Stellantis cancels next-generation Jeep Compass for India: Here's why
What's the story
Stellantis, the fourth-largest automaker globally, has announced the cancellation of its next-generation Jeep Compass project, codenamed J4U, in India.
The development of this project, which had been underway for over a year, was deemed financially unviable for the Indian market.
The cancellation comes despite the company's plans to invest over $400-500 million in making an all-new product on the STLA-M platform.
Reason
Why does this story matter?
The decision to cancel the next-generation Jeep Compass project comes at a time, when Stellantis is facing challenges in the Indian market.
The company's sales have been declining, and it has been forced to cut production and reduce its workforce.
The cancellation of this project could potentially impact the company's future in India.
However, Stellantis has confirmed that there are no changes to Jeep vehicle production in India at this time.
Commitment
Stellantis's investment in India remains firm despite setback
Despite the cancellation of the next-generation Jeep Compass, Stellantis has reaffirmed its commitment to investing in the Indian market.
A company spokesperson stated, "Stellantis remains committed to investing in the India market as it is the only country to locally produce and assemble four Jeep nameplates outside of the United States."
The current-generation Compass will continue to be manufactured in India beyond 2026, with occasional cosmetic upgrades planned to extend its lifecycle.
Future plans
Stellantis's product roadmap includes refreshed models
Stellantis has revealed a product roadmap that includes several models slated for release.
The next-generation Compass is set to debut in 2027 with updates to its styling, facilities list, and off-roading capabilities.
Rumors suggest an electrified version may also be introduced.
The roadmap further includes plans for a midlife-cycle refresh for existing cars like the Grand Cherokee and the all-electric Wagoneer.