Subaru maker Fuji Heavy Industries is planning to reorganise production at its joint venture plant with Isuzu in the United States and use GM production facilities for a new model, jointly developed with GM, due in 2005.

Subaru-Isuzu Automotive, established in Indiana in 1987, currently produces the Subaru Legacy and Isuzu pickups and is scheduled to start making a new Legacy-based pickup next year. Meanwhile, Isuzu is to concentrate SUV production in the U.S.

The two companies have now concluded that SIA will soon reach production capacity, hence Fuji's two-pronged approach.

The planned new model jointly developed with GM is most likely to share a GM production facility.

GM is also to build a Subaru-badged version of its Opel Zafira minivan in Thailand for sale in Japan.