Subaru Launches Solterra Electric SUV, The Result Of Collaboration With Toyota

Subaru launches its first electric SUV, the Solterra. (photo: twitter @subaru_usa)

JAKARTA - Japan's Subaru Corp on Thursday unveiled its first electric vehicle (EV), Solterra, which is the result of a two-year joint development project with its largest shareholder, Toyota Motor Corp.

The launch of sports vehicles (SUVs) comes amid accelerating demand for EVs as countries around the world tighten environmental regulations to reduce carbon emissions. Toyota last month announced a battery electric vehicle (BEV) version, the bZ4X.

All electric, always capable. Plan your adventure in the all-new 2023 Subaru Solterra EV SUV. Coming 11/17, 10:45 AM PT, at the @LAAutoShow. Sign up to watch the live stream here: https://t.co/vTShoP73bR pic.twitter.com/CP4u6fqn5B

— Subaru (@subaru_usa) November 9, 2021

The technology shift away from internal combustion engines poses challenges for smaller automakers, such as Subaru, which are less able to fund expensive EV development. At the same time, it is an opportunity for top automakers, such as Toyota, to draw smaller rivals closer together.

"The EV market is immature, so we will respond by deepening our cooperation with Toyota," said Subaru CEO Tomomi Nakamura at the launch event.

For now, he said, Solterra will be produced by Toyota in Japan and Subaru can move production to its main market, the United States, when sales volume is sufficient.

Toyota, a pioneer in hybrid electric cars but a newcomer to the EV market, plans to have 15 BEV models by 2025. Toyota is also spending $13.5 billion over the next decade to expand its car battery production capacity.

Vehicle sales at Subaru are less than a tenth of sales at Toyota, the world's largest automaker by production volume.

The front-wheel drive Solterra has a cruising range of 530 km, while the all-wheel drive version can go 460 km on a single charge, Subaru said in a press release.

Toyota owns a fifth of Subaru's total and has a 5% stake in Mazda Motor Corp, which plans to launch 13 electric vehicles by 2025, including hybrids and BEVs that will incorporate Toyota technology.