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What was the 1985 XT coupe known for?

The 1985 XT coupe is most remembered for its bold, futuristic styling and for introducing Subaru’s all‑wheel‑drive performance concept to a compact sports coupe, with a turbocharged option following in later years.


Launched as part of Subaru’s Alcyone family, the XT represented a deliberate shift toward aerodynamics, versatility, and rally‑inspired engineering in a market that prized both practicality and performance. This article examines what the model was, why it mattered at the time, and how it is viewed today.


Origins and design


To understand the XT’s place in automotive history, it helps to look at its design philosophy and the niche Subaru aimed to fill in the mid‑1980s. The XT was conceived as a 2+2 coupe with a hatchback, marrying a futuristic, aero‑driven silhouette with everyday usability.


Notable design hallmarks of the 1985 XT included:



  • A distinctive wedge‑shaped body style aimed at reducing drag and creating a forward‑looking stance

  • A compact two‑plus‑two layout with a practical rear hatch for luggage and cargo

  • An emphasis on a driver‑focused cockpit and a glass‑rich cabin area to maximize visibility

  • Early adoption of Subaru’s all‑wheel‑drive philosophy for improved traction and handling


In summary, the XT’s design signaled Subaru’s intention to blend performance cues with everyday practicality, setting a template that would influence future models in the brand’s lineup.


Engineering and performance


The XT’s engineering package blended Subaru’s evolving all‑wheel‑drive approach with a compact, efficient powertrain, preparing the ground for later turbocharged variants and more capable coupes.



  • Base power came from a horizontally opposed (flat) four‑cylinder engine, with refinements over the model’s run in different markets

  • All‑wheel drive (a hallmark of Subaru engineering) aimed at better grip in diverse road conditions

  • Suspension and chassis tuning designed for a balance between ride comfort and confident handling

  • A turbocharged variant—the XT Turbo—appeared in 1986, delivering noticeably higher performance and expanding the model’s capabilities


Concluding note: The combination of AWD dynamics and the later turbo option helped establish the XT as a pioneer within Subaru’s sport‑coupe repertoire, influencing how the brand approached performance cars in the years that followed.


Reception and legacy


When it first arrived, the XT drew attention for its avant‑garde styling and the promise of Subaru’s all‑wheel‑drive performance in a sporty, everyday package. It became a talking point among enthusiasts for its distinctive look and for signaling Subaru’s broader commitment to combining practicality with performance.


Today, the XT is often remembered as a milestone in Subaru’s early forays into turbocharged, all‑wheel‑drive coupes. Its legacy lives on in the way the brand framed performance‑oriented models—culminating in later generations of turbo and all‑wheel‑drive Subarus that became staples in rallying culture and mainstream appeal.


Summary


The 1985 XT coupe is best known for introducing a bold, aero‑driven design to Subaru’s lineup and for integrating all‑wheel‑drive into a compact sports coupe, with a turbocharged variant expanding its capability. Its mix of futuristic styling, practical hatchback layout, and AWD performance helped shape Subaru’s directional shift in the 1980s and beyond, leaving a lasting imprint on the brand’s performance‑oriented identity.

What was the most popular car in 1985?


The most popular car in the U.S. in 1985 was the Chevrolet Cavalier, with 422,927 units sold. The Ford F-Series was the best-selling vehicle overall (including trucks), while the Cavalier was the best-selling passenger car for that year. The Ford Escort was the third best-selling vehicle overall and a major competitor.
 

  • Overall best-seller: Ford F-Series (truck)
  • Best-selling car: Chevrolet Cavalier
  • #3 best-selling vehicle: Ford Escort



What does XT stand for on Subaru?


In a modern Subaru, "XT" typically stands for a turbocharged engine with enhanced performance, while "X" on its own, often in "X-MODE," refers to Subaru's advanced all-wheel-drive and traction control system designed for tough conditions. The "T" in "XT" is an indicator that the vehicle has a more powerful, turbocharged engine compared to its standard non-turbo models.
 
Turbocharged Engine 

  • Increased Power: XT models have a significantly more powerful engine than base models, such as a 2.4-liter turbocharged engine that produces 260 horsepower in newer Outback models.
  • Higher Towing Capacity: The extra power from the turbocharged engine also allows for a higher maximum towing capacity compared to non-XT versions. 

X-MODE (Related, but distinct meaning) 
  • Traction and Stability: This system is engineered to handle challenging conditions like snow, mud, and steep descents.
  • Adjusts Throttle and Transmission: X-MODE adjusts engine response and transmission to distribute power effectively, limiting wheel slip and enhancing grip.
  • Hill Descent Control: It can also include a feature for controlling speed and braking during steep descents. 



What makes the Subaru XT unique?


The XT featured a turbocharger, computer-controlled engine and transmission, adjustable height suspension and an optional digital instrument cluster.



Is the Subaru Outback XT fast?


So this turbo engine is still down on power about 10%. See what it can do with the brake. Rev. Not bad true 0 to 60 came in at 7.15. Seconds.


Kevin's Auto

Kevin Bennett

Company Owner

Kevin Bennet is the founder and owner of Kevin's Autos, a leading automotive service provider in Australia. With a deep commitment to customer satisfaction and years of industry expertise, Kevin uses his blog to answer the most common questions posed by his customers. From maintenance tips to troubleshooting advice, Kevin's articles are designed to empower drivers with the knowledge they need to keep their vehicles running smoothly and safely.