Sedan Down: Subaru Halts Legacy Production

Matthew Guy
by Matthew Guy

If yer looking for a midsize sedan with all-wheel drive, the list of choices is about to get smaller. Subaru has announced production of the Legacy will end early in the 2025 calendar.

It was only a few days ago we brought news that the Exploding Galaxy brand was holding the line in terms of pricing for the Legacy headed into its 2025 model year, starting at an MSRP of $24,895. As one would expect, Subaru said its discontinuation reflects market shifts from passenger cars to high-riding SUVs and crossovers. It goes on to note its efforts of transition to electrified and fully electric vehicles, with plans to produce an octet of EV models by 2028. 


Since it appeared, Legacy models sold in America have been assembled at the brand’s facility in Lafayette. That plant, located in Indiana, has made somewhere just on either side of 300,000 vehicles per year for each of the last 10 years. Production waxed and waned up to that point from its opening in 1989, with 116,297 machines being hove out in 1991 but 216,198 assembled in 1998. Subaru claims more than 6,000 associates toil at the place for North American production for the Ascent, Crosstrek, Legacy, and Outback models. It is likely the cancelation of Legacy will make room for more production of the other three models.


Where might some Legacy shoppers end up? In Outbacks or Foresters, if staff on the sales floor are any good at their jobs, of course. Barring that, recall that Camry is available with all-wheel drive, as is the Hyundai Sonata. It’s an odd scenario to think of those brands offering an solution to something not available at a Subaru dealership, since it was precisely the inverse situation which led to Subie’s growth in the 1990s and 2000s.


Through to the end of March 2024, the Legacy has found 4,398 buyers compared to 35,213 takers for the Outback. While that’s quite a gulf, it should be noted the Crosstrek moved 38,405 units and the Forester drove away with 48,546 new owners. It’s clear – and unsurprising – where the brand’s profits lie. Subaru delivered a total of 152,996 vehicles in that timeframe. 


Still, we’ll pour one out for the demise of yet another midsize sedan.


[Image: Subaru]


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Matthew Guy
Matthew Guy

Matthew buys, sells, fixes, & races cars. As a human index of auto & auction knowledge, he is fond of making money and offering loud opinions.

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  • Lorenzo Lorenzo on Apr 24, 2024

    I'm not surprised. They needed to drop the "four-door coupe", or as I call it, the Dove soap bar shape, and put a formal flat roof over the rear seats, to call it a sedan. The Legacy hasn't had decent back seat headroom since the 1990s, except for the wagons. Nobody wants to drive with granny in the front passenger seat!

  • Varezhka Varezhka on Apr 25, 2024

    Maybe the volume was not big enough to really matter anyways, but losing a “passenger car” for a mostly “light truck” line-up should help Subaru with their CAFE numbers too.

  • Bouzouki Cadillac (aka GM!!) made so many mistakes over the past 40 years, right up to today, one could make a MBA course of it. Others have alluded to them, there is not enough room for me to recite them in a flowing, cohesive manner.Cadillac today is literally a tarted-up Chevrolet. They are nice cars, and the "aura" of the Cadillac name still works on several (mostly female) consumers who are not car enthusiasts.The CT4 and CT5 offer superlative ride and handling, and even performance--but, it is wrapped in sheet metal that (at least I think) looks awful, with (still) sub-par interiors. They are niche cars. They are the last gasp of the Alpha platform--which I have been told by people close to it, was meant to be a Pontiac "BMW 3-series". The bankruptcy killed Pontiac, but the Alpha had been mostly engineered, so it was "Cadillac-ized" with the new "edgy" CTS styling.Most Cadillacs sold are crossovers. The most profitable "Cadillac" is the Escalade (note that GM never jack up the name on THAT!).The question posed here is rather irrelevant. NO ONE has "a blank check", because GM (any company or corporation) does not have bottomless resources.Better styling, and superlative "performance" (by that, I mean being among the best in noise, harshness, handling, performance, reliablity, quality) would cost a lot of money.Post-bankruptcy GM actually tried. No one here mentioned GM's effort to do just that: the "Omega" platform, aka CT6.The (horribly misnamed) CT6 was actually a credible Mercedes/Lexus competitor. I'm sure it cost GM a fortune to develop (the platform was unique, not shared with any other car. The top-of-the-line ORIGINAL Blackwing V8 was also unique, expensive, and ultimately...very few were sold. All of this is a LOT of money).I used to know the sales numbers, and my sense was the CT6 sold about HALF the units GM projected. More importantly, it sold about half to two thirds the volume of the S-Class (which cost a lot more in 201x)Many of your fixed cost are predicated on volume. One way to improve your business case (if the right people want to get the Green Light) is to inflate your projected volumes. This lowers the unit cost for seats, mufflers, control arms, etc, and makes the vehicle more profitable--on paper.Suppliers tool up to make the number of parts the carmaker projects. However, if the volume is less than expected, the automaker has to make up the difference.So, unfortunately, not only was the CT6 an expensive car to build, but Cadillac's weak "brand equity" limited how much GM could charge (and these were still pricey cars in 2016-18, a "base" car was ).Other than the name, the "Omega" could have marked the starting point for Cadillac to once again be the standard of the world. Other than the awful name (Fleetwood, Elegante, Paramount, even ParAMOUR would be better), and offering the basest car with a FOUR cylinder turbo on the base car (incredibly moronic!), it was very good car and a CREDIBLE Mercedes S-Class/Lexus LS400 alternative. While I cannot know if the novel aluminum body was worth the cost (very expensive and complex to build), the bragging rights were legit--a LARGE car that was lighter, but had good body rigidity. No surprise, the interior was not the best, but the gap with the big boys was as close as GM has done in the luxury sphere.Mary Barra decided that profits today and tomorrow were more important than gambling on profits in 2025 and later. Having sunk a TON of money, and even done a mid-cycle enhancement, complete with the new Blackwing engine (which copied BMW with the twin turbos nestled in the "V"!), in fall 2018 GM announced it was discontinuing the car, and closing the assembly plant it was built in. (And so you know, building different platforms on the same line is very challenging and considerably less efficient in terms of capital and labor costs than the same platform, or better yet, the same model).So now, GM is anticipating that, as the car market "goes electric" (if you can call it that--more like the Federal Government and EU and even China PUSHING electric cars), they can make electric Cadillacs that are "prestige". The Cadillac Celestique is the opening salvo--$340,000. We will see how it works out.
  • Lynn Joiner Lynn JoinerJust put 2,000 miles on a Chevy Malibu rental from Budget, touring around AZ, UT, CO for a month. Ran fine, no problems at all, little 1.7L 4-cylinder just sipped fuel, and the trunk held our large suitcases easily. Yeah, I hated looking up at all the huge FWD trucks blowing by, but the Malibu easily kept up on the 80 mph Interstate in Utah. I expect a new one would be about a third the cost of the big guys. It won't tow your horse trailer, but it'll get you to the store. Why kill it?
  • Lynn Joiner Just put 2,000 miles on a Chevy Malibu rental from Budget, touring around AZ, UT, CO for a month. Ran fine, no problems at all, little 1.7L 4-cylinder just sipped fuel, and the trunk held our large suitcases easily. Yeah, I hated looking up at all the huge FWD trucks blowing by, but the Malibu easily kept up on the 80 mph Interstate in Utah. I expect a new one would be about a third the cost of the big guys. It won't tow your horse trailer, but it'll get you to the store. Why kill it?
  • Ollicat I am only speaking from my own perspective so no need to bash me if you disagree. I already know half or more of you will disagree with me. But I think the traditional upscale Cadillac buyer has traditionally been more conservative in their political position. My suggestion is to make Cadillac separate from GM and make them into a COMPANY, not just cars. And made the company different from all other car companies by promoting conservative causes and messaging. They need to build up a whole aura about the company and appeal to a large group of people that are really kind of sick of the left and sending their money that direction. But yes, I also agree about many of your suggestions above about the cars too. No EVs. But at this point, what has Cadillac got to lose by separating from GM completely and appealing to people with money who want to show everyone that they aren't buying the leftist Kook-Aid.
  • Jkross22 Cadillac's brand is damaged for the mass market. Why would someone pay top dollar for what they know is a tarted up Chevy? That's how non-car people see this.
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