Will this be the SUV to turn Jeep's fortunes around in Australia? Jeep Cherokee to grow in size, offer hybrid and electric options as it looks to better rival Toyota RAV4 and Hyundai Tucson: report

The replacement for the ageing Cherokee mid-size SUV is set to grow significantly in size while offering electric and hybrid powertrain options as Jeep looks to overhaul its line-up.

A new report from Autocar shows spy images of the new car entirely clad in camouflage, although some overall design themes can be inferred by its shape.

For one, it continues with a more standard, boxy SUV visage, rather than the more coupe-style of the Wagoneer S which will sit above it in Jeep’s international line-up.

Additionally, it seems likely the new Cherokee will grow to sit on the 'STLA Large' platform, with its wheelbase growing by at least 15cm, separating it from the incoming new-generation Compass which sits below it. From the pictures, it seems the Cherokee will also share some of the brand’s signature design elements with the Grand Cherokee, rather than the more future-facing design treatment seen in preview images of the upcoming Compass or Recon.

The brand announced late last year that an SUV in this size-bracket would launch first as a hybrid, although the STLA platforms allow for a range of powertrain options, from fully electric to purely combustion. An intriguing option would be the American marque’s new straight-six engine, although if it were to arrive as a plug-in hybrid, it is more likely to expect a four-cylinder engine in plug-in hybrid 4xe form if it aims to meet strict emissions requirements outside North America.

The plug-in hybrid Grand Cherokee, for example, uses a 2.0-litre turbo-petrol four-cylinder engine (200kW/400Nm) mated to an electric motor for combined outputs of 280kW.

The previous-generation (KL) Cherokee, which debuted way back in 2014 was discontinued in Australia in 2022 after right-hand drive production for the mainline mid-sizer ended.

In ominous news for Jeep’s fortunes in Australia, the new-generation Grand Cherokee was also pulled from sale in March as right-hand drive production ended. It had only been on sale for two model years in the Australian market.

Jeep said at the time it was looking to “right-size the Jeep product portfolio to match local market dynamics and customer preferences” although it comes at a time of unprecedented popularity for 4x4s and large SUVs in the Australian market.

The Grand Cherokee had only moved 645 units over the course of 2024, down an immense 48.3 per cent over the previous year. A significant price-increase over the previous model seems to be a key factor in the large SUV model's decline, as well as a reputation hangover from the previous-generation model which was plagued with reliability issues.

Elsewhere, the brand’s staple Wrangler off-roader continues alongside its Gladiator ute spin-off, although the brand will continue to try its hand with the more European-flavoured Avenger small electric SUV and soon-to-be replaced Compass which is currently offered as both a seven-speed dual-clutch plugless hybrid and 4xe plug-in.

The next global product from Jeep will be its re-booted Wagoneer S as a Kia EV6-rivalling SUV, complete with efficient rear-wheel drive and performance dual-motor all-wheel drive layouts. It is expected in Australia in 2026, although this could be in doubt with the discontinuation of the Grand Cherokee.

Expect to learn more about Jeep’s future product plans for Australia later this year as more of its new-generation products are unveiled.