Why Jeep is Counting on the 2026 Cherokee Hybrid to Reinvigorate Sales

New for 2026, the popular Jeep Cherokee is back with a new lease on life. The vehicle that was once a staple for the midsize crossover market is back to making a big splash. The Cherokee has been redesigned and updated with an all-new hybrid powertrain. When it was first unveiled last summer, Jeep’s chief said the Cherokee fills the major hole between the entry level Compass and the larger Grand Cherokee. At the time, Jeep CEO Bob Broderdorf said the new  2026 Jeep Cherokee hybrid will give Jeep “a positive direction going forward.”

It really hurt Jeep to not have an SUV in the midsize crossover market. Every automaker needs smaller, more affordable vehicles to draw young people and growing families to their brand. Jeep was without that for three years in America and it was reflected in sales numbers. The all-new Jeep Cherokee could be the vehicle that wins buyers back. For too long, Jeep and its parent company Stellantis focused on the larger, more profitable vehicles like large SUVs and trucks. Now, they are turning their attention back to the people who can grow their brands. The company may not make as much profit per vehicle, but the huge number of buyers will grow the brands. 

Last August Bob Broderdorf said, “The 2026 Jeep Cherokee redefines what a modern midsize SUV can and should be – a striking, turbocharged vehicle with 500-plus miles of range, uncompromising safety and the capability to chase every adventure. Powered by our new, efficient hybrid propulsion system, the 2026 Jeep Cherokee is built to compete, inspire and take back our place in North America’s largest vehicle segment.”

The 2026 Jeep Cherokee Hybrid is Available at Dealers Now

The biggest news about the Cherokee is the greatly improved gas mileage. The Cherokee carries an all-new 1.6-liter turbo-four hybrid powertrain.

The 1.6-liter turbo-four hybrid gets an estimated combined fuel economy rating of 37 mpg and will deliver more than 500 miles on a single tank of fuel. It is the first Jeep brand hybrid system. It is the only powertrain available for the Cherokee. 

“The new 1.6-liter hybrid engine is a major step forward in delivering both performance and efficiency for our customers,” said Micky Bly, Stellantis senior vice president and head of global propulsion systems. “Over millions of miles of development and testing, we’ve dialed in this new hybrid powertrain to deliver all the performance you need for your daily adventures, with electrified torque and worry-free range wherever the road takes you.”

Composed of an internal-combustion engine, two electric motors and a battery, the propulsion system delivers 210 horsepower and 230 lb.-ft. of torque.

The 2026 Jeep Cherokee looks boxier than the 2023 model it replaces. That gives the new Cherokee more interior room. Plus, the new vehicle is a few inches longer, a couple of inches taller and a little over an inch wider than the old one. Compared to the previous Cherokee, the 2026 Cherokee has 30% more cargo room.

2026 Jeep Cherokee has more Technology and Safety Features

New Standard Features For all Cherokee Trim Levels

• A 10.25-inch full-color digital instrument cluster
• A 12.3-inch infotainment screen equipped with wireless Apple CarPlay and Android Auto capability
• Jeep brand’s award-winning Uconnect 5 infotainment system
• Rain-sensing wipers
• Automatic emergency braking with pedestrian and cyclist identification
• Intersection Collision Assist
• Blind-spot Monitoring with Rear Cross Path detection
• Drowsy Driver Detection
• Active Driving Assist system (Level 2 driver-assistance system with adaptive cruise control)
• Rear park assist with rear automatic emergency braking 

2026 Cherokee Offers Wide Range of Optional Equipment:

• Dual-pane sunroof
• Foot-activated power liftgate with adjustable height
• 360-degree camera
• Digital rearview mirror
• Heated rear seats
• Ventilated front seats
• Windshield wiper de-icer
• Front tire-to-curb view
• Turn signal-activated blind spot
• Premium audio 

Bob Broderdorf said Jeep has learned not to bundle too many options together, making the vehicle too expensive. Instead, he said they will offer buyers the chance to purchase the options they really want and can afford.  

Jeep Cherokee Has Legendary 4x4 Capability 

The 2026 Jeep Cherokee hybrid has a number of class-exclusive and best-in-class features:

• Standard Jeep Active Drive I 4x4 system with standard rear-axle disconnect
• Selec-Terrain traction management with four driving modes: Auto, Sport, Snow, Sand/Mud
• Best-in-class approach and departure angles of 19.6 and 29.4 degrees
• Breakover angle of 18.8 degrees
• 8 inches of ground clearance
• Towing Capacity of 3,500 pounds 

“From every angle, the 2026 Jeep Cherokee evokes the best of the brand’s rich design history,” said Vince Galante, vice president, Jeep global design. “These bold, upright shapes are complimented by Jeep’s iconic seven slot grille, boxy side profile and distinctive jerrican-inspired taillight design, giving it an instantly recognizable signature on the road.”

Production and Pricing

For now, the Jeep Cherokee Hybrid is being built in Toluca,  Mexico. Jeep is retooling a plant in Belvidere, Illinois, to move the Compass and Cherokee production to America because of tariffs. 

The entry-level, 2026 Jeep Cherokee starts at $36,995, including a $1,995 destination charge. The Laredo trim starts at $39,995, including destination fees. The Limited and Overland trims can cost thousands more. 

It appears the five-passenger, midsize 2026 Jeep Cherokee can be the vehicle that can help Jeep bounce back and regain sales. Buyers will be pleased to see that they can finally get the options they really want at prices that are much more affordable. 

Jeep Photo

Mary Conway is a professional automotive journalist and has decades of experience specializing in automotive news analysis. She covered the Detroit Three for more than twenty years for the ABC affiliate, in Detroit. Her affection for the Motor City comes naturally. Her father ran a gas station while Mary was growing up, in Wisconsin.

Follow Mary Conway at @MaryConwayMedia and send her car news tips for future stories.