Jeep Grand Cherokee axed in Oz

The Jeep Grand Cherokee, once Australia's top-selling large SUV, has been discontinued after nearly three decades in the market.

This decision comes amid a significant decline in sales, with deliveries plummeting from 16,582 units in 2014 to just 645 in 2024 – a staggering 2477 per cent drop.

A press statement from Jeep importer Stellantis reads: “As we look to right-size the Jeep product portfolio to match local market dynamics and customer preferences, we’ve made the difficult decision to pause availability of the current model Jeep Grand Cherokee in Australia.”

The current WL generation, introduced in 2022, failed to re-energise sales of the Jeep Grand Cherokee, partly due to the absence of a turbo-diesel V6 engine, which previously accounted for almost two thirds of Australian Grand Cherokee sales.

In response to these developments, Australian Jeep dealers are increasingly concerned about the brand's future in the local market.

As previously reported, some Jeep dealers have sought legal counsel to understand their rights, fearing a potential withdrawal of the Jeep brand from Australia.

An email obtained by carsales reveals that automotive legal expert Evan Stents of HWL Ebsworth has been approached to review the dealers' legal standing.

It should be noted that Stends represented Holden dealers during General Motors' 2021 exit from the Australian market.

The press statement from Stellantis adds: “While the Jeep Grand Cherokee will continue to be sold in many countries around the world, this decision allows us to focus our efforts on placing the right products in the right segments that can have the greatest relevance for our customers.

“The Jeep brand remains fully committed to the Australian market and Stellantis continues to invest heavily in its global product portfolio.”

One potential olive branch for disgruntled Jeep dealerships in Australia is that emergent Chinese brand Leapmotor is pushing ahead with new product, such as the C10 mid-size SUV, which is currently offered as a sharply-priced EV and will soon come to Australia as a plug-in hybrid or PHEV.

While sales of EVs are plateauing across most mature markets, PHEV sales are booming and the Leapmotor C10 PHEV could prove to be a salve for Jeep’s wounds.

Of the 44 remaining Jeep dealership across Australia, 12 have recently signed on for Leapmotor franchises.

The axing of the Grand Cherokee leaves Jeep's Australian line-up with models like the new Avenger EV, Compass, Wrangler, and Gladiator.

Jeep has also announced plans to introduce more electric models, including the Recon and Wagoneer S, slated for a 2026 launch in Australia.

However, the group of Jeep dealers seeking legal advice are concerned that right-hand drive production of the Jeep Compass is also set to be nixed, which would see it deleted from the local line-up in lockstep with the Grand Cherokee.

The current situation has led to uncertainty among dealers and the Australian Automotive Dealers Association is monitoring the situation closely but has refrained from commenting on potential legal actions between its members and Stellantis.

The challenges faced by Jeep in Australia mirror broader industry trends, where shifts in consumer preferences and the transition to electric vehicles are prompting manufacturers to reassess their strategies.

For Jeep dealers and enthusiasts, the hope is that the brand will adapt and continue to be a significant player in the Australian automotive landscape.