Subaru Impreza diesel delayed for the UK

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In this installment of "As the Yen Skyrockets," Autocar is reporting that the introduction of the long-awaited Subaru Impreza diesel has been delayed indefinitely due to unfavorable exchange rates. A source inside International Motors, the firm that imports Subarus into the UK, told Autocar, "At the current rate we would have to charge vastly more than we can justify for the diesel Impreza if we were to make a profit. As a result we can't guarantee when the car will go on sale as we can't predict when the economy will change."

Both Toyota and Honda are facing the same problem, with Honda CEO Takeo Fukui going so far as to threaten moving Honda's headquarters outside of Japan. Analysts predict that the yen could begin to sink in the coming weeks, but if the market doesn't correct itself, the Japanese government might have to intervene and begin devaluing its currency.

[Source: Autocar]

Subaru Impreza diesel delayed for the UK originally appeared on Autoblog on Tue, 23 Dec 2008 18:59:00 EST. Please see our terms for use of feeds.

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