Jeep has high hopes for its first all-electric SUV in the United States. The rugged SUV logo is gearing up to counter the drop in sales with new electric cars that Jeep says can compete with the best. Jeep CEO Antonio Filosa believes the Wagoneer S electric SUV can take market share away from Tesla’s best-selling Model Y.
After its EE. UU. se sales quadrupled, reaching nearly one million in 2018, Jeep struggled to gain traction.
Jeep sales have been on a downward spiral for the past five years as the logo struggles to locate its identity in a transitioning U. S. market.
Filosa, who took over as Jeep’s CEO last November, believes the logo can make a difference. “We’re building a roadmap for growth, both in volume and profitability,” Filosa told Automotive News.
The Jeep executive says that despite everything, the logo can achieve 1 million sales in the U. S. 2 million worldwide. Filosa said much of the decline in sales of the logo was due to a lack of models in vital SUV segments.
After failing to update the Cherokee, the logo ended production of the midsize SUV last year. Jeep also recalled its cheapest vehicle, the Renegade, after the logo’s worst-selling model.
After admitting that more efforts needed to be made to fend off the competition, the Jeep CEO cut costs earlier this year, adding a $4,000 increase on his best-selling Grand Cherokee.
With sales falling below 643,000 last year, Jeep plans to replace that with its first all-electric vehicles.
“We will have a greater market policy from the end of the year with the launch of Wagoneer S and Recon,” Filosa explained.
Jeep will launch its first all-electric cars in the U. S. this year in an effort to revamp the logo and stave off falling sales.
The first, which is expected to start production this quarter, is the Wagoneer S. Jeep unveiled the electric SUV ahead of its debut later this year, revealing a new reimagined seven-slot grille and sleek design.
Based on Stellantis’ 600 hp STLA platform, the SUV is “ultra-fast” with acceleration from 0 to 100 km/h in 3. 5 seconds.
Filosa believes Jeep can compete with Tesla in the electric SUV segment, appealing to consumers who “want something more sophisticated. “
Jeep’s new CEO believes the brand’s first electric vehicle will attract younger, higher-paid employees, such as Tesla. “It’s a very iconic product that has to compete with other competitors that are doing well in the U. S. and elsewhere,” Filosa said. .
“I’m really, really confident in the effect it has when you see it in person. We showed it to our Italian distributors and they were stunned,” he added.
Jeep’s second electric vehicle will be the Wrangler-inspired Recon, which is scheduled to launch later this year.
We’ve already noticed what the Recon Moab 4xe looks like after photos were leaked at an event hosted by a dealership in Las Vegas.
With features like removable doors and windows, Jeep turns out to stay true to the brand’s roots. “We want to tap into a giant network of satisfied Wrangler owners and tell them that the Recon, even though it’s electric, is in line with our values and capabilities. “
Jeep’s former head of North American operations, Jim Morrison, said the Recon has the ability to traverse the mighty Rubicon Trail. More importantly, you can “get to the end of the trail with enough diversity to get back into town and recharge. “
According to recent UAW agreements, Jeep is expected to launch an electric Wrangler in 2028. Around 2027, Jeep plans to release an electric for its best-selling Grand Cherokee.
With Tesla’s Model Y becoming the best-selling vehicle (gas or electric) in the first quarter of 2023, it’s only natural for brands to take aim at the EV leader.
These will be built on the same platform as the upcoming Dodge Charger, which will be available in ICEV and EV versions (and only the fullest-functionality versions will be electric, the majority of sales are expected to be ICEVs). Most likely, the same will happen with the Jeeps: it will be a very expensive EV version, but most of the sales will be a run-of-the-mill ICEV version.
Jeep is already lagging behind in the U. S. EV market. But the logo believes it may replace it with two new models hitting the market in key segments.
With new electric SUVs like the Chevy Blazer EV, Equinox EV, Honda Prologue, and others hitting the market, Jeep will have to move. Meanwhile, Rivian’s all-electric R1S, rival to Jeep, has become the fourth best-selling electric vehicle in the first 3 months of the year. According to data from Kelley Blue Book, the R1S accounted for 2. 9% of the U. S. EV market. in the first quarter.
The logo hopes its electric models will resonate with consumers as it looks to revamp sales in the U. S. and Canada. In the U. S. and around the world.
How will Jeep’s first electric SUVs compare to Tesla?Let us know what you think in the comments.
Peter Johnson covers the automotive industry’s step-by-step transformation to electric vehicles. He is a seasoned investor, money writer, and electric vehicle enthusiast. His enthusiasm for electric vehicles, primarily Tesla, is one of the main reasons he pursued a career in investing. If he doesn’t tell you about his latest discoveries in the 10K, you can spot him enjoying the outdoors or exercising.