Unveiled at the 2002 Chicago Auto Show, the second-generation Forester (SG platform) refined the compact SUV recipe through hydroformed steel structural framing and an aluminum hood that lowered the vehicle's center of gravity. Engine selections comprised 2.0L and 2.5L naturally aspirated EJ flat-fours alongside turbocharged EJ205 2.0L and EJ255 2.5L variants producing up to 230 hp. The engineering setup effectively combined the low center of gravity inherent to the horizontally-opposed engine layout with a rigid chassis frame, delivering precise handling and composure across dry pavement and slippery surfaces alike. Engine bay packaging ensured optimal front-to-rear axle weight distribution alongside efficient thermal cooling under sustained driving loads.

A major facelift in 2005 replaced the front end components with larger headlights and an integrated front grille design. The domestic Japanese market featured the renowned Forester STi variant equipped with a 265 hp 2.5-liter EJ257 turbo engine and 6-speed manual transmission derived from the Impreza STI. Second-generation production concluded in late 2007. Designers placed a strong emphasis on cabin ergonomics, occupant visibility, and long-distance driving comfort. Robust mechanical reliability across the drivetrain and suspension components helped establish this generation as a benchmark choice within its competitive market segment worldwide.