Subaru Joins the Price Hike Trend in the Automotive Industry
Subaru has recently announced a price increase across most of its models, joining the broader trend of rising automobile prices. Starting this June, Subaru models will see an increase ranging from approximately $750 to $2,055, depending on the model and trim. This announcement, initially detailed by Planet Subaru, a dealership based in Massachusetts, was later confirmed by Subaru through an official statement.
Significant Price Increases Across Subaru Models
The most substantial price hike affects the American-made Subaru Ascent, with each trim seeing an increase between $1,085 and $2,055. High-performance models imported from Japan, such as the BRZ and WRX, will go up by $2,000 each. Compact models like the Impreza and Crosstrek will experience a $750 increase, while the soon-to-be-discontinued Legacy sedan will rise by $1,600. Additionally, the Forester will see a price increase between $1,075 and $1,600, and the Outback will range between $1,715 and $1,820.
The Solterra Exception and Potential Tariff Influence
Interestingly, the only model unaffected by this price hike is Subaru’s electric crossover, the Solterra. While many car manufacturers cite rising production and transportation costs as reasons for price increases, there is speculation that new tariffs on imported vehicles in the United States might be a contributing factor. This speculation is fueled by the timing of the price increase, which follows the introduction of a 25% tariff on imported cars by former President Donald Trump.
Market Reactions and Broader Industry Impact
Subaru has stated that the price adjustments are a response to “current market conditions” and not specifically linked to the country of origin of their products. However, the timing of the hike, shortly after the tariff announcement, raises questions about its influence. Other manufacturers, such as Ford, have also increased prices on models produced in Mexico, acknowledging that tariffs play a role in their decision. Despite these increases, there is concern that the additional costs imposed by tariffs are not fully offset by the price hikes.
The Future of Car Pricing and Consumer Advice
Luxury brands like Ferrari and Aston Martin have also announced price increases to counter tariff-related costs, while General Motors has opted to absorb a potential $400 million to $500 million loss without raising prices. Subaru’s cautious approach to price increases seems to be an effort to avoid political backlash. Retail giant Walmart is similarly navigating these trends. Given these developments, the affordability of Subaru models may soon diminish. For those considering purchasing a new Subaru, acting sooner rather than later might be advantageous.