The entry of Subaru into the electric vehicle market was a bit slow, with only one car available so far. For its environmentally friendly image and customer base that is nature-loving, this might be surprising.

However, thanks to Toyota’s long-standing collaboration with it, Subaru’s EV programs will undergo significant growth.

Subaru Collaborates With Toyota on EV Development to Reduce Risk

Atsushi Osaki, Subaru CEO, admitted that the small company faces an uphill task navigating through the uncertain world of EVs alone. Osaki stated: “At this moment, it is rather vague on how things will develop from now regarding EVs.”

“We have talked with Toyota about it and agreed that we should jointly develop technologies to mitigate risk,” he added.

This would be an enormous undertaking considering the huge costs associated with research and development as well as reconfiguring plants for electric vehicles.

By working with Toyota, these financial burdens can be shared, thereby making the transition more practical for Subaru.

Japanese Automakers Tread Carefully In The Electric Vehicle Market

Mazda, like Subaru, has been reluctant to fully embrace electric vehicles. This cautiousness is part of a general pattern among Japanese automakers, who have generally lagged behind in adopting EVs.

Toyota primarily focused on hybrids and hydrogen-powered vehicles as substantial alternatives. Nevertheless, both Toyota and other automakers, like Honda, are now progressing with plans for dedicated EVs.

Toyota’s cautious strategy has been partially justified by the recent slump in EV sales. Nonetheless, global indicators suggest that EVs will soon make up a higher percentage of the car market.

The change shows that even traditionally risk-averse automakers will need to increase their electrification efforts to remain competitive.

Subaru’s Foray into the EV Market and the Challenge Ahead

Subaru has recently made headlines with its renewed focus on the EV market. The automaker has been partnering with Japanese firm Panasonic to produce lithium-ion batteries.

 This may make Subaru fans happy, as they love its “green” image but have felt disappointed by a lack of electric options.

However, retaining these followers will be quite a task for Subaru, as many are eagerly awaiting the release of the Rivian R3 and R3X.

It might sound strange given Subaru’s strong presence in the market, but even so, it sold 632,086 cars in 2023 in just America—a 13.6% rise from last year—and is anticipated to declare huge global profits at fiscal yearend.

Despite this success, Subaru must hasten its efforts concerning EVs in order to remain competitive and satisfy ever-changing customer trends.

Details of the 3 EVs

Fans and loyalists of both Subaru and Toyota have been anticipating the release of these three new electric vehicles for quite some time. Let’s dive into the details of the three new EVs below.

undefined Subaru Solterra’s Replacement: The First EV SUV

The Subaru Solterra was a success story, and it is expected that the new model will follow suit.

It is anticipated that this model will be equipped with improved range and performance compared to those of its previous version, thus solidifying the company’s presence in the emerging electric car market.

undefined Another EV SUV: A Three-Row Electric Crossover

The second upcoming SUV is expected to become a three-row electric crossover. With production planned for Kentucky in 2025, both Toyota and Subaru brands are supposed to have one.

It has been designed to satisfy the increasing demand for large, family-oriented electric vehicles, emphasizing generous space and comfort. This move has been seen by experts as appealing to a broad consumer base.

undefined The Third Electric Sport Utility Vehicle (SUV): An Innovative Addition

While there is limited information available regarding the third SUV, it is believed to combine modern technology and design.

The specific model is expected to have more efficiency, driving dynamics, and advanced driver assistance systems, thus indicating the innovative effort of Subaru and Toyota’s grand collaboration.

These three SUVs are part of a larger plan aimed at expanding Subaru’s range of electric cars, which can serve different customers.

These models were developed jointly with Toyota so as to cut down on R&D costs and will be launched before 2026 comes to an end.

The partnership between Subaru and Toyota provides flexibility during development and production while reducing the risks associated with getting into EV manufacturing.

The collaboration between the two giant automakers balances new EV production against existing engines powered by both internal combustion and hybrids at Subaru.

Moving Ahead in the EV Market

Toyota’s caution is somehow confirmed by a recent EV sales slump. Nevertheless, indications are that electric vehicles will become dominant in the global automobile industry. In this regard, Subaru is driving up its EV efforts with the help of Toyota.

For instance, one of Subaru’s future EVs is supposed to be manufactured by Toyota in the United States, which could make it fit for federal acquisition incentives.

By 2028, Subaru has intentions of having four internally produced EV models and also has hybrid versions planned for the Crosstrek and Forester, which happen to be their best-selling models in America.

Subaru’s single EV currently on sale is an SUV called Solterra that is much like the Toyota BZ4X.

Both models have been criticized for their lack of speed when charging and their low range. Supporters of both companies hope that their forthcoming generation of electric cars will represent significant progress.

Conclusion

Nissan and Honda, as well as other companies that make Japanese cars, made it known in March this year that they would be working together to speed up the development of electric vehicles.

Subaru has joined forces with Toyota to take advantage of the excellent market access provided by Toyota for Subaru’s future EVs.

Japanese car producers must follow BYD and Tesla into joint ventures as the market shifts towards electric cars.

The race is on for Subaru and Toyota. At present, their EV sales are below 2%, lagging behind automakers that have hit double-digit or even 100% EV sales figures.

Its target of having half its sales come from EVs by 2030 is lower than that of its competitors.