, including Subaru, have already initiated campaigns to replace the previously recalled inflators with updated parts. Separately, the National Highway Traffic Safety Administration (NHTSA) is assessing whether to compel the recall of tens of millions of additional Takata air bag inflators that have a drying agent. It is also reviewing petitions from General Motors Co to avoid recalling more than 6 million vehicles with Takata inflators. GM has said it could cost $1.2 billion if it had to recall the vehicles. Prior to Wednesday, 41.6 million U.S. vehicles equipped with 56 million defective Takata air bags have been recalled because the inflators can explode when deployed. At least 25 deaths worldwide and more than 290 injuries have been linked to faulty Takata inflators. The Takata recalls cover about 100 million inflators among 19 major automakers worldwide. NHTSA says the cause of the inflator explosions that can emit deadly fragments is propellant breaking down after long-term exposure to high temperature fluctuations and humidity. The vehicle inflators recalled to date do not have a drying agent. Under a 2015 consent order, Takata had to provide data to U.S. regulators by Dec. 31 about whether tens of millions of additional so-called desiccated inflators need to be recalled. Acting NHTSA Administrator James Owens told Reuters the agency was reviewing data on the desiccated inflators and talking to automakers. "We are going to lean in on safety and if we detect a safety problem we will immediately take action," Owens said, adding that the agency could make a decision early in 2020.

Subaru debuts Euro-spec XV and Forester e-Boxer hybrids

The biggest story out of the Subaru camp in Geneva is the new Viziv Adrenaline concept, but two more pedestrian reveals have much higher impacts on immediate production. Subaru debuted the new e-Boxer hybrid powertrain in both the Forester and the XV, the first electrified Subarus for Europe. The unveilings come after Subaru showed off the Forester STI e-Boxer concept at the Tokyo Auto Salon, which somewhat predicted what we'd see here. Unlike America's XV Crosstrek hybrid that uses a plug-in setup, these models are cordless. In fact, from the outside, the only real indication these are hybrid models are a couple tiny badges on the front quarter and the rear, as well as some trim-specific styling. Both the XV and the Forester use the same e-Boxer powertrain. It combines a horizontally opposed 2.0-liter four-cylinder engine that's rated at 148 horsepower and 143 lb-ft of torque and a 16-horsepower electric motor that's integrated into the transmission. Energy is stored in an 118-volt lithium-ion battery pack that has a maximum output of 13.5 kW. This powertrain is paired with Subaru's Lineartronic transmission and symmetrical AWD in both models. Subaru is quick to point out the advantages of the placement of the hybrid powertrain. Because the battery is located on the rear axle, e-Boxer cars have not only a lower center of gravity than the traditional ICE models, they also have better weight distribution. Both characteristics should improve the handling and ride quality of both vehicles. Subaru did not give further details on fuel efficiency numbers or pricing, but it expects to have the Forester and XV e-Boxers on the road in Europe by fall 2019. There is no word yet as to whether the e-Boxer powertrain could come to America, but it's unlikely considering the XV PHEV already exists here. News Source: Subaru Green Geneva Motor Show Subaru Crossover Hybrid subaru xv crosstrek