Jeep prepares hybrid Toyota RAV4 rival

William Stopford

When Jeep ended production of the Cherokee in 2023 it left one of the most important SUV segments in the world. It now plans to get back into action.

Automotive News reports confirmation from Jeep CEO Antonio Filosa at the Los Angeles Auto Show that a Cherokee replacement should take place in 2025.

The report seems to suggest that the Cherokee replacement may be a hybrid and not a plug-in hybrid (PHEV).

Jeep’s vice president of global product planning, Matthew Nyquist, told the publication in September that it was studying conventional hybrids, a type of powertrain it does not currently offer.

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Instead, it has a mix of powertrains. In addition to petrol models, it offers a mild-hybrid version of the Compass in markets such as Australia and Europe, plus plug-in hybrid versions of the Compass and Grand Cherokee locally and the Wrangler overseas.

It has also launched its first electric model, the Avenger, with more electric vehicles to follow.

“Between plug-in and HEV (hybrid) there is quite a bit of cost involved because we have the engine and a fairly large battery in the plug-in hybrid,” Mr Nyquist said. Automotive News.

“It’s a natural extrapolation to look at HEV, and especially in markets like the US there is a lot of HEV across multiple segments. So it is certainly something that we would look at across all segments to provide our buyers with the right price and fuel economy.”

A Cherokee replacement with hybrid power would give Jeep a rival to hybrid Toyota RAV4, Nissan X-Trail, Kia Sportage and Hyundai Tucson models.

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It could also give Jeep a cheaper electrified version of its new midsize SUV than if it offered a PHEV model, as PHEVs typically command a much larger price premium than gasoline models.

Furthermore, it would allow Jeep to tap into the rising demand for hybrids in markets such as the US and Australia.

Mr. Filosa told the media in June that a new “mainstream” D-segment (i.e. mid-size) SUV is in the works, and while he did not confirm the name, he said the media “could probably guess what this one would be called” – suggesting it would dust off the Cherokee emblem.

He confirmed there will be more than one powertrain option.

“No. Not at first,” Filosa said when asked if the SUV would be electric only, like the new Wagoneer S.

“We will have a few options, as we said: freedom of choice, we will offer the market a few options.”

The current Cherokee left production in 2023, but was discontinued in Australia in 2022.

This ended a decades-long run of the nameplate, which debuted in 1974 and was used continuously thereafter. However, Jeep sold two generations of Cherokee as the Liberty in North America.

In the absence of the Cherokee, Jeep only has the smaller Compass to offer, which is more expensive than many midsize SUVs, or buyers can step up to the larger, more expensive Grand Cherokee.

In markets such as Latin America and India, it also has the Commander/Meridian, a Compass-derived three-row SUV.

The mid-size SUV segment was Australia’s largest new car segment in 2023, accounting for 268,480 sales, but Jeep sold just 16 Cherokees as it cleared remaining stock. Sales of the model had also declined in recent years.

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A new midsize SUV could give Jeep a big boost when it comes to sales.

Sales in Australia have been on a largely downward trajectory since 2014, when they reached a record high of 30,408 sales. There was a slight increase in 2020 and a larger increase in 2021, before sales fell further.

MORE: Everything Jeep Cherokee