Subaru plans to reduce immediate electric vehicle (EV) investments, redirecting funds to hybrids in a Y1.5tn ($9.74bn) electrification plan. President Atsushi Osaki cites increasing hybrid demand and reassessment of internal combustion engines. Spending on hybrids and petrol models will increase, with remaining Y1.2tn under review. Plans for four battery-electric SUVs with Toyota remain, but in-house EVs may be delayed. Subaru faces challenges in the US market due to import distribution.

Earnings briefing reveals mixed results for Subaru’s first half of 2025. Revenue increased to Y2.38tn, but operating profit fell by 53.8% to Y102.67bn. Pre-tax profit also declined, resulting in a 44.6% drop in profit for the period. Net profit outlook for March 2026 is Y160bn, down 53% year-on-year. Tariffs may impact results by Y210bn, prompting cost-trimming measures by Y200bn by 2030.

Read more at Yahoo Finance: Subaru shifts investment focus from EVs to hybrids