Stellantis plans to grow Jeep sales 50% by 2027

Business

In this article

 Jeep Wagoneer S Trailhawk EV concept
Michael Wayland / CNBC

AUBURN HILLS, Mich. – Stellantis expects to grow sales of Jeep vehicles globally by 50% in the next three years, as the automaker attempts to leverage the quintessential American SUV brand for increased profits.

The transatlantic automaker on Thursday said it will expand production and sales to roughly 1.5 million units by 2027. To do so, the company will grow its vehicle and powertrain offerings.

Jeep plans to expand its vehicle nameplates from 10 to 13 by 2027, Jeep CEO Antonio Filosa said Thursday during Stellantis’s investor day at its North American headquarters. Those vehicles will include 27 different powertrain offerings – traditional internal combustion engine, hybrid, extended-range/plug-in hybrid electric and all-electric. That’s up from 18 currently.   

“We want to grow,” said Filosa outlining three pillars of its strategy: Customer choice of powertrains, increasing market coverage and globalization.

Much of the expected growth is targeted in North America, where the brand aims to top sales of 1 million units by 2027, up from roughly 700,000 last year.

Jeep is expected to roll out the recently revealed Wagoneer S EV later this year, followed by a Jeep Wrangler-inspired off-road vehicle called the Recon. A new mainstream unnamed midsize SUV is planned for next year to replace the discontinued, gas-powered Cherokee SUV. Jeep is also planning plug-in versions of its current Wagoneer and Grand Wagoneer large SUVs.

A roughly $25,000 Jeep Renegade EV is expected by 2027, according to the company’s investor deck. Stellantis CEO Carlos Tavares announced such a vehicle last month, saying it would come to the U.S. “very soon.”

The New York Stock Exchange welcomes The Jeep Brand (NYSE: STLA) to the podium, on May 31, 2024. To honor the occasion, Antonio Filosa, Chief Executive Officer, joined by Lynn Martin, President, NYSE Group rings The Opening Bell®.
NYSE

Offering a new EV for around $25,000 has long been a target for automakers such as Stellantis, Tesla and others. The importance of such a vehicle has grown more apparent as Chinese automakers such as BYD and Nio grow their sales of less-expensive EVs outside of China.

Through the first quarter of this year, Jeep’s sales totaled 31,750, up 47% from the same period a year earlier. The brand sold nearly 643,000 vehicles last year, down 6% from 2022. Jeep represented 42% of Stellantis’ U.S. sales in 2023.

Articles You May Like

Eli Lilly expects FDA decision on weight loss drug Zepbound for sleep apnea as early as end of the year
Klarna rival Zilch raises $125 million with aim to triple sales and accelerate path to IPO
Fast fashion retailer Shein confidentially files for London IPO as U.S. listing stalls
Family films led by ‘Inside Out 2’ could reignite the box office
Great savers could face a ‘tax time bomb’ in retirement, advisor says — here’s how to avoid it