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Subaru May Spend $300 Million on Indiana Plant Expansion
Fuji Heavy Industries Ltd. has decided to spend 30 billion yen ($300 million) instead of the previously budgeted 20 billion yen to expand capacity at its Subaru assembly plant in Lafayette, Ind., according to The Nikkei.
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Fuji Heavy Industries Ltd. has decided to spend 30 billion yen ($300 million) instead of the previously budgeted 20 billion yen to expand capacity at its Subaru assembly plant in Lafayette, Ind., according to The Nikkei.
The Japanese newspaper, which does not cite its sources, reiterates its earlier report that the expansion would hike the factory's annual capacity by 100,000 units to 370,000 vehicles by the 2016-2017 fiscal year. The facility builds the Toyota Camry and Subaru Legacy midsize sedan, Outback wagon and Tribeca crossover vehicle.
FHI said last week it is finalizing American capacity plans, which it expects to disclose when it reports earnings next month. Tight supplies are limiting Subaru's sales in the region.
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