New laws pave the way for Toyota to acquire Subaru

Changes to Japan’s antitrust laws has leaves the path open for industry giant Toyota to take over Fuji Heavy Industries, the parent company of Subaru. Toyota has owned an 8.7% stake of Fuji Heavy since October 2005 but according to analysts, the company always wanted a controlling stake but couldn’t due to the antitrust laws at the time. According to Automotive News, combined sales of Toyota and Fuji Heavy comprised 45.6% of the Japanese domestic market in 2006.

Under the previous antitrust rules, no company could control 50% of the Japanese market for any product, but the new rulings will look at global market share instead when reviewing mergers and acquisitions. The changes are designed to strengthen Japanese companies' competitiveness on world markets, but won’t take effect until the 1st of April. Toyota taking a controlling stake in Fuji Heavy is sure to bring that number one automaker spot ever closer to the Japanese giant. We also hope that Toyota will take advantage of Subaru's expertise in AWD and performance cars and apply them to future models. Subaru could definitely add some spice to the normally staid Toyota lineup.