Stellantis, the global automotive giant, is gearing up to launch a $25,000 all-electric Jeep in the United States. This announcement, made by CEO Carlos Tavares, signals a significant move towards making electric vehicles (EVs) more affordable and accessible to the average consumer.
Tavares disclosed this plan during a Bernstein investor conference in New York, highlighting the company’s commitment to leveraging its global expertise to introduce low-cost EVs in the U.S. market.
If you are an EV-fan and looking to get a cheap yet powerful electric car for domestic use, then you can consider getting it, when launched. Read this post till the end as we’ve shared everything, we know so far about the Stellantis’s $25,000 EV.
Stellantis CEO highlights success with low-cost EVs in other markets
Speaking at a recent investor conference, Stellantis CEO Carlos Tavares pointed to the success the company has seen selling affordable electric vehicles in European markets.
He noted that Stellantis currently offers the Citroen e-C3 SUV with a starting price of around 20,000 euros (US$21,300).
According to data shared by Tavares, approximately 65% of Stellantis’ EV customers in Europe purchase vehicles priced at 20,000 euros or less. This shows there is strong demand for electric cars that hit a lower price point of around $25,000.
Tavares believes Stellantis can replicate this success in the US market as well. He pointed out that the company already has experience manufacturing and selling low-cost EVs globally through its international brands like Citroen.
By leveraging its existing expertise developing affordable electric vehicles, Tavares expressed confidence that Jeep will be able to introduce a mainstream SUV with a starting price of just $25,000 in the near future.
Ford, Tesla, and Volkswagen target sub-$30,000 EVs to attract buyers
Recent surveys show around 55% of new car shoppers in the US say they are interested in purchasing an electric vehicle, as long as the price is under $30,000.
Currently, average EV prices in the US are around $55,000
In order to attract more customers and accelerate electric vehicle adoption, Ford, Tesla and Volkswagen have all stated goals of introducing EVs with price tags below $30,000 within the next 2-3 years.
Ford plans to sell an electric crossover SUV for under $30,000 starting in 2026. Tesla CEO Elon Musk has said a potential $25,000 small electric car may be feasible within the next 3 years.
And Volkswagen has targeted producing an affordable people’s EV for Europe priced at around 25,000 euros, or just under $30,000, by 2025.
As battery costs fall and manufacturing efficiencies increase, major automakers are working hard to make EVs as affordable as gasoline vehicles. Hitting a sub-$30,000 price point is seen as key to driving mass market demand.
Tavares sees $25,000 as the affordable price point for US EVs
The Stellantis CEO said that $25,000 is what he considers to be an “affordable BEV” for US customers. He believes offering an EV at this price is crucial to attract more mainstream buyers and accelerate the adoption of electric vehicles.
Tavares also thinks it is the responsibility of automakers to bring safe, clean and affordable electric vehicles to the masses. By pricing the new electric Jeep around $25,000, Stellantis aims to take electric vehicles to a much larger portion of the American driving public.
Nearly 75% of car buyers in the US won’t even consider an EV until the starting price drops below $30,000. So, an electric Jeep at this price sounds like a smart industry move according to many experts.
Stellantis expands globally through a joint venture with China’s Leapmotor
As competition intensifies worldwide, Stellantis understands the need to have a global presence. The company has inked a joint venture partnership with Leapmotor, a leading Chinese electric automaker.
Through this JV, Stellantis aims to enter new key markets more rapidly. By September, Stellantis expects to begin sales of JV-developed EVs in around fifteen countries.
These will include major regions like Europe, South America, the Middle East, India, and parts of Asia. By leveraging Leapmotor’s experience and lowering costs through shared resources, Stellantis-Leapmotor EVs will directly challenge homegrown brands in their respective home markets.
Final Words
Carlos Tavares has set bold targets to make EVs more affordable and ensure Stellantis remains competitive as the automotive industry undergoes massive change.
The promise of a $25,000 electric Jeep arriving soon in the crucial U.S shows the company’s focus on accessibility. Through strategic moves like partnerships with Chinese giants and a commitment to reaching price parity, Stellantis is positioning itself for ongoing success no matter the challenges ahead.
With new technologies and tightening regulations transforming transport worldwide, only the automakers with truly global scale and flexible strategies will endure according to Tavares.
The next few years will show if Stellantis has what it takes. You can keep visiting the Auto Freak website as we will keep this post updated with more information on the release. If you know something about this vehicle, then do share your views with us via the comments below.
