Subaru boss backs emissions but won’t say if price will rise

New vehicle emission rules have created a very uncertain future for Aussie drivers.

Subaru has not ruled out price increases under the Federal Government’s New Vehicle Efficiency Standard (NVES), but the company’s local boss says it will avoid them for now.

While rival brands such as Ford have cited NVES as the reason for the recent price hikes including a $5,000 jump for the Mustang, Subaru has held firm.

Subaru managing director Scott Lawrence said the automaker supports the Federal Government’s NVES but declined to predict how the regulation might affect the wider market in years to come.

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Subaru sport utility vehicles awaiting shipment are parked at a port on July 07, 2025 in Yokohama, Japan. (Photo by Tomohiro Ohsumi/Getty Images)

“I won’t comment on the market outlook,” he said.

“Look, we’ve not lifted prices. I can’t really speak to the future of price moves.

“Certainly, our intent is to have a product-first strategy, to make sure the product is right for consumers. Ultimately though, consumers will decide.”

Price hikes have become a major talking point across the industry as the NVES framework penalises high-emitting vehicles and incentives brands who offer low-emitting vehicles.

Hence why several brands have adjusted pricing, with the rising costs often passed on to consumers.

Lawrence explained that Subaru’s plan to NVES is to provide more powertrain variety, with hybrid, electric and internal combustion models all available in its Australian line-up.

“Overwhelmingly, we support any initiative to reduce emissions,” he said.

“Our response is to keep working with Subaru Corporation to bring in the right products for Australian consumers.”

The brand’s new “strong hybrid” Forester joins the fully electric Solterra and other hybrid and petrol models.

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The new 2025 Subaru Forester line-up features two powertrain options – petrol and hybrid. Picture: Supplied

Lawrence said hybrid tech is becoming the natural next step for traditional buyers as they offer “more range and confidence”, especially in regional Australia where EV infrastructure is limited.

However he did say “EVs will grow”.

“That’s why we’ve committed to providing a full spectrum of choice – from petrol to hybrid to electric,” he said.

Subaru has committed to launch eight EVs globally by 2028, though not all will reach Australia.

“EVs will form a bigger and bigger part of the future, but not the sole part,” he said.

Originally published as Subaru boss backs emissions but won’t say if price will rise