Counter-Tariffs Are Keeping a Couple New Subarus Out of Canada
Subaru made a subtle splash at this year’s New York auto show with the introduction of a couple new models, including the first application of its Wilderness treatment to a hybrid-powered vehicle.
Notably absent from the brand’s display on the show floor, however, were any of its Canadian employees — surprising on the surface, but then it doesn’t take much deduction to figure out why. The short answer is tariffs, or at least the counter-measures imposed on American-made vehicles in response to the wide-ranging trade taxes introduced by the United States.
That means the 2027 Subaru Getaway, an all-electric three-row SUV based on the forthcoming Toyota Highlander, won’t make it to Canada anytime soon, nor will the 2027 Subaru Forester Wilderness Hybrid — the first gas-electric model to get the brand’s off-road accoutrements.
A Subaru Canada spokesperson confirmed as much, stating in an email that “U.S.-built models have been placed on pause for the Canadian market while we monitor the ongoing situation.”
In fact, there’s a bit more to the story, since these aren’t the only American-made models in Subaru’s lineup. It’s why the Crosstrek Wilderness is no longer available in Canada in spite of its enormous popularity, and the same goes for the non-hybrid Forester Wilderness that was kiboshed for this year despite earlier plans to the contrary. The three-row Ascent, which is also made at Subaru’s plant in Indiana, was quietly put on hiatus because of the tariff measures, too.
The non-Wilderness versions of both the Crosstrek and Forester are made in Japan for the Canadian market, while the Outback that was once built in Indiana is now assembled in Japan. Likewise, Subaru’s existing trio of electric vehicles (EVs) is made at plants in its home nation.
As for Toyota, it’s still full-speed ahead with its plans for the new Highlander, but that doesn’t mean shoppers can expect a tariff-induced surcharge when pricing is announced. Instead, it qualifies for an import waiver granted to Toyota, which builds vehicles domestically.
That means the automaker can bring an undisclosed number of vehicles made in the U.S. to market without the additional 25 per cent tariff imposed by the federal government last year in response to an American tariff of the same amount placed on Canadian-made vehicles. Without a manufacturing presence of its own in Canada, the Subaru-branded version of the Toyota-made Getaway doesn’t qualify for the same exemption.
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