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Lafayette key to Subaru ending dealer shortages, exec says

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Fuji Heavy Industries Ltd., the Japanese maker of Subaru cars, intends to end a shortage of its vehicles at U.S. dealerships soon by expanding capacity in the country, its largest market.

The carmaker produces Outback wagons, Legacy sedans and Tribeca sport-utility vehicles in Indiana at its plant in Lafayette, where it also makes Camry sedans for Toyota Motor Corp. under contract.

“We are finalizing plans to strengthen U.S. production,” CEO Yasuyuki Yoshinaga told reporters in Tokyo on Wednesday. He said the Tokyo-based carmaker will probably announce the plan next month when it reports annual earnings. The statement confirmed previous reports about Subaru expanding output.

Fuji Heavy, which boosted U.S. sales 20 percent to a record last year, plans to increase annual global deliveries to 850,000 by March 2016, based on plans to increase capacity in the United States.

The Lafayette plant opened in 1989, initially as a joint venture with truckmaker Isuzu Motors Ltd. The factory can produce a maximum of 310,000 vehicles annually, based on state air-pollution limits, according to the carmaker. About 3,600 people work at the plant.

“Our dealers in the U.S. are waiting for an answer on when this situation of not having enough cars will be solved, so we hope to provide an answer soon,” Yoshinaga said.

Fuji Heavy shares have gained 62 percent this year, compared with a 27-percent advance for the benchmark Nikkei 225 Stock Average.

 

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  • Subaru Dealer Shortages
    One has to wonder why Subaru doesn't cancel it's contract with Toyota and start building additional Subaru vehicles now. Why does Subaru continue to build vehicles for another manufacturer when it appears to be having difficulty supplying it's own dealerships with it's own vehicles.

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  1. So much for Eric Holder's conversation about race. If white people have got something to say, they get sued over it. Bottom line: white people have un-freer speech than others as a consequence of the misnamed "Civil rights laws."

  2. I agree, having seen three shows, that I was less than wowed. Disappointing!!

  3. Start drilling, start fracking, and start using our own energy. Other states have enriched their citizens and nearly elminated unemployment by using these resources that are on private land. If you are against the 'low prices' of discount stores, the best way to allow shoppers more choice is to empower them with better earnings. NOT through manipulated gov mandated min wage hikes, but better jobs and higher competitive pay. This would be direct result of using our own energy resources, yet Obama knows that Americans who arent dependent of gov welfare are much less likely to vote Dem, so he looks for ways to ensure America's decline and keep its citizens dependent of gov.

  4. Say It Loud, I'm Black and Ashamed: It's too bad that with certain "black" entertainment events, it seems violence and thuggery follows and the collateral damage that it leaves behinds continues to be a strain on the city in terms of people getting hurt, killed or becoming victims of crimes and/or stretching city resources. I remember shopping in the Meadows area years ago until violence and crime ended make most of the business pack you and leave as did with Lafayette Square and Washington Square. Over the past 10 to 12 years, I remember going to the Indiana Black Expo Soul Picnic in Washington Park. Violence, gang fights and homicides ended that. My great grandmother still bears the scares on her leg from when she was trampled by a group of thugs running from gun fire from a rival gang. With hundreds of police offices downtown still multiple shootings, people getting shot downtown during Black Expo. A number of people getting shots or murdered at black clubs around the city like Club Six on the west side, The Industry downtown, Jamal Tinsley's shot out in front of the Conrad, multiple fights and shootings at the skating rinks, shootings at Circle Center Mall and shooting and robberies and car jackings at Lafayette Mall. Shootings and gang violence and the State Fair. I can go on and on and on. Now Broad Ripple. (Shaking head side to side) Say It Loud, I'm Black and I'm Ashamed.

  5. Ballard Administration. Too funny. This is the least fiscally responsive administration I have ever seen. One thing this article failed to mention, is that the Hoosier State line delivers rail cars to the Amtrak Beech Grove maintenance facility for refurbishment. That's an economic development issue. And the jobs there are high-paying. That alone is worth the City's investment.

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