It's all about prioritizing in the face of budget restraints.
With the small crossover segment doing very well these days, some have been wondering whether or not Subaru would jump into the mix. With sales of its XV Crosstrek incredibly hot at the moment, wouldn’t it make sense for the quirky Japanese automaker to build something smaller to compete directly against the likes of the Jeep Renegade and Nissan Juke? It would, but there’s a major problem: Subaru doesn’t have the cash reserves to develop such a model.
Auto Express is reporting that as much as Subaru would like to enter this segment, it simply can’t for a few other reasons. For starters, it doesn’t have a super mini in its lineup, such as a Ford Fiesta fighter, that could be jacked up and turned into a crossover. What’s more is that Subaru doesn’t have downsized turbo engines at its disposal. On top of all of that, and with the sole exception of the BRZ, Subaru wants to remain loyal to all-wheel-drive; a factor which would drive up the cost. Fuel economy would also take a hit. But there is some good news to speak of: Subaru is reportedly keen to get back into motorsport, possibly even in the World Rally Championship.
Even a Le Mans entry is being discussed mainly due to Toyota's technological advancements there. If either were to happen, expect for Subaru to utilize hybrid technology of some sort. Consider that as something of a preview of its new line of hybrids that’ll debut beginning in 2018.