Credit where credit is due, Subaru is the best marketer in the car universe. While Ford may have more fans, and Ferrari may have the wildest ratio of cars built to people wearing its logos, it’s hard to argue that Subaru hasn’t built the most thorough emotional universe around its brand. Now there’s a new design that Subaru is giving to its dealerships, and it’s kinda brilliant. Fleece, it’s what makes a Subaru owner a Subaru owner.
I’m going to try to keep today’s Morning Dump news roundup a little more upbeat. It’s Friday, and I could use a little positive energy going into the weekend.
What else? Inventories are recovering a bit, and hybrid inventory is surging as automakers start stocking up on the tech (if they can). Tesla is coming out against the EPA’s move to disavow the GHG Endangerment Finding, stating that it’ll harm their business.
Uhhh dogs. Let’s do dogs. Isuzu has a new line of accessories for dogs.
Behold, The Subaru Connection Hub
Nothing yet, including my own experience, has persuaded me to abandon my belief that Subarus are mostly economy cars+. The WRX is an economy car+ rally speed, which is excellent. The Crosstrek is an economy car+ grit. The Forester is an economy car+ marketing.
And I bought the marketing! Within a year of buying my new Subaru Forester, I was an REI Co-Op member and had a tent. I literally had never tent camped in my entire life, and then all of a sudden I’m standing outside in the cold morning in a Patagonia pullover, proudly making camp oatmeal on my little green Coleman propane stove and nodding knowingly at the other dads over their little stoves.
Even the names of the cars imply outdoorseyness. Outback, Forester, Tribeca… ok, maybe not that last one, but they got rid of it quickly, and now that model is the Ascent. You’re ascending with a Subaru.
My local Subaru dealer was also a Volvo dealer, and so I usually went over to the Volvo side to work while my vehicle was being serviced (which happened a lot). The Subaru side wasn’t anything special and in need of an update, whereas the Volvo dealer’s waiting room had that whole Swedish minimalism thing going on.
Now an update is coming, and Subaru is leaning hard into it. Here’s how Subaru describes it:
The new concept reimagines the automotive retail experience, transforming dealerships into immersive, hospitality-driven spaces that strengthen customer relationships and community connections while embodying the Subaru Love Promise®, the company’s commitment to be More Than a Car Company® by showing love and respect in every interaction.
The Connection Hub shifts traditional dealership perceptions, positioning Subaru retailers as vibrant community destinations. Customers will experience bold product displays, interactive personalization tools, and welcoming social spaces designed to make every visit – from purchase to service – memorable and meaningful.
What’s that going to look like? A park-like pavilion, a “consetllation lounge” with a “dynamic digital media wall spotlighting Love Promise initiatives.” There will also be “outdoor green spaces.”
That sounds great, and it’s been like 18 years since Subaru has done such an initiative, so it’s long overdue. It’s here I feel like I need to point out that Love isn’t what makes a Subaru a Subaru. No brand will love you, and no brand is your friend (except HEB and The Autopian, obviously).
I said this is like a little REI, but it also reminds me of the LL Bean Flagship store in Maine, which is a bigger version of this experience. It just gets you in the mood to, like, kayak or whatever.
Why is this happening? Subaru is particularly at risk from tariffs, and it’s about to launch more EVs into a space that’s going to be a lot more difficult without incentives. It’s raising prices on just about everything, so image is going to be even more important going forward as it has to justify those prices.
How do dealers feel about this?
Automotive News has the answer:
Jeff Williams, former chair of the retailer council who owns a Subaru store in Lansing, Mich., said the redesigned look fits the brand and its values but is an additional expense when dealers are seeing their margins tighten.
“I don’t think it’s the best timing, considering the current economic state of the auto business and interest rates,” Williams told Automotive News. “But it is a consumer-centric and lifestyle-designed facility that matches our customers’ values.”
Subaru did not release cost estimates for retailers to update their stores.
C’mon, Jeff, it’ll be fun to have a little café.
Year Of The Hybrid Continues
We’re now into year two of Year of the Hybrid (Decade of the EREV, just you wait). While new vehicle inventory increased about 1.1% month-over-month according to S&P Global Mobility, it depends quite a bit on what kind of vehicles you’re looking at.
Importers are getting hit, with declines at Volvo, Audi, and Mazda (with the exception of the US-built CX-50). Automakers wisely stopped producing a bunch of EVs a few months ago, and now EV inventory has fallen from a high of 188,000 vehicles in June to just 169,000 in August.
Buy hybrids? There are a lot of hybrids.
The hybrid segment is showing promising growth, with its share of total new vehicle inventory increasing to 11%, a rise of 3.8 percentage points year-over-year (YoY). Total hybrid inventory has surged by 47% YoY, totaling 292,000 units.
Toyota remains the dominant player, accounting for 34% of all hybrid inventory, and has seen a 26% increase YoY. Notable increases within Toyota’s lineup include the RAV4 Hybrid (+28%) and the Highlander Hybrid (+117%), while the Camry Hybrid has decreased by 37% YoY.
Kia has also made significant strides, with a 173% increase in hybrid inventory YoY, particularly with the Sportage Hybrid (+313%) and the Carnival Hybrid. The Carnival Hybrid is a new 2025 offering.
Bring. It. On.
PHEV share has dropped, which has a lot to do with the Wrangler PHEV’s decline. A PHEV could be a great idea, and they’re popular in Europe, but America mostly has the wrong kind.
Tesla Admits It Needs Those Carbon Credits
I talked a lot about the EPA GHG endangerment finding a couple of days ago, so you can read that if you haven’t to get up to speed. The short version is that the EPA, at the direction of the Trump Administration, wants to kill the legal basis for the government to restrict greenhouse gases. This feels like both a reflection of a White House that doesn’t believe in global warming and a handout to automakers hurt by tariffs.
Personally, I think this is bad. It’s fine to give automakers relief, and it’s reasonable to admit that the goals were going to be difficult to reach, but this is a crappy way to do it.
Tesla, unsurprisingly, agrees with me, and does an extremely thorough job in its filing of ripping apart the EPA’s justification for removing the finding. Why does Tesla care? Maybe it’s because Tesla gets money from automakers that can’t reach these goals, and it doesn’t want to lose this key source of income that helped build the company:
Given the exceedance of the underlying standards that comes from the sale of a battery electric EV, Tesla has expected to continue to generate compliance credits that it can market to other companies –companies that, based on their own business strategies, opt to purchase compliance credits rather than comply with the performance standard. Such credit revenue has facilitated Tesla’s expansion and continued investmentin innovation. Tesla would be adversely affected by the proposed change in these standards that would curtail the value and continued marketability of such long-established credits
The company has made billions of dollars from these credits, and it still makes up a large portion of its profits. If more governments follow suit, Tesla stands to lose a lot of money.
Here, Enjoy This Very Good Boy
I’m seriously bummed that we don’t get Isuzu passenger trucks anymore. How cool would it be to be able to buy a turbodiesel D-Max? Also, in the UK, you can get a D-Max with a bunch of accessories from premium outdoor dog gear brand Ruffwear.
The model in these photos, by the way, is “brand ambassador” Siobhan Sellar.
Marketing Manager at Ruffwear UK, Sarah Burns, said: “We’re thrilled to bring Ruffwear gear to Isuzu D-Max owners. These accessories make every adventure safer, cleaner, and more enjoyable for dogs and their humans, whether you’re heading to a local park or venturing to the Scottish Highlands.”
Group Resources Director at Isuzu UK, Darren James, said: “The D-Max has always been about tackling adventures with confidence. Now, with Ruffwear accessories, dog owners can make every journey even more enjoyable for their four-legged friends, from secure travel to post-walk clean-ups.”
Maybe this company should team up with Subaru in the United States.
Delightful!
What I’m Listening To While Writing TMD
Hey, look at that, Edmonton’s own Purity Ring is back with a new album (it’s been a minute), inspired by games like Final Fantasy X, which is quite obvious when you watch the video for “many lives + part ii” embedded above. Enjoy it, nerds.
I tried to imply to my friends this morning that Purity Ring is the “thinking man’s Grimes,” but I was corrected. Perhaps they are the thinking man’s CHVRCHES.
The Big Question
Did you ever have an animal that loved to be in the car? Did you ever have a pet that hated being in one? Tell your pet/car stories!
Top photo: Subaru
Totally called this Tesla moment a few months back when we discussed the CAFE penalties going away.
Our Rottweiler LOVES going in the car. To the point that he just shakes and whines when he sees my wife’s car pull out of the garage and stop in the driveway.
Subaru press release, promoting their genuineness image:
Aaaaaaand, Subaru has now officialy entered the corporatespeak/marketingspeak/bullshitspeak quicksand pit, and drowned in under 60 final seconds of mental torture.
We had a couple of Labs that absolutely LOVED hopping into the back of our CR-V and even, oddly, loved it even more when we pulled into the parking lot at the Vet’s offices. Every other dog I’ve had resisted when we were walking to the Vet’s front door.
Isn’t that what Subaru is going for, though? It’s true their prices have been climbing, but so have everyone else’s, and I’ve never seen Subaru market themselves as any kind of semi-premium brand. The closest to “premium” Subaru has ever gotten would be the LL Bean Legacys, but even those were never remotely comparable to luxury makes, and I don’t think Subaru ever presented them that.
Back in my WRX days, everyone on the Subaru forums agreed even STIs were economy cars.
There was an REI next to the Costco we would stop at for gas, and we would always play the ‘count the Subarus game.’ Usually, it was a greater than 1:1 ratio of Subarus to any other OEM in the REI parking lot. Although I did notice a slight increase in Rav4s over the years as a distant, distant second.
I should check out one the giant indoor Subaru dealers here in Oregon. While Subaru and REI do co sponsor stuff, the only actual branded Subarus were LL Bean editions.
Regarding dogs and cars, Ruffwear is based in Bend Oregon a few blocks from Hydro Flask, and across town from Cascadia Vehicle Tents. Our dog is a small Labradoodle, and her car experience is vehicle dependent. The Buick LeSabre and Toyota HiAce are fine but she hates the Suburban and F150. She also doesn’t like kayaks or paddle boards, perhaps a canoe would suit. Related an Isuzu D-Max would be cool, and they could be sold at Mazda dealers since the current B Series is a rebadged D-Max.
Losing carbon credits will hurt Tesla since their cars are aging and sales are falling. I suppose the Boring Company will buy a hundred Model X or Y CUVs for the Nashville Loop, but that doesn’t make for all those prospects buying Kia, Hyundai or BYD
We rescued 2 litter mate sisters in 2020. Made their first trip from FL to CT to see the Oma’s at 7months old. Have LOVED any sort of vehicle ride ever since, the longer the better.
The new Purity Ring self-titled album is… fine. I kept finding the opening track to be very obnoxious and off-putting. I almost turned it off entirely. But I stuck it out and it got the job done. But honestly, the other albums are better to me.
Love Purity Ring, Flood on the Floor slaps!