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2025 Subaru Outback Production Is Moving Away From U.S.? A New Report Says Yes

The Subaru Outback is made in the U.S., but a report says the next-generation model production may be moving to Japan. Check out new details here.

The 2024 Subaru Outback is made in the U.S. plant in Lafayette, Indiana now, but a recent report from Automotive News (by subscription) says Subaru Corporation will possibly move manufacturing of the next-generation model (coming in 2025) to its plant in Gunma, Japan.

The AN report says Subaru Corporation's future product plans will require the Japanese automaker to "rebalance its North American production capacity" to "widen its U.S. product offerings to include more battery-electric vehicles." 

2024 Subaru Outback is made in the U.S.Don't Miss This Related Story: Subaru Ramps Up Its U.S. EV Plan - Now 8 New Electric Models Are Coming For Customers

AutoForecast Solutions, which tracks automaker production plans, projects that Subaru will consolidate production of its Outback midsize SUV in Japan in 2025, despite its popularity in the United States. The Automotive News report says doing so would free up capacity in the Indiana plant to expand the Forester and Crosstrek crossovers production while providing capacity for future EV production.

The 2024 Subaru Outback midsize SUV coming this fall is made at the Subaru of Indiana Automotive plant in Lafayette, Indiana. The next-generation Outback will get significant upgrades.

2025 Subaru Outback production could shift to JapanCheck Out This Hot Topic: Subaru Secretly Reveals The All-New 2025 Outback To Its U.S. Dealers

In a private meeting, Subaru revealed the all-new, remodeled 2025 Outback to its U.S. dealers in January. Subaru of America gave its dealers a "peek behind the curtain" at the all-new Outback midsize SUV.

Jeff Williams, owner of Williams Subaru in Lansing, Michigan, said, "That's the most excited I've been about a vehicle heading here in a long time," said Williams, who declined to reveal any specifics about it. "I will say that Subaru engineers and designers seemed to have addressed every issue we've brought up with the Outback. They seemed to listen to us, which gives me confidence in how the next-generation Outback will perform in the marketplace."

The recent Automotive News report says, "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."

Automotive News says Subaru Corporation has not confirmed the 2025 Subaru Outback information that production will move from Indiana to Gunma, Japan. Moving Outback's manufacturing to Japan would allow Subaru's new EVs, made in the U.S., to qualify for the entire U.S. EV tax credit. More changes are coming to Subaru and possibly the Outback. Stay tuned. 

Check Out This Hot Topic: The Top-Selling Subaru Outback Drops to 2nd Place Before A Hot New Trim Arrives

Denis Flierl brings over thirty years of combined auto industry and automotive journalism experience to Torque News readers. He is an accredited Rocky Mountain Automotive Press (RMAP) member. The last twelve years have been spent with Torque News, covering Subaru vehicles and the latest news. Check back daily for his expert Subaru analysis. You'll find the latest stories on the Torque News Subaru page. Follow Denis on Facebook, Twitter, and Instagram

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Photo credit: Subaru


Nick (not verified)    September 8, 2023 - 8:51AM

The article mentions expanding Forester production in Indiana, but the Forester is currently made in Japan. Can you clarify is the intent to move Outback production to Japan and move production of Forester from Japan to Indiana?