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New Relationship between Toyota and Subaru Beginning to Take Shape

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Khatir Soltani
New Outsourced Car Most Likely a Subcompact Model

Now that Toyota has purchased General Motors' divested 8.7 percent stake in Fuji Heavy Industries Ltd., maker of Subaru vehicles,
Toyota may outsource the development and production of a new model to its new partner Subaru. (Photo: Subaru Canada)
Japanese newspaper Nihon Keizai business daily has reported the world's number two automaker will outsource the development and production of a new model to its new partner.

Why would Toyota want Subaru to take on such a project? According to Nihon Keizai, it all comes down to the popularity of the Toyota nameplate and the automaker's inability to keep up with its business' expansion due to a current shortage of skilled workers.

The deal would also benefit Fuji Heavy, of course, as it will soon be sitting with fewer projects on-hand once its relationship with General Motors is fully dissolved.

Fuji Heavy currently makes the Saab 9-2X, a derivative version of Subaru's Impreza wagon, for GM, and had planned to underpin an upcoming Saab crossover with its new B9 Tribeca. Subaru has also canceled
Toyota currently enjoys similar cooperative projects with other automakers, such as the Toyota Aygo, Peugeot 107 and Citroën C1 'city cars'. (Photo: Toyota Canada/PSA)
its ill-fated Baja crossover wagon cum pickup truck, so therefore production capacity should be available for at least one new joint venture product.

While the new model has yet to be announced, and according to a Toyota spokeswoman the two carmakers are merely "exploring cooperation in development and production", it is expected to be a subcompact vehicle - a specialty of the Subaru brand. That vehicle could be a version of the spunky little Subaru R2 or for its general shape and layout at least, something along the lines of the R1e.

Toyota currently enjoys similar cooperative projects with other automakers, such as the Toyota Matrix/Pontiac Vibe crossover wagons and the Toyota Aygo, Peugeot 107 and Citroën C1 'city cars'. This last trio is more of what we should expect from the Subaru deal.
Khatir Soltani
Khatir Soltani
Automotive expert
  • Over 6 years experience as a car reviewer
  • Over 50 test drives in the last year
  • Involved in discussions with virtually every auto manufacturer in Canada