- Jeep halted production of the Cherokee indefinitely.
- The medium SUV was produced at the Belvedere, Illinois plant.
- 1350 workers were laid off for at least six months.
American off-road specialist Jeep is producing its Cherokee medium SUV at its Belvedere, Illinois plant. Held indefinitely from February 28, 2023.
The resulting layoffs are significant in the U.S., Jeep released a statement to the North American outlet. Jalopnik to suggest Partial unemployment will last for at least six months. 1350 for affected employees. The brand says it will try to redistribute employees within the Stellants family.
Jeep and Stellantis’ decision to halt production of the Cherokee SUV comes partly because of supply chain issues, but mainly to free up resources as the brand pushes for more power in its range.
In line with Stellantis’ global push for EVs, Jeep is moving toward three new EVs by 2025, including the smaller Avenger that debuted in October, a larger prestige SUV and a Wrangler-style off-roader.
So the Cherokee’s future is a bit uncertain, with no production in Europe to rival Jeep in Australia’s biggest market share.
Having gone on sale in Australia since 2014, the Cherokee has been rolling in years. Jeep has sold just 303 Cherokees in Australia so far in 2022, down 17.7 percent from 2021 numbers and just 0.2 percent of the midsize SUV market.
With the popularity of mid-size SUVs around the world, the next-generation Cherokee – due in 2025 – is reported to be all-electric. Although the current car will stop production soon, the development of this car can be continued.
There are some rumors that production of the Cherokee could move south of the border to the Stellantes plant in Toluca, Mexico — though neither Jeep nor Stellantes have yet confirmed those plans.
Stellantis also has production facilities elsewhere in the world, but its smaller Compass, which is manufactured in Italy, Brazil, China, India and Mexico, and was updated earlier this year, is much more than that. Has global appeal.