Jeep expects to grow plug-in hybrid SUV sales by as much as 50% in 2024
What role do PHEVs play in Jeep's strategy to transition from traditional gas-powered SUVs to all-electric vehicles?
Jeep's strategy to transition from traditional gas-powered SUVs to all-electric vehicles involves the use of plug-in hybrid electric vehicles (PHEVs) as an intermediate step. PHEVs combine an internal combustion engine with electric vehicle (EV) technologies, offering better fuel economy and some all-electric driving range. By introducing PHEVs, Jeep aims to accelerate consumer adoption of electrified vehicles and serve as a bridge between their traditional gas-guzzling SUVs and all-electric models.
Jeep has set a target to sell 160,000 to 170,000 PHEVs in the U.S. this year, which would be an increase of 40% to 50% from last year. This move is also intended to offset sales of the brand's gas-guzzling SUVs amid tightening emissions and fuel economy standards. As part of this strategy, Jeep has launched its first all-electric SUVs in the U.S., starting with the Wagoneer S EV.
Furthermore, Jeep is evaluating whether to launch traditional hybrid vehicles in the U.S. in addition to its plug-in models. The company is also planning to introduce "range-extender electric vehicle" (REEV) models, which operate slightly differently than typical hybrids. These vehicles can operate as zero-emissions EVs until the vehicle's battery dies, at which point an electric onboard generator, powered by a 3.6-liter V6 engine, kicks on to power the vehicle after its initial charge.
In summary, PHEVs play a crucial role in Jeep's strategy to transition to all-electric vehicles by serving as an intermediate step, offering consumers the benefits of electrification while maintaining some elements of traditional gas-powered vehicles. This approach is intended to help ease consumers into the idea of electric vehicles and build acceptance for the technology.
What is the percentage growth Jeep is targeting for its PHEV sales in the U.S. this year?
Jeep is targeting a growth of 40% to 50% for its PHEV sales in the U.S. this year. The Stellantis brand expects to sell 160,000 to 170,000 plug-in hybrid electric vehicles, or PHEVs, in the U.S. this year. This increase is in line with Jeep's strategy to leverage PHEVs as a bridge between its traditional gas-guzzling SUVs and all-electric vehicles amid a slower-than-expected sales pace of EVs.
What new electric vehicle models is Jeep launching in the U.S., and what are their expected release dates?
Jeep is launching its first all-electric SUVs in the U.S., beginning with the Wagoneer S EV. The next Jeep vehicles are expected to be the Wagoneer S EV this fall, followed by a Wrangler-like EV called the Recon and a replacement for the discontinued Cherokee midsize SUV during the first half of next year. The automaker also will add new plug-in "range-extender" models to its gas-powered Wagoneer and Grand Wagoneer large SUVs in 2025.