Fuji Heavy Industries, the maker of Subaru brand cars and SUVs, has scrapped a plan to shift production of the new XV Crosstrek to its U.S. plant in Indiana and will instead make the crossover SUV in Japan, a source familiar with the company’s production plans said.
Fuji Heavy, which has been moving production to Indiana due to the strong yen and a policy of making cars in markets where they are sold, decided to make the new vehicle in Japan because of capacity constraints in Indiana and the relatively high sales price, which makes Japan production more viable, the source said.
There are mounting calls for a globally agreed strategy on vehicle safety recalls by car makers.
The protracted and piecemeal recall issue of the faulty Takata airbags used in millions of models around the world has now sparked off a possible new policy to be enforced through world trade bodies looking after consumers interests.
Europcar is helping customers make the smooth transmission into 2015 with the return of its January sale.
Up to 50% discounts are being offered for car hire taken before 30 June as long as bookings are made before the end of January.