Fuji Heavy Industries has announced the Subaru Impreza will be produced in its North American plant beginning in 2016.

Subaru of Indiana Automotive (SIA) will expand its plant in Lafayette, Indiana to produce the sedans and hatchbacks, creating 900 new jobs.

“Record sales and a gain in market share for Subaru in North America led parent company, Fuji Heavy Industries (FHI), to the decision to invest US$400m to build the Impreza at its North American production facility, SIA, and increase the plant’s capacity by approximately 100,000 vehicles annually,” a statement said.

The plant will be expanded by over half a million square feet and the project will also involve new equipment – primarily in the paint and body shops- as well as changes to improve overall process flow.

Models currently produced at SIA are the Outback, Legacy and Tribeca. The Impreza currently is built only at Subaru’s Yajima and Gunma plants in Japan.

Construction of the planned expansion will begin this autumn and is expected to be completed by the end of 2016.

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Construction also continues on a $75m expansion project announced last May which will increase SIA’s capacity from 156,000 to 180,000 units annually without overtime.