Latest news with #Subaru
Miami Herald
8 hours ago
- Automotive
- Miami Herald
Subaru Is Making a Huge Bet on the Forester to Navigate Trump Tariffs
Japanese automaker Subaru is resting on its bestseller, the Forester crossover SUV, to be its north star as it navigates the rough seas caused by the Trump administration's heavy automotive tariffs. According to a new report by Nikkei Asia, Subaru hopes the new Forester SUV will help cushion the blow from steep tariffs and keep its footing in its most important market. At the company's annual shareholder meeting in Tokyo this week, Subaru President Atsushi Osaki made it clear that Subaru will stay committed to its stateside customers. "We'll overcome this by maintaining the U.S. as our main market and balancing it with Japan and Canada," Subaru President Atsushi Osaki said at the automaker's annual shareholder meeting on June 25. To say that Subaru depends on the United States auto market to survive would be an understatement. According to its figures, more than 70% of Subaru's global sales are in the United States-far more than its Japanese automaking rivals like Honda and Toyota. In fiscal 2024, Subaru sold 662,000 vehicles in the U.S., or 71% of its total global sales of 936,000. Despite this, Subaru's manufacturing situation leaves it vulnerable to Trump's tariffs. Roughly half of Subarus sold in the States are Japanese imports, which means they're now subject to the 25% tariffs imposed by the Trump administration earlier this year. Subaru estimates those tariffs could cost the company $2.5 billion if they do not work proactively, making its $2.79 billion operating profit from the 2024-2025 fiscal year useless. However, the atmosphere around the shareholder meeting suggested that Subaru would heavily rely on the Forester as a savior for the marque. The latest version of the brand's most popular SUV first went on sale in the U.S. in 2024 with a purely gasoline version, followed by a Toyota-developed hybrid model released earlier this year. Demand is already strong. According to figures from Subaru of America, 15,434 Foresters moved off dealer lots and into the driveways of new owners in May 2025. As of last month, 84,629 Foresters had been sold since the start of this year, a 3.5% year-over-year increase. In addition, Osaki noted that strong Forester sales in Japan could reduce the impact of U.S. tariffs. "The new Forester is performing extremely well," Osaki said. He also added that the hybrid version was selling beyond its expectations. To help further cushion its tariff impact, Subaru plans to ramp up production in its U.S. factory in Indiana, its only overseas plant that makes finished cars. Starting this fall, Subaru will invest 40 billion yen (~$277 million) to begin producing the new Forester at the plant. The factory currently churns out around 340,000 to 350,000 vehicles annually, but Osaki said it could push past 400,000 with the new investment. Still, shifting more production away from Japan caused concern among shareholders. Subaru's domestic manufacturing operations are centered in Gunma prefecture, where many of its suppliers are also based. Osaki acknowledged the dilemma, noting that boosting U.S. output is impossible without its suppliers. "It's true that it would improve our ability to deal with the tariffs, but it would be would be difficult without cooperation from all of our suppliers," Osaki said in response to shareholder questions. "We need to think about this comprehensively." Subaru itself is in a precarious position. Last month, it informed dealers that price increases would add an additional $750 and $2,055 to the cost of vehicles, depending on the model and trim. Specifically, Forester buyers got a price hike between $1,075 and $1,600, depending on trim, while Crosstrek and Impreza buyers got hit by a $750 price bump. At the time, Subaru did not explicitly cite the tariffs as the reason behind the price bumps but noted that they are a response to "current market conditions." "The changes were made to offset increased costs while maintaining a solid value proposition for the customer. Subaru pricing is not based on the country of origin of its products," it said. Fast-forward to now, it seems that Subaru is proactive in recognizing what is working and what is not, though it is tough to tell what the tariff picture will be. According to a new report by Bloomberg, Japan's chief trade negotiator Ryosei Akazawa is on his way to Washington, D.C., to hold his seventh round of trade negotiations with his American counterparts. Copyright 2025 The Arena Group, Inc. All Rights Reserved.
Auto Blog
14 hours ago
- Automotive
- Auto Blog
Subaru Is Making a Huge Bet on the Forester to Navigate Trump Tariffs
Subaru is not backing down Japanese automaker Subaru is resting on its bestseller, the Forester crossover SUV, to be its north star as it navigates the rough seas caused by the Trump administration's heavy automotive tariffs. According to a new report by Nikkei Asia, Subaru hopes the new Forester SUV will help cushion the blow from steep tariffs and keep its footing in its most important market. At the company's annual shareholder meeting in Tokyo this week, Subaru President Atsushi Osaki made it clear that Subaru will stay committed to its stateside customers. 0:01 / 0:09 Another Chinese automaker is taking the fight to Tesla Watch More 'We'll overcome this by maintaining the U.S. as our main market and balancing it with Japan and Canada,' Subaru President Atsushi Osaki said at the automaker's annual shareholder meeting on June 25. 2025 Subaru Forester Hybrid — Source: Getty Images Japanese cars, American buyers To say that Subaru depends on the United States auto market to survive would be an understatement. According to its figures, more than 70% of Subaru's global sales are in the United States—far more than its Japanese automaking rivals like Honda and Toyota. In fiscal 2024, Subaru sold 662,000 vehicles in the U.S., or 71% of its total global sales of 936,000. Despite this, Subaru's manufacturing situation leaves it vulnerable to Trump's tariffs. Roughly half of Subarus sold in the States are Japanese imports, which means they're now subject to the 25% tariffs imposed by the Trump administration earlier this year. Subaru estimates those tariffs could cost the company $2.5 billion if they do not work proactively, making its $2.79 billion operating profit from the 2024-2025 fiscal year useless. Workers assemble vehicles on the production line at the Subaru Corp. Gunma Yajima Plant in Ota, Gunma Prefecture, Japan. — Source: Getty Images However, the atmosphere around the shareholder meeting suggested that Subaru would heavily rely on the Forester as a savior for the marque. The latest version of the brand's most popular SUV first went on sale in the U.S. in 2024 with a purely gasoline version, followed by a Toyota-developed hybrid model released earlier this year. Autoblog Newsletter Autoblog brings you car news; expert reviews and exciting pictures and video. Research and compare vehicles, too. Sign up or sign in with Google Facebook Microsoft Apple By signing up I agree to the Terms of Use and acknowledge that I have read the Privacy Policy . You may unsubscribe from email communication at anytime. Demand is already strong. According to figures from Subaru of America, 15,434 Foresters moved off dealer lots and into the driveways of new owners in May 2025. As of last month, 84,629 Foresters had been sold since the start of this year, a 3.5% year-over-year increase. In addition, Osaki noted that strong Forester sales in Japan could reduce the impact of U.S. tariffs. 'The new Forester is performing extremely well,' Osaki said. He also added that the hybrid version was selling beyond its expectations. The Subaru of Indiana Automotive Inc. (SIA) assembly plant stands in Lafayette, Indiana. — Source: Ty Wright/Bloomberg via Getty Images To help further cushion its tariff impact, Subaru plans to ramp up production in its U.S. factory in Indiana, its only overseas plant that makes finished cars. Starting this fall, Subaru will invest 40 billion yen (~$277 million) to begin producing the new Forester at the plant. The factory currently churns out around 340,000 to 350,000 vehicles annually, but Osaki said it could push past 400,000 with the new investment. Still, shifting more production away from Japan caused concern among shareholders. Subaru's domestic manufacturing operations are centered in Gunma prefecture, where many of its suppliers are also based. Osaki acknowledged the dilemma, noting that boosting U.S. output is impossible without its suppliers. 'It's true that it would improve our ability to deal with the tariffs, but it would be would be difficult without cooperation from all of our suppliers,' Osaki said in response to shareholder questions. 'We need to think about this comprehensively.' Final thoughts Subaru itself is in a precarious position. Last month, it informed dealers that price increases would add an additional $750 and $2,055 to the cost of vehicles, depending on the model and trim. Specifically, Forester buyers got a price hike between $1,075 and $1,600, depending on trim, while Crosstrek and Impreza buyers got hit by a $750 price bump. At the time, Subaru did not explicitly cite the tariffs as the reason behind the price bumps but noted that they are a response to 'current market conditions.' 'The changes were made to offset increased costs while maintaining a solid value proposition for the customer. Subaru pricing is not based on the country of origin of its products,' it said. Fast-forward to now, it seems that Subaru is proactive in recognizing what is working and what is not, though it is tough to tell what the tariff picture will be. According to a new report by Bloomberg, Japan's chief trade negotiator Ryosei Akazawa is on his way to Washington, D.C., to hold his seventh round of trade negotiations with his American counterparts. About the Author James Ochoa View Profile
Nikkei Asia
3 days ago
- Automotive
- Nikkei Asia
Subaru bets on new Forester SUV to overcome Trump tariff impact
Subaru will begin producing its new Forester sport utility vehicle in the U.S. from this fall. (Subaru) SEIYA OTA and TAKAKO FUJIU TOKYO -- Japanese automaker Subaru is counting on its new Forester sport utility vehicle (SUV) to weather the Trump administration's tariffs, as the company weighs how much production to shift to the U.S. The U.S. accounts for more than 70% of Subaru's sales, the highest share of any Japanese automaker. Half of those sales are exported from Japan, making the company particularly vulnerable to the auto tariffs imposed by U.S. President Donald Trump earlier this year.
Associated Press
4 days ago
- Automotive
- Associated Press
SUBARU SWEEPS PODIUM AT DUCKER CARLISLE NORTH AMERICAN PARTS BENCHMARK AWARDS
Automaker takes honors in key categories, including the three top-performing warehouses in North America CAMDEN, N.J., June 24, 2025 /PRNewswire/ -- Subaru of America, Inc. (SOA) today announced its achievements at the annual Ducker Carlisle North American Parts Benchmark (NAPB) Conference, receiving multiple awards that highlight its leadership in parts supply chain performance and operations efficiency. Over 30 OEM member companies participate in NAPB, including most of the largest motor vehicle, heavy equipment, and powersports businesses in the world, representing more than 200 industry warehouses. All seven Subaru of America warehouses, also known as regional distribution centers (RDCs), placed in the top 20 nationally in this year's 'Lines per Head per Year' category, with five facilities ranking in the top 10. Additionally, in the competitive Top Performing Warehouse category, which analyzed over 200 manufacturer sites across the U.S., Subaru swept the podium, with its distribution centers noted below taking the top three spots based on metrics including lines per hour, retailer claims, and adjustments, among others. Jim Pernas, Vice President - Fixed Operations - Parts Group, Subaru of America, Inc.: 'This recognition across our national network reflects the high standards of excellence embedded in every aspect of Subaru of America. We are especially proud that these top-performing sites are managed by a group of leaders who exemplify our values while remaining dedicated to upholding the quality of Genuine Subaru Parts and Accessories in close collaboration with Subaru retailers nationwide.' For the first time in SOA history, a Master RDC received an award with the Gresham Parts Master near Portland, Oregon, earning third place in the Most Improved category. Additionally, Subaru ranked second in Chargeable Claim Rate, which takes shortages and mispicks into account, showcasing the high-quality performance of the company's warehouses. The NAPB conference evaluates parts and accessories supply chain performance across North American OEMs, based on data submitted to Ducker Carlisle and compared against industry peers. For more information on NAPB, visit To learn more about Genuine Subaru Parts & Accessories, please visit About Subaru of America, Inc. Subaru of America, Inc. (SOA) is an indirect wholly owned subsidiary of Subaru Corporation of Japan. Headquartered in Camden, N.J., the company markets and distributes Subaru vehicles, parts, and accessories through a network of about 640 retailers across the United States. All Subaru products are manufactured in zero-landfill plants, including Subaru of Indiana Automotive, Inc., the only U.S. automobile manufacturing plant designated a backyard wildlife habitat by the National Wildlife Federation. SOA is guided by the Subaru Love Promise®, which is the company's vision to show love and respect to everyone and to support its communities and customers nationwide. Over the past 20 years, SOA and the SOA Foundation have donated more than $340 million to causes the Subaru family cares about, and its employees have logged over 115,000 volunteer hours. Subaru is dedicated to being More Than a Car Company® and to making the world a better place. For additional information, visit Follow us on Facebook, Instagram, LinkedIn, TikTok, and YouTube. Diane Anton Corporate Communications Manager (856) 488-5093 [email protected] Adam Leiter Corporate Communications Specialist (856) 488-8668 [email protected] View original content to download multimedia: SOURCE Subaru of America, Inc.
9 News
5 days ago
- Lifestyle
- 9 News
Gold Coast centenarian celebrates 109th birthday
Your web browser is no longer supported. To improve your experience update it here A Gold Coast woman has celebrated her 109th birthday with prawn cocktails, lamb cutlets and a sip of champagne. May Baker was born in Lismore in 1916, became a home economics teacher and was married to her late husband Ken for 60 years. Ken was a school principal and the couple travelled extensively around Australia in their caravan. May Baker was born in Lismore in 1916, became a home economics teacher and was married to her late husband Ken for 60 years. (Nine) The great-grandmother of eight now lives in the Golden Age aged care facility in Southport, where she today celebrated with family and friends who reflected on her long life. Having survived two world wars and personal health challenges, including bowel cancer at age 65, she was described by her son, Ian, as resilient. "It looked like the end and [yet] here she is," he said. Her son Keith attributed her longevity to her calm demeanour. "I don't recall mum ever shouting or yelling at me," he said. Her son Keith attributed her longevity to her calm demeanour. (Nine) Baker has already received seven letters from Queen Elizabeth II and two from King Charles III and intends to stick around a little longer. "I suppose it'll catch up with me before too long," she said. This article was produced with the assistance of 9ExPress . 9ExPress national queensland Gold Coast CONTACT US Auto news:Is this the next Subaru WRX? Mysterious performance car teased.
