The 2026 Jeep Cherokee Is A Big Boxy Hybrid That Promises 37 MPG

American Motors Company (AMC) is a brand that many people today have long forgotten ever existed or, if they’re under the age of 40, perhaps were never even aware of. Despite that, AMC has in some important ways had a greater influence on the 21st century automotive environment than almost any other company. Before it was subsumed into Chrysler in 1987, AMC released two key products, the Eagle and the second-generation Jeep Cherokee. These two vehicles defined the type of vehicle nearly 60% of American car buyers purchased in 2024 and Jeep is now launching an all-new Cherokee for 2026. 

A Little Bit of History

Let’s be brutally honest, the AMC Eagle launched in 1980 wasn’t a great product. It was actually two related products from AMC. The perennial fourth member of the old Big 3 took their Gremlin hatchback and Hornet sedan and wagon, lifted them, extended the wheel arches a bit and added four-wheel-drive. If this formula sounds vaguely familiar, it’s because practically every automaker does this now for many of their nameplates. Subaru really perfected the formula with what was originally the Legacy Outback, but now we have everything from the VW Golf All-road to the Toyota Rav4 that can trace their roots back to the humble Eagle. 

Then there was the second-generation Cherokee, often referred to by fans with its product code, XJ. The first-gen Cherokee from the 1970s was a traditional body-on-frame SUV. The smaller XJ was one of the first unibody off-roaders, certainly the first to bring the idea to the mainstream. It combined the overall construction technique that was becoming common for cars across the spectrum at the time with solid front and rear axles, a two-speed transfer case and a footprint that maintained a size reasonable enough to drive on a daily basis. In an era when Jeep CJs were barely more sophisticated than the Willys MB of World War II, the Cherokee was a revelation. 

The XJ Cherokee was the vehicle that inspired a wave of competitors like the Chevy S-10 Blazer, Ford Bronco II and countless others (most of which stuck with body on frame until well into the 21st century. But the unibody architecture of the Cherokee and the Eagle demonstrated what was possible and now almost everything mainstream seems to be a direct descendant of these vehicles. 

The XJ Cherokee remained in production until 2001 when it was replaced by a couple of generations of SUV badged as Liberty in North America while retaining the Cherokee branding overseas. Neither generation of Liberty was a fan favorite, having suffered from the cost cutting of the Daimler Chrysler era among other issues. 

The Cherokee name returned with the KL in 2014 on a very different vehicle that was in many ways more like modern crossovers than the type of off-roader that was associated with the XJ. It had a transverse mounted four-cylinder engine and was the first application of the new ZF 9-speed transaxle that proved very troublesome in its early years. Production of the KL Cherokee ended two years ago, leaving Jeep without an offering in this highly popular segment – until now. 

Time For A Reset

The powertrain wasn’t the only issue people had with the KL Cherokee, there was also the way it looked. It was a completely different kind of Jeep with a front end that incorporated elements that have since become very common. But at the time, the thin horizontal running lamps with small projector headlamps mounted below and a seven-slot grille that wrapped over the top was not what Cherokee fans expected. Over time it got more conventional looking lighting but it was never as popular as hoped for. 

The 2026 Cherokee returns to a more traditional, yet modern SUV look. Jeep designers have adopted a much boxier, chunkier profile than before that in some ways harkens back to the XJ although there is also a resemblance to the current Grand Cherokee. The modern composite headlamps have a rectangular shape that also calls back to the XJ, but with a U-shaped LED daytime running lamp around the perimeter. 

The seven slot grille adopts the shorter, wider style of other recent Jeeps but is mostly blanked off with most of the air coming in through the lower grille for better aerodynamics. One thing you won’t find on any XJ is the radar sensor in the lower grille for the adaptive cruise control. The whole front fascia looks flatter and more upright than the KL and looks like a Jeep. 

Around the sides are the traditional trapezoidal shaped wheel openings that go back to the earliest days of Jeep. As is the case almost universally now, there is no two-door Cherokee, it’s four doors or nothing. The lower bumper areas, rocker panels and wheel arches are covered in flat black plastic, at least on the Cherokee Overland we’ve been shown so far. Other trims may have body color trim. The Overland we’ve seen also has a black painted roof that extends back to the D-pillars that are body color. 

A neat little Jeep detail that the designers executed can be found in the taillamps. There are four red LED segments arranged around a black X-shaped section inspired by the moulding on traditional Jerry cans that were used to carry extra fuel on the Willys MB. It’s a neat little, subtle detail that recalls the Jeep heritage. 

Modern Interior

Climbing inside the new Cherokee, there is little here that recalls an XJ apart from the most basics of having a steering wheel, pedals and seats. This is a thoroughly modern cabin that drivers today expect. On the center console is the now typical Jeep rotary dial for the transmission along with a toggle behind it to select drive modes – auto, sport, snow and sand/mud on the Overland. Ahead of the shift knob is an octagonal push button to start and stop the engine and to the right are the cup holders. A storage bin at the front of the console has a wireless charging pad.

Above this is a panel with buttons to switch off lane keep assist, park assist, traction control and enable low gear as well as a pair of USB-C ports. Continuing up is a capacitive touch panel for climate controls which is a bit unfortunate. Some traditional physical knobs to adjust temperature and fan speed would be preferable. The center of the dashboard is dominated by a 12.3-inch touchscreen with Uconnect 5. Uconnect 5 is one of the better OEM infotainment systems and is generally responsive and easy to use. It’s based on Android but doesn’t use Google services, instead relying on TomTom maps and Alexa voice services along with a range of purpose-built apps for various functions. 

In front of the driver, the octagon theme continues with the steering wheel. It has a nice thick rim to grip on to and the shape leaves a large aperture in the top half to see the instrument cluster which is a 10.25-inch display. As with other recent Stellantis products, both screens are full array-local dimming LCDs which provide about the contrast you’ll get short of an OLED panel. 

Overall, the cabin of the Cherokee Overland looks very clean and modern without going too far. For example, the vents are still completely manual as they should be. In case designers haven’t heard the message yet – putting vent controls in the touchscreen is one of the dumbest things you can possibly do for usability. The Cherokee driver can just reach out and grab a tab to move the vents. Jeep has also focused on sustainability with the materials which feature non-leather alternatives and recycled fabrics in the carpets. 

The rear seat and cargo area have grown significantly on this new generation. The cargo space behind the rear seats is up to 33.6 cubic feet while 68.3 cubic feet is available with the seats folded. While that’s a notable improvement over the KL, it still falls short against many competitors which are smaller overall like the Toyota Rav4 and Honda CR-V. 

How Big is It?

The new Cherokee is built on the STLA Large platform which is also used for the Dodge Charger, Jeep Wagoneer S and Recon. Compared to the 2023 Cherokee, it is now 5-inches longer at 188.1 inches overall. That is just 3.4-inches less than the Honda Passport and larger than all of the volume leaders in the segment. 

To give you an idea how much vehicles have grown over the last several decades, the new Cherokee is 20.6-inches longer than the XJ and that old model had a longitudinally mounted inline-six cylinder engine in the front while the new one has a transverse four cylinder. It’s also almost 1,000-lbs heavier. At 4,295-lbs, it’s over 400-lbs more than a KL. The wheelbase of 113-inches is 6.4-inches more than the old Cherokee. It’s also wider and taller by over an inch. This really is much more of a midsize utility than before and is nearly the size of the old WK2 Grand Cherokee. 

STLA Large is a surprisingly flexible architecture, supporting internal combustion, hybrid, plug-in hybrid and of course full battery electric powertrains. So far the Cherokee, Wagoneer S and Charger all use a similar integral link rear suspension, but the two BEVs use a multi-link front layout. The Cherokee is the first on the platform to use a strut front suspension. This is of course partially driven by the powertrain and partially by cost considerations. 

What’s That Thing Got In It?

Bob Broderdorf, Jeep CEO, opened the background session where we previewed the Cherokee by confirming that the Wrangler will be keeping the 6.4-liter Hemi V8 as an option indefinitely now that the Trump administration has effectively stopped enforcing the fuel economy and emissions standards. The Cherokee on the other hand is getting something a bit more tame, at least for now. 

When the 2026 Cherokee goes on sale this fall, it will be available exclusively with an all-new hybrid powertrain. At least part of the reason for this is to help with quality control by keeping the number of build options relatively low to start and then gradually adding more variants over time. Ram is doing the same by delaying the extended range EV Ramcharger until early next year while they add the 5.7-liter Hemi to the mix now. 

The heart of the new Cherokee powertrain is a 1.6-liter turbocharged four-cylinder engine. This is the third-generation of an engine that has been used extensively in Europe across the old PSA lineup for many years. It is not related to the Stellantis 2.0-liter turbo four that has found a home in many products in recent years. It has gotten a variety of updates including a Miller combustion cycle that is more efficient and compatible with the turbo. The direct injected engine is rated at 177-hp and 221 lb-ft of torque and it will be produced at the Dundee Engine Plant in Michigan. 

The engine is paired with a brand new hybrid transaxle that has been developed along with an as yet unnamed partner that will also produce it. It’s a two motor power-split system with a planetary gear set that is architecturally similar to units from Toyota and Ford. In combination with the engine, it will produce a total of 210-hp and 230 lb-ft of torque and Jeep is projecting the Cherokee to get 37 mpg combined. That’s the same rating as the current RAV4 and CR-V hybrids with all-wheel drive. 

The Jeep will be offered exclusively with AWD and unlike the Toyota which uses a rear e-axle, it’s a mechanical system with a single-speed power take-off and driveshaft to the rear axle. At launch, Jeep is offering a base Cherokee, Laredo, Limited and Overland, none of which are considered really off-road variants although it should be able to handle anything the current competitive offers will do which is more than most consumers actually need – as opposed to what they might want.

At some point in 2026, Jeep will add a Cherokee Trailhawk which gets the vaunted “Trail Rated” badge. Right now Jeep isn’t providing any details on what will be in the Trailhawk, although they acknowledged more powertrain options are in the pipeline. We think it’s safe to assume the Trailhawk will have at least the 2.0-liter turbo that was in the WK with 270-hp and 295 lb-ft of torque. It will also probably have a similar low-range four-wheel-drive system that the last generation Cherokee had. 

During a scrum after the presentation with Stellantis global vice president of propulsion systems, Micky Bly, I asked him if the 3.0-liter Hurricane would fit sideways in the Cherokee – he laughed and said “not for today.” An inline-six is almost certainly too long to fit transversely. However, a plug-in based on the new hybrid with more powerful electric motors could be an interesting future option. Jeep executives wouldn’t talk about that, but neither were they willing to rule out anything going forward. A 2.0-liter turbo PHEV with say 350 to 400 horsepower in a Cherokee? That could be good for a few laughs. 

What Else?

As you would expect there’s going to be all the usual array of modern amenities including a full suite of driver assist features. That includes active lane management, level 2 active driver assist (not clear if it will be hands on or off yet), blindspot monitoring with cross traffic alert and pedestrian cyclist automatic emergency braking. There’s ventilated front seats and a windshield wiper de-icer and front tire to curb view to help prevent scraping those wheels. 

The base 2026 Cherokee will start at $36,995 including the $1,995 destination charge. The Laredo, Limited and Overland will cost $39,995, $42,495 and $45,995 respectively. We haven’t seen pricing for the new 2026 RAV4 yet and we don’t have the full equipment list for the trims to do a direct comparison. However, the 2025 RAV4 LE Hybrid starts at $34,050 while the 2026 Honda CR-V hybrid ranges from $38,850 to $43,700 delivered. It’s a safe bet that the new RAV4 will be similarly priced putting all three in roughly the same price range. Deliveries of the Limited and Overland start first as usual arriving before the end of the year with the base and Laredo coming early in 2026 (assuming there’s no major glitches!). 

We’ll be looking forward to driving this new Cherokee and its hybrid powertrain.