Subaru Confirms Crosstrek Will Keep Gas-Only Engines

Subaru’s Crosstrek has been a massive cash cow for the company. The CUV first appeared in 2013, and Subaru wanted it to spearhead the compact CUV market. The Crosstrek delivered. In fact, it ranks as the brand’s second-strongest seller, and only the bigger Forester tops it in overall sales.
For years, one question lingered: could the Crosstrek go hybrid-only in the U.S.? But a new report says no. Subaru has no plans to make that move, and the Crosstrek will keep its current engine lineup for now.
Report Comes As Crosstrek Gets Updates In Japan

CarBuzz first published the report, which comes as Subaru updates the Crosstrek and Impreza in Japan. In that market, Subaru axed the non-hybrid Crosstrek, and it now sells the CUV as a hybrid only. This marks a big change for the CUV, but it will likely stay in Japan for now. A company spokesman told the publication: “We have no plans to discontinue the ICE-only Crosstrek in the US. We announced the 27MY Crosstrek in July, including ICE-only trims, which are assembled in Indiana.”
This two-tier production setup has run for a while now. Subaru builds the hybrid model in Japan. Meanwhile, it builds the non-hybrid version at its plant in Indiana. That model has also served as a gateway into the lineup, and the hybrid now sells alongside it. The Japanese version also gets minor visual tweaks and upgraded interior tech. U.S. models, however, already offer that tech upgrade.
Pricing Could Be Motivating Subaru’s Decision

Cost likely drives Subaru’s decision to keep the U.S. lineup as it is. The Base model starts at $26,995. So that price makes it a strong entry point for budget-minded shoppers. The Hybrid, however, offers just two trim levels. The base Sport Hybrid starts at $33,995, and the Limited climbs past $35,000 with taxes and fees.
That lower price also comes with a more flexible trim ladder. The non-hybrid Crosstrek also adds three more trim levels than the hybrid. So shoppers get more choices. It also hands the non-hybrid Crosstrek a real edge in flexibility and broad appeal.
What’s Next?

The third-generation Subaru Crosstrek has been in production since 2022, and it is now overdue for an overhaul. So far, Subaru has made only minor revisions. Still, the fourth-generation Crosstrek should tell a bigger story.
That next chapter could bring interior upgrades that the Forester and Outback already offer. The infotainment system, especially, stands to gain the most. Subaru could also make changes under the hood. The big question is whether the U.S. model follows Japan’s lead. It could ultimately go hybrid-only and drop the naturally aspirated 2.5-liter flat-four.
