Jeep Wagoneer S Trailhawk EV concept
Michael Wayland/CNBC
Auburn Hills, Michigan – Stellantis Jeep expects global Jeep sales to grow by 50% in the next three years, as the automaker tries to capitalize on the quintessential American SUV brand to boost profits.
The transatlantic automaker said Thursday that it will expand production and sales to nearly 1.5 million units by 2027. To do so, the company will grow its vehicle and powertrain offerings.
“The Jeep brand can be a local hero anywhere,” Stellantis CEO Carlos Tavares told investors Thursday during Stellantis' Investor Day at its North American headquarters. “We will work to strengthen Jeep’s manufacturing footprint.”
Jeep plans to expand its vehicle nameplates from 10 to 13 by 2027, Jeep CEO Antonio Velosa said. These vehicles will include 27 different powertrain offerings – conventional internal combustion engine, hybrid, long-range hybrid electric/electric and all-electric. This is up from 18 currently.
“We want to grow,” Velosa said, explaining the three pillars of his strategy: customer choice of engines, increasing market coverage and globalization.
Much of the expected growth is targeted at North America, where the brand aims to increase sales to 1 million units by 2027, up from about 700,000 last year.
Jeep is expected to introduce the recently revealed Wagoneer S EV later this year, followed by a Jeep Wrangler-inspired off-roader called the Recon. A new, unnamed midsize SUV is scheduled to launch next year to replace the discontinued gas-powered Cherokee SUV. Jeep is also planning additional versions of its existing Wagoneer and Grand Wagoneer large SUVs.
The Jeep Renegade EV is expected to be worth nearly $25,000 by 2027, according to the company's investor group. Tavares announced such a car last month, saying it would arrive in the United States “very soon.”
The New York Stock Exchange will welcome the Jeep brand (NYSE: STLA) to the podium on May 31, 2024. To celebrate the occasion, Antonio Velosa, CEO, and Len Martin, President of the New York Stock Exchange Group, will ring the opening bell®.
New York Stock Exchange
Offering a new electric vehicle for around $25,000 has been a long-time goal of automakers like Stellantis, Tesla and others. The importance of such a vehicle has become clearer as Chinese automakers such as BYD and Nio increase sales of less expensive electric vehicles outside China.
During the first quarter of this year, Jeep sales totaled 31,750 vehicles, an increase of 47% over the same period of the previous year. The brand sold nearly 643,000 vehicles last year, down 6% from 2022. Jeep represented 42% of Stellantis sales in the United States in 2023.
