Can Jeep Lead the PHEV Market With New Models?

Can Jeep achieve serious sales growth in plug-in hybrid (PHEV) models? This year could tell the tale for the venerable off-road brand.

As electric vehicle sales have slowed, hybrid sales are taking off. The allure of many battery-electric vehicles is wearing off, which means consumers are looking for the benefits, not simply the new tech and environmental impact. This could lead to more drivers choosing hybrid and plug-in hybrid models going forward, which is the perfect opportunity for Jeep. Currently, this brand has two models ready to take charge in the market and satisfy drivers looking for the bridge between traditional gas-powered vehicles and fully electric models.

It’s a new age for Jeep

We know Jeep SUVs as gas-guzzling vehicles that barely go anywhere while sucking down the fuel. This is all changing with the new lineup of Jeep models. The PHEV models coming from this brand should easily bridge the gap between the traditional models and an all-electric vehicle. Jeep intends to grow sales by 50% or more this year using this impressive new hybrid technology. This could mean selling as many as 170,000 new PHEV models wearing the Jeep name. That would be a huge increase of up to 50% compared to last year.

Jeep also embraces EV driving

Despite the slowing interest in electric vehicles, most automakers are still leaning into this new technology. Considering that many governments have mandated growing numbers of electric vehicle sales through the end of the decade, automakers must respond with new EVs that can easily provide everything consumers desire. The new Jeep Wagoneer S is the first all-electric SUV from this brand in the United States. This shows how Jeep is working to be flexible. We’ll see more Jeep PHEV models and this new electric Wagoneer, which can help this brand be the right choice for many drivers.

The freedom of choice

Adding an all-electric SUV to a brand lineup with impressive naturally aspirated models, several upscale choices, rugged off-roaders, and a few hybrid options means only one thing. Jeep is the brand of freedom, and now they are also offering freedom of choice. Almost all Jeep SUVs deliver good off-road tech and qualities to make it possible to head out into the wilderness, where you can experience freedom from the paved roads. Jeep continues to be the brand of freedom with its variety of choices when you’re looking for the right SUV to drive.

Is Jeep on the right path?

Total Jeep PHEV sales last year reached 113,113. This figure includes 67,4529 Jeep Wrangler 4xe models and 45,684 Jeep Grand Cherokee 4xe models. The sales figures for these two models through the first quarter of this year is 31,750, which is an increase of 47% compared to the same quarter last year. Currently, Jeep is leading the way in PHEV sales in the United States, which is significant considering the number of PHEV models Toyota and Lexus offer. Jeep’s push for these plug-in hybrid models is meant to offset the sales of the gas-guzzling models and help the brand meet tighter emissions and fuel economy standards.

Where will Jeep go with PHEV tech next?

To continue growth in the PHEV market, the brand must expand to other models and offer the 4xe powertrains for other Jeep vehicles. The next models to receive PHEV tech are at the top of the lineup. The luxurious Wagoneer and Grand Wagoneer models will add a new plug-in range extender version to the gas-powered models in 2025. This should improve the fuel mileage of these large Jeep SUVs and provide a growth pathway for PHEV models.

Are these new Wagoneer models actual PHEVs?

The range extender technology being used for the new hybrid Wagoneer and Grand Wagoneer isn’t the same as traditional Jeep PHEV tech found in the Wrangler and Grand Cherokee 4xe models. The Wagoneer models will use the same tech as found in the new Ram Ramcharger. This makes them Range Extending Electric Vehicles, or REEVs. This means the gas engine isn’t attached to the wheels at all but sends power to the electric batteries to provide power to the electric motors attached to the wheels. This is a different approach to PHEV driving.

Jeep has lofty goals for growth in the PHEV market, and that growth starts with the venerable Wrangler and Grand Cherokee models. Will Jeep achieve 50% growth with these 4xe models this year? How far will this growth go when the Wagoneer models have a new hybrid system to deliver more efficient driving in 2025?