The idea of a compact, affordable electric Jeep for the U.S. market has now been definitively shelved. During the years under Carlos Tavares, Stellantis openly discussed the possibility of introducing a battery-electric Jeep SUV in the United States priced below $25,000, designed to broaden the brand’s customer base. After the leadership change at Stellantis and the arrival of Antonio Filosa, many wondered whether that project would survive. According to the latest reports, it will not.
Jeep drops plans for a sub-$25,000 electric SUV in the U.S.
News emerging from the Detroit Auto Show 2026, which opened just hours ago, sheds light on the issue. In conversations with the U.S. press, Filosa suggested that a compact, low-cost electric Jeep SUV is no longer part of the plan for North America. The decision aligns with current conditions in the U.S. market, which has grown increasingly cool toward electric vehicles, even when supported by generous incentives or aggressive discounts.
Filosa himself acknowledged that Stellantis must correct certain past strategies and work on repositioning prices in order to regain market share lost in recent years. The group, formed from the merger of FCA and PSA and now marking its fifth anniversary, has admitted to strategic missteps, particularly in the United States. However, cutting prices does not necessarily mean betting on entry-level electric models, especially in a market where demand has failed to respond as expected.
The precise reasons behind abandoning this project have not been fully detailed, but it is clear that bringing a sub-$25,000 electric SUV to the U.S. market today poses significant industrial and economic challenges. Moreover, American consumers continue to show a strong preference for traditional powertrains or, at most, hybrid solutions, making such a move particularly risky.
That does not mean Jeep is giving up entirely on the idea of a compact, affordable model for the U.S. Instead, the focus may shift away from pure electric power. In this scenario, the name most frequently mentioned is the new Jeep Renegade, which, according to rumors originating in Brazil, could return to the lineup around 2028, likely with gasoline or hybrid powertrains.
Clear answers, however, will arrive only in the coming months. During Stellantis’ upcoming Capital Markets Day, scheduled for mid-year, the group is expected to outline its future plans. On that occasion, Antonio Filosa will present the new industrial roadmap, clarifying how many Jeep models are destined for the U.S. market and which technologies they will use. Only then will it become clear whether Jeep’s U.S. strategy will prioritize affordability, performance, or a balance between the two.
