Subaru will get a leg up from Toyota on new EVs

Subaru's future product plan will require it to rebalance its North American production capacity and rely on corporate partner Toyota as it begins to widen its U.S. product offerings to include more battery-electric vehicles — while still continuing to invest in its combustion-powered models.

To meet its growing demand, Subaru is expected to move production of the slow-selling Legacy sedan from its sole U.S. plant, in Lafayette, Ind., back to Japan, as it did earlier with the Impreza. But it might also discontinue the model.

AutoForecast Solutions, which tracks automaker production plans, projects that Subaru will also consolidate production of its Outback midsize crossover in Japan in 2025, despite that model's popularity in the United States. Doing so would free up capacity in the Indiana plant to expand production of the Forester and Crosstrek crossovers, while perhaps providing capacity for future EV production. That measure would help those electric vehicles qualify for the full U.S. EV tax credit. However, Automotive News has been unable to independently confirm those plans.

Until then, the brand will expand its EV relationship with Toyota, with the larger Japanese automaker building a new three-row electric crossover in Kentucky to join the Solterra in Subaru's lineup.

Three-row electric crossover: Jointly developed with Toyota, production of the as-yet-unnamed model is expected to begin in 2025 at Toyota's assembly plant in Georgetown, Ky. The Ascent-size EV, which will be built on the brand's e-Subaru Global Platform, will use batteries supplied from Toyota's plant under construction in Liberty, N.C. That should allow the crossover to qualify for the $7,500 federal EV tax credit.

Solterra: After a rough launch, Subaru's first EV will be due for a freshen in 2026 under the brand's normal product-cycle cadence, but that change may also include a reengineering. Subaru may intervene sooner to address some of the Solterra's initial teething pains, including a ho-hum battery range. That product decision would depend on Toyota's plans for the bZ4X.

Ascent: Subaru's three-row large crossover will be due for a redesign in the second half of 2024.

Outback: A full redesign of the Outback is expected in 2025, when production may move to Japan from Indiana to make way for future U.S. EV production and expanded Forester/Crosstrek production.

Forester: The redesigned 2024 Forester compact crossover has received interior upgrades similar to that of the redesigned Crosstrek and goes on sale this fall.

Crosstrek: The Crosstrek subcompact crossover was redesigned this year, adding a Wilderness trim. A hybrid powertrain could be added as an option when the Crosstrek undergoes its midcycle freshen, which should come in 2026.

Legacy: If it survives the general culling of sedans now taking place industrywide, the next generation of the all-wheel-drive midsize sedan is likely for 2025, although production is expected to move back to Japan, which may delay its arrival.

Impreza: The redesigned compact hatchback debuted this year, eliminating its previous sedan version, and can expect a midcycle freshening in 2026.

WRX: The WRX STI is expected to be converted to an EV in 2027, and the WRX won't be due for a freshen until 2026.

BRZ: The brand's sporty coupe won't be due for a freshen until 2026, in line with its sibling vehicle, the Toyota GR86.