2026 Subaru Outback Revealed, Boxy SUV Ready to Take On Hyundai Santa Fe

• All-new seventh-generation model revealed at the 2025 New York Auto Show
• Celebrates 30 years and over 3 million U.S. units sold
• Standard Subaru Symmetrical AWD and updated EyeSight safety technology
• New digital tech: 12.1” touchscreen, 12.3” gauge cluster standard
• Trim levels include Premium, Limited, Touring, XT, and Wilderness

Thanks to the new Land Rover Defender and Toyota Prado, boxy is cool again. Now, Subaru is throwing its hat into the squared-off arena with the reveal of the new 2026 Subaru Outback. This boxy family wagon isn’t aimed at the Prado or Defender. No, it’s pointing squarely at another boxy family wagon, the Hyundai Santa Fe (from AUD$55,500 plus on-road costs) when it arrives in the United States from late 2025.

The seventh-generation 2026 Subaru Outback is yet to be confirmed or priced for Australia, but we can only assume that news will be announced shortly, as Subaru has sold the Outback nameplate in Australia since 1996 (29 years). Today, it remains one of the brand’s top-selling models (2,300 sold YTD), and we expect the new model to do the same despite increased competition from China.

Top-line changes to the new Subaru Outback include an all-new 12.1-inch touchscreen centre display paired with a 12.3-inch full digital gauge cluster as standard on all models sold state-side, while the latest generation of the award-winning Subaru EyeSight Driver Assist Technology supports driver-supervised, hands-free highway driving up to 85mph (136km/h). Of course, we don’t expect this to transfer across to Australia, but the new infotainment screen is a welcome addition. Now, let’s take a closer look at the 2026 Subaru Outback!

What’s Under the Bonnet of the New Subaru Outback?

• Base engine: 2.5-litre BOXER, 180 hp, 178 lb-ft torque
• XT/Wilderness: 2.4-litre turbo BOXER, 260 hp, 277 lb-ft torque
• Enhanced AWD with faster locking, better off-road X-MODE performance
• WRX-style steering rack adds sharpness and low-speed control
• Standard 8.7” ground clearance, 17–19” wheels available by trim

Like the current models available in Australia, the entry-level engine choice for the new Subaru Outback is a 2.5-litre 4-cylinder BOXER engine that produces 180 hp and 178 lb-ft of torque and sends power to all four wheels through a Lineartronic CVT gearbox and Symmetrical All-Wheel Drive.

You can then step up to the XT and Wilderness variants, which are powered by the 2.4-litre 4-cylinder turbocharged BOXER engine that produces 260 hp and 277 lb-ft of torque. We’ve had a chance to review both engines in their current form back-to-back, and we would highly recommend the turbocharged variant if you’re road-tripping this vehicle with any weight added.

Interestingly, no hybrid variants of the new Outback have been announced. Subaru has only recently debuted the new hybrid powertrain for the new Subaru Forester in Australia, and we suspect this will be quite controversial for some buyers who want the increased fuel efficiency that comes from this system.

Drive-wise, the Outback has been equipped with a version of the WRX’s dual-pinion electronic power steering rack, which Subaru says should provide a more direct and natural steering feel with greater responsiveness.

It’s also higher off the ground with 20mm more ground clearance (241mm vs 221mm) and off-road angles measuring 20-degree approach, 21.2-degree breakover, and 22.5-degree departure.

What’s the Interior of the Subaru Outback Like?

• Increased cargo space: 34.6 cubic feet, 2” taller interior
• Front/rear passengers enjoy improved headroom and visibility
• New low-fatigue seats reduce motion and support longer drives
• 10% reduction in wind noise with new aerodynamic tuning
• Smart storage: USB cable clips, bottle holders, washable tonneau

Some of the biggest changes are found inside the new Subaru Outback, where an all-new 12.1-inch infotainment display (Wireless Android Auto and Apple CarPlay) and a 12.3-inch full digital instrument cluster are found.

The screen in the previous-generation Outback wasn’t bad at all, but it lacked some clarity, and the processor was quite slow. Well, that’s all been upgraded, and the new model sports a new advanced processor that offers more responsiveness and customizability. This combines with a new vertically oriented menu bar within the touchscreen that brings fast switching between navigation, music, and telephone operations. Meanwhile, an updated information bar quickly relays vehicle condition, outside temperature, and offers fast access to a new cloud-based voice recognition.

Climate control buttons have been made physical, moved from the touchscreen to hard buttons below the touchscreen. Yes! Meanwhile, the 12.3-inch full digital instrument cluster is standard in the US variants and includes selectable views such as Calm Mode and Normal Mode. If your phone is paired, a turn-by-turn navigation screen is displayed from apps such as Apple Maps.

Practicality is also of utmost importance, and the boxy dimensions on the outside translate to increased interior space. The cargo space measures 980-litres because the roof line is 2-inches taller, the front and rear passengers have improved headroom and visibility, too.

Equipment like the seats may change in overseas markets like Australia. However, the US-spec vehilces have low-fatigue seats that are said to “reduce motion and support longer drives,” while lateral sway has been reduced by 42% compared to its predecessor.

Meanwhile, there’s a 10 per cent reduction in wind noise with new aerodynamic tuning and plenty of smart storage around the inside of the vehilce such as USB cable clips, bottle holders, and a standard, configurable, and washable tonneau cover in the cargo area keeps loads secure.

When is the New Subaru Forester Coming to Australia?

The seventh-generation Subaru Outback has not been confirmed for Australia. More information, detailed specifications, and pricing information for our market will be available closer to the U.S. launch in late 2025.