Speculation about Jeep's future in the Indian automotive market has been circulating for some time. Factors such as limited new product launches, steadily declining sales figures, and a comparatively smaller dealership network than competitors have fueled discussions about the brand's potential exit. Combined with parent company Stellantis's global restructuring efforts, these elements created uncertainty regarding Jeep's long-term strategy in India.
Jeep Reaffirms Commitment with Strategic Plan 2.0
However, the iconic SUV manufacturer has now officially put these doubts to rest by announcing its India-focused Strategic Plan, dubbed Jeep 2.0. This initiative positions India at the very core of the brand's Asia Pacific operations, signaling a strong, enduring commitment to the market. The comprehensive plan encompasses several key areas designed to strengthen Jeep's presence and performance in the country.
Dual Role for India in Global Operations
According to the company's announcement, India will continue to serve a dual purpose within Jeep's worldwide framework. It will function both as a crucial domestic sales market and as a pivotal hub for manufacturing, engineering, and software development that supports other international regions. Jeep already operates a manufacturing facility in Ranjangaon, near Pune, which boasts an installed annual production capacity of 160,000 units.
This plant currently produces models like the Compass, Meridian, and Commander for export to markets including Japan, Australia, and New Zealand. The company has plans to further expand these exports to encompass additional markets in Africa and North America, highlighting India's growing importance as a global export base.
Focus on Localization and Product Strategy
A major pillar of the Jeep 2.0 strategy is a significant push toward deeper localization. The brand aims to increase its localization levels in India to approximately 90 percent, a substantial rise from the current 65 to 70 percent. This strategic move is anticipated to enhance cost competitiveness and fortify the local supply chain, allowing Jeep to remain resilient in a market known for its high price sensitivity and intense competition.
On the product front, Jeep has confirmed that new model introductions are indeed planned for the Indian market. The first vehicle from this future lineup is expected to arrive starting in 2027. In the interim period, the brand will focus on keeping its existing portfolio fresh and relevant through the introduction of special editions and regular updates. Currently, Jeep sells four models in India: the Compass, the Meridian, the Wrangler, and the flagship Grand Cherokee.
Enhancing Customer Ownership Experience
Another critical area of focus under the new plan is improving the overall ownership experience for customers. Through its Confidence 7 program, Jeep is expanding several customer-centric initiatives. These include the Assured Buyback Programme, pre-maintenance service packages, and multi-year extended warranties, all aimed at providing greater peace of mind and value to Jeep owners.
Jeep currently maintains a presence in 70 cities across India, supported by a network of over 85 sales and service touchpoints. The company has stated that it is actively evaluating opportunities for further network expansion to improve accessibility and service for its growing customer base.
