impreza_small.jpgSince Toyota’s 8.7% stake purchase in Fuji Heavy Industries which makes Subaru cars, there has been on-going talks on the usage of Toyota’s hybrid engines in Subaru cars. But this proved to be difficult due to Subaru’s unique symmetrical all-wheel-drive drivetrain which could not be mounted to the engine easily.

The next best thing would be to develop a new hybrid engine for Subaru. Toyota and Fuji Heavy Industries have signed an agreement on Saturday to co-develop a petrol-electric hybrid system together for use on Subaru vehicles. More details on this alliance will be announced tonight at 10pm Malaysian time.