Subaru's Boxer Diesel
...Subaru is linking with Toyota Motor Corp. for the development of a hybrid-electric powertrain for its gasoline and diesel boxer engines.
However, Subaru's iconic all-wheel drive system does not easily adapt to Toyota's front-wheel-drive-based Hybrid Synergy Drive used in the Prius. To counter this, Subaru now is considering utilizing a version of the rear-wheel-drive hybrid powertrain used in the Lexus GS 450h sedan.
A diesel-hybrid Outback should get better mpg than even the 40city/60hwy projected for the 2008 VW Jetta SportWagon.
