Subaru says it’s ending production of the Outback for the Japanese market, raising questions about where Australia will source the next-generation model from.

    “The current model of the Legacy Outback will be the last model produced in Japan,” says the company on its Japanese website.

    “We will stop accepting orders after March 31, 2025.”

    But Subaru Australia has advised this won’t impact the local market.

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    “In relation to the Outback announcement, it is for the Japanese market only and will not impact the production of the Outback for the Australian market,” said a spokesperson for Subaru Australia.

    “The Outback continues to serve the needs of our customers and will remain a key model in Subaru’s SUV range in Australia.”

    The Japanese announcement, however, begs the question: just where Outbacks will be sourced from if production ends in that market?

    It’s possible this announcement simply doesn’t make it clear that production will continue of the nameplate in Japan for overseas markets.

    This is hardly unusual, with a raft of vehicles produced in Japan that are no longer sold there including the Mazda 6 and Toyota Camry.

    Alternatively, it could point to Subaru Australia having to switch sourcing to the US. The Outback is currently produced in Lafayette, Indiana.

    Subaru wouldn’t be the only Japanese brand to export US-built vehicles to Australia, with others including Toyota (the Kluger) and Nissan (the Pathfinder).

    The current Outback entered production in the US in 2019, though it didn’t launch in markets like Japan and Australia until 2021.

    Nevertheless, that indicates a next-generation model is around the corner, particularly given its US-built sedan sibling – the Legacy, previously sold here as the Liberty – is exiting production in 2025.

    Automotive News reported earlier this year production of the Outback for the US market would switch from the US to Japan, freeing up space on its Indiana production line for electric vehicles.

    The next-gen model is reportedly set to enter production in 2025, and will gain a hybrid option in 2026.

    The Outback is an important vehicle for Subaru in Australia, where it’s currently the brand’s third best-selling model behind only the Forester and (narrowly) the Crosstrek.

    It’s also a crucial vehicle for Subaru in the US, where it was the brand’s best-selling vehicle last year.

    Subaru sold 632,086 vehicles overall in the US in 2023, which accounted for around 66 per cent of its total global production.

    Looking at production numbers, it manufactured 608,327 vehicles in Japan and 350,820 overseas.

    The Outback is wrapping up in Japan with a special edition celebrating 30 years of the high-riding wagon.

    Subaru will produce 500 examples of the Legacy Outback 30th Anniversary, powered by the turbocharged 1.8-litre four-cylinder Boxer engine which is the only engine offered there.

    This produces 130kW of power and 300Nm of torque, and is mated with a continuously variable transmission (CVT) and all-wheel drive.

    The 30th Anniversary edition features front and rear dampers tuned by Subaru’s STI division, while aesthetic changes include an ivory and black two-tone Nappa leather interior, matte black 18-inch alloy wheels, and special embroidery inside and badging outside.

    The Outback debuted in 1994, going on sale in Japan as the Legacy Grand Wagon, in the US as the Legacy Outback, and in Australia – in 1996 – as the Outback.

    The following generation was known as the Legacy Lancaster in Japan, but other markets knew it as the Outback or Legacy Outback with Japan also catching up in the third generation.

    While the Outback is Subaru’s flagship model in Japan, there’s a larger crossover called the Ascent that’s built in the US and offers three rows of seating.

    MORE: Everything Subaru Outback

    William Stopford

    William Stopford is an automotive journalist based in Brisbane, Australia. William is a Business/Journalism graduate from the Queensland University of Technology who loves to travel, briefly lived in the US, and has a particular interest in the American car industry.

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