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flag Subaru is delaying its in-house EVs and boosting hybrids due to weak demand and expired U.S. incentives.

flag Subaru is scaling back its electric vehicle plans, shifting focus to hybrids due to declining EV demand and the end of U.S. federal incentives, including up to $7,500 in purchase credits as of September 30, 2025. flag The company will delay full-scale EV production, reallocate its ¥1.5 trillion (~$14.86 billion) electrification investment to hybrid development, and retool a major Japanese plant to produce petrol, hybrid, and electric vehicles on the same line. flag Four Toyota-based EVs—Solterra, Trailseeker, Uncharted, and one unnamed model—will still launch by 2026, but future in-house EVs are expected to be delayed. flag Subaru continues its partnership with Toyota and Mazda on low-emission engines, hybridization, and synthetic fuels, while expanding its hybrid lineup using Toyota’s technology. flag The move follows similar industry shifts by Toyota, Honda, Volkswagen, and others amid weaker-than-expected EV adoption.

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