Subaru of America has announced a series of price hikes across several of its vehicle models, citing “current market conditions” as the driving force behind the decision. The increases come as part of a growing trend among automakers navigating a landscape of rising costs, including those brought on by the U.S. government’s continued tariffs on imported vehicles and auto parts.
Though Subaru’s official statement did not directly reference tariffs, the timing aligns with broader industry concerns over cost increases linked to ongoing trade policies, particularly the 25% import tariff on foreign vehicles introduced during the Trump administration.
Price Increases Across the Lineup
According to a dealer bulletin viewed by multiple media outlets, the new prices are scheduled to take effect on vehicles arriving at dealerships from June 2025 onwards. The increases vary by model and trim level, ranging from $750 to $2,055.
Subaru’s popular Forester SUV is expected to be among the most affected, with price increases of between $1,075 and $1,600, depending on the trim. The Forester, known for its affordability and strong safety record, is one of the brand’s top sellers in the U.S.
“These pricing adjustments reflect increased operational and manufacturing costs,” Subaru said in a statement. “We remain committed to offering vehicles that provide solid value propositions for our customers.”
Global Trade Policies Weigh on Automakers
Although the automaker emphasized that its pricing strategy is not tied to the country of origin for its vehicles, analysts suggest that the U.S. tariffs continue to exert pressure across the automotive industry. Subaru imports approximately 45% of the vehicles it sells in the United States, according to recent data from S&P Global Mobility, making it particularly vulnerable to import-related costs.
Erin Keating, executive analyst at Cox Automotive, noted, “The Forester and other budget-conscious models are disproportionately impacted. Tariffs tend to weigh more heavily on affordable vehicles because their pricing is more sensitive to small increases.”
Subaru Joins Industry-Wide Trend
Subaru’s move mirrors similar price adjustments from other automakers. Earlier this month, Ford Motor Co. increased prices on three of its Mexico-manufactured models by up to $2,000, attributing the decision to tariff-related cost pressures.
Executives from several major automotive companies have signaled to investors that tariffs are expected to cost the industry billions this year, with estimates reaching $5 billion for Detroit-based firms alone. Despite some minor relaxations in duties on specific parts, the 25% tariff on imported vehicles remains in place for the approximately 8 million units brought into the U.S. annually.
Consumer Impact and Industry Outlook
The rising prices may pose challenges for consumers already grappling with high interest rates and inflation. With affordability becoming an increasing concern, particularly in the compact SUV segment, consumers may begin to delay purchases or seek used alternatives.
Analysts believe automakers will continue to adjust their pricing structures throughout the year as cost pressures evolve. “We’re entering a period where price stability in the auto market will be rare,” Keating said. “The next few months could see more ripple effects across brands.”
For now, Subaru says it remains focused on delivering value and quality. But for American car buyers, the bottom line is clear: buying a new Subaru is about to get more expensive.
