Luxury cars are big business for car manufacturers, as not only do they prove popular as drivers want a vehicle that can improve the comfort and feeling of well-being of each journey, they also prove important for the brand image of the company, and they usually come with higher profit margins. For a mainstream brand to also offer more expensive luxury vehicles helps them seem more solid and established, leading those looking for a cheaper option to consider them, if only because they can typically get said luxury at a lower price from a regular automaker.
Mitsubishi
Founded
1870
Founder
Yatarō Iwasaki
Headquarters
Tokyo, Japan
Owned By
Mitsubishi Group
Current CEO
Takao Kato
Subaru
Founded
15 July 1953
Founder
Chikuhei Nakajima
Headquarters
Ebisu, Shibuya, Japan
Owned By
Subaru Corporation
Current CEO
Atsushi Osaki
This doesn’t always work out though, as brand image is important, and already-established marques can’t always palm off luxury goods to consumers using their mainstream brand names. Sometimes, they need to develop a standalone premium brand to try and attract well-off customers. This has tended to be the way Japanese brands like Honda and Toyota have gone, due to the companies building well-known reputations for producing affordable and reliable cars. The unfailingly reliable original Lexus LS is a case in point, and both Nissan and Honda have premium brands too – Infiniti and Acura, respectively. But three Japanese brands never took the plunge, and this is why.
This piece explores why a certain three Japanese manufacturers have never tried to establish their own luxury vehicle division.
The Late 20th Century Saw Japanese Marques Scrambling To Establish Luxury Brands
Vehicles sold by Japanese brands like Toyota, Nissan, and Honda grew in popularity with international audiences during the latter part of the 20th century, mainly as they offered excellent reliability when compared to their European and American rivals. Models like the Honda Civic and Toyota Camry took the world by storm, as drivers realized they could purchase an affordable and practical car that wouldn’t expire on the side of the world in a pile of steam every five minutes.
Discussion
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One thing foreign audiences didn’t rush for was luxury vehicles from the nation, mainly as people didn’t think Japanese automakers had the gravitas to pull them off, and didn’t want to be seen driving them. While it’s not really thought about these days, piloting a Toyota or Honda was seen as driving a budget car, no matter how fancy it was, especially for those who wanted a higher social status. As a result, these brands elected to improve their street cred by developing standalone premium brands.
Honda Was First To The Punch
The first to hit the market was Acura in 1986, which was Honda’s attempt at stealing away American luxury customers from the likes of BMW and Mercedes-Benz. Toyota’s Lexus and Nissan’s Infiniti followed soon after, while Mazda established the short-lived Amati brand in 1992. Acura and Lexus, in particular, have built a robust reputation over the subsequent decades for offering not only plush, but dependable cruisers for the masses.
Some Japanese brands were content to swerve the Japanese luxury race, though, as they decided to keep their focus elsewhere.
Subaru Elected To Keep Its Rugged Performance Roots Intact
The first of these brands not to embrace the luxury sector is Subaru, which has always positioned itself as a rugged brand that prioritizes making its offerings tough and durable over plush and smooth. The marque brought symmetrical all-wheel-drive to market in the 1970s, and developed its versatile boxer engine, which has featured in most of its products during its history.
Notable Subaru Models
Outback (1993-Present)
Impreza (1992-Present)
Forester (1997-Present)
Legacy (1989-2025)
Tribeca (2005-2014)
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Its models have always tended to reflect its rough-and-ready image, with cars like the Outback, Impreza and Forester tending to come with higher ride heights and a range of off-road equipment like locking diffs and such, to ensure they excel when things get tough. Cars like the Legacy sedan still feature all the features that ensure they’re comfortable on the road, and come with quality finishes, but they’re not angled purely towards luxury.
Subaru’s Extensive Rallying History Further Reflects This Approach
This direction is further illustrated by its long-standing rallying participation, the brand competing full-time in the World Rally Championship between 1993 and 2008. It still competes on the rough stuff to this day, with its program in the American Rally Association one of its most prolific projects. As illustrated by its history, Subaru’s focus on developing rugged machinery remains its main selling point, with luxury going completely against this approach.
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As a result, Subaru has remained steadfastly focused on its roots, rather than pivoting towards developing a fully-fledged luxury brand.
Mitsubishi Has Offered Luxury Models, But Never A Separate Brand
Like Subaru, Mitsubishi has always tended to aim its vehicles more towards the rugged side of the market. Vehicles like the Pajero and Lancer Evolution are the best known from the marque, and they made their name in off-road racing disciplines like the WRC and the grueling Dakar cross-country rally. Its other road-going models, such as the Mirage subcompact hatch and Eclipse coupe, have always tended to be aimed more at the high-value side of the market.
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Notable Mitsubishi Models
Outlander (2003-Present)
Lancer Evolution (1992-2016)
Diamante (1990-2005)
Pajero (1981-2021)
Endeavor (2003-2011)
That said, the marque has tried its hand at offering full-luxury models on a couple of occasions, though they never fared well. One of the highest-profile attempts was with the Diamante, which was essentially a stretched version of the Galant sedan. Having been imported by the brand from its home Japanese market, it was designed to take on the likes of the Lexus GS. The model being a little dull, as well as Mitsubishi’s reputation for offering cheaper models, meant luxury buyers weren’t interested in a car sporting the badge.
It failed to achieve big sales, and was eventually culled in 2005. Since then, Mitsubishi has largely abandoned the luxury sector and focuses its attention on developing small economy cars and SUVs at the cheaper end of the market, such as the Eclipse Cross and Outlander.
Suzuki Has Always Remained True To Its Beginnings
The last Japanese manufacturer not to have developed a standalone luxury brand is Suzuki, which has always gravitated towards the budget side of the automotive marketplace. Its cars, like the Cultus and bulletproof Grand Vitara, were designed to be affordable, dependable, and effective for particular areas of the automotive space. While the Cultus was developed to be a nippy and cheap-to-run city car, models like the Jimny and Vitara were designed to be rugged off-roaders that could be had for a fraction of the price of more established models like the Jeep Wrangler.
Notable Suzuki Models
Swift (2004-Present)
Grand Vitara (1998-Present)
Jimny (1970-Present)
Alto (1979-Present)
Verona (2003-2006)
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The brand has remained steadfast to this approach throughout its long history, the company dating back to 1909. In its home nation, Suzuki has been a big player in the kei car market, which are ultra-small cars featuring dinky engines that can be no larger than 660 cc by Japanese law. Models like the Wagon R and high-revving Cappuccino have ended up making it overseas as trusty, cheap options for foreign buyers, as has the Swift city car, which proved successful in Europe.
Its Focus On Budget Cars Forced It To Pull Out Of The US
Suzuki’s ultra-cheap vehicles struggled to make an impression on US audiences, and falling sales, twinned with a tough financial forecast for the marque at the time, forced the brand to pull out of the North American market in 2012. It could have perhaps taken a different route and tried to develop more luxury-geared vehicles to retain a foothold in the lucrative US market, but Suzuki has remained loyal to what it knows and what has largely led it to success over the past century.
Building cheap and dependable transportation for those who don’t care much about luxury or adrenaline-pumping thrills. Like Subaru and Mitsubishi, Suzuki doesn’t look like it’ll deviate from this approach anytime soon.
Sources: Suzuki, Mitsubishi, Subaru, Lexus, Acura, Toyota, Honda.
AloJapan.com