Subaru (UK) Limited, the all-wheel drive specialist, has opened a new a £10m corporate headquarters in Coleshill, West Midlands.

The building, which is located near Birmingham Airport was officially opened by Mr Tomohiko Ikeda, Corporate Vice President and Chief General Manager, Subaru Overseas and Marketing Division.

Around 70 staff are already based in Coleshill with a further 30 due for transfer by the end of March. Approximately 70 employees will remain at the company’s site in West Bromwich.

Subaru (UK) Limited, which started importing the Japanese brand to the UK in 1977, is planning to launch several new models in 2007 and 2008.

The company will reveal its first diesel engine at the Geneva Motor Shown in March.

The ‘boxer’ is the world’s first horizontally-opposed turbo diesel engine. According to Subaru it gives exceptional refinement and smoothness, with low levels of noise and vibration.

The boxer engines are more compact than in-line units and provide a lower centre-of-gravity, enabling superior handling and safer cornering.

The first Subaru to feature the new boxer engine will be available early in 2008.