One problem related to axle shaft seal has been reported for the 1997 Subaru Impreza. The most recently reported issues are listed below.
Rear wheel bearings have failed 4 times under warranty and additional 4 times out of warranty. Bearing were replaced during each repair, sometimes axels and housings as well. Subaru refused to continue repairs outside of warranty period. 8 failues total at regular intervals .
| Axle Assembly problems | |
| Axle Shaft problems | |
| Axle Shaft Seal problems |