The 2026 Jeep Cherokee marks a significant return for the brand to the white-hot compact crossover SUV segment, following a three-year absence. This re-entry, described as potentially a “relearning of Henry’s mistake” (referring to Ford’s Model T strategic blunder of stopping production before a replacement was ready, causing a market share loss), aims to position the all-new Cherokee for success in a shifting automotive landscape where developing new vehicles before sunsetting predecessors is crucial.

The design of the new KM Cherokee represents a distinct break from its 2023 predecessor, embracing a “Hip 2B Square” aesthetic inspired by the original XJ-generation Jeep Cherokee, which pioneered the unibody SUV segment. Design leader Vince Galante leveraged childhood memories of the XJ to create a boxy, upright form. Key design elements include a squared-off seven-slot grille flanked by U-shaped daytime running lights reminiscent of the XJ's original rectangular sealed-beams. Standard 18-inch and optional 20-inch wheels are housed in XJ-ish trapezoidal arches, while horizontal taillamps evoke Jeep’s jerrycan look. The boxy D-pillar, embellished with a Germanic Hofmeister kink, directly addresses a major complaint of the outgoing KL Cherokee: insufficient cargo room, which has now grown by 25 percent.

Underpinning the 2026 Cherokee is Stellantis' STLA Large platform, resulting in a substantial increase in dimensions. The vehicle is 6.1 inches longer overall with a 6.5-inch longer wheelbase (5.9 inches relative to the previous-generation Trailhawk), making it either the biggest compact or smallest midsize SUV, while still being considered a compact compared to rivals like the Honda CR-V, Ford Bronco Sport, Toyota RAV4, and Chevy Equinox. Width increases by 1.5 inches, while height drops slightly by 0.3-0.5 inch, with nearly every interior dimension seeing an upward wiggle to enhance class competitiveness. Materials quality has also been improved, particularly in upper trim levels, with Overland models featuring fancy perforation patterns and an “Arctic” interior color scheme option. Despite the overall growth, rear legroom surprisingly decreased by 1.8 inches compared to the previous generation, though it still offers best-in-class rear shoulder room.

For its launch, the 2026 Jeep Cherokee will be exclusively offered with an all-new hybrid powertrain. This system combines a 1.6-liter turbo four-cylinder engine with a two-motor planetary combiner hybrid system, storing power in a 1.1-kWh lithium-ion battery slung under the rear passenger compartment. This hybrid technology leverages a design originally patented by Toyota (U.S. Patent No. 6,155,364 in 2000) and recently made royalty-free through 2030, a strategic opportunity seized by Stellantis. The engine alone produces 177 hp at 5,500 rpm and 221 lb-ft at 2,000 rpm, with a net total output of 210 hp and 230 lb-ft. This powertrain is mated to a continuously variable automatic transmission. While its 3,500-pound tow capacity falls 500 pounds shy of the old 2.0L turbo's, it is still significant. A significant improvement is seen in fuel efficiency, with estimated EPA city/highway/combined ratings of 42/33/37 mpg, far surpassing the previous model's 20-21/26-29/22-24 mpg, and offering an estimated combined range of 507 miles from its 13.7-gallon tank.

All-wheel drive is standard on the Cherokee, featuring Active Drive 1. This system, which disconnects the rear axle when not in use to save fuel, automatically re-engages for greater traction, utilizing clutch slippage instead of a center differential. Available modes include Auto, Sand, Snow, and Mud. While a more focused Trailhawk off-road version with locking differentials is not available at launch, it is anticipated to appear before too long. The current model offers a minimum ground clearance of 8.0 inches, a 19.6-degree approach angle (second best in class), and a best-in-class 29.4-degree departure angle, demonstrating real SUV capabilities for mainstream use, although the breakover angle is 18.8 degrees. There will not be a dedicated low gear for light crawling.

The 2026 Jeep Cherokee will be offered in several trim grades, starting with the well-equipped Base model at $36,995. Other trims include the Laredo at $39,995, Limited at $42,495, and the top-tier Overland at $45,995. The two most affordable trims (Base and Laredo) will follow in early 2026, while the Limited and Overland go on sale late 2025. This pricing strategy places the Cherokee at a premium compared to its compact hybrid SUV competitors. For instance, it's $2,945 more than a base 2025 Toyota RAV4 Hybrid LE AWD and $2,960 more than the Kia Sportage S Hybrid. Even compared to certain Honda CR-V Hybrid trims, the Cherokee remains notably more expensive, particularly for its higher-end models, with the Overland being $9,060 more than the Sportage X-Line. Jeep appears to be banking on pent-up demand and the allure of its brand to justify this premium pricing, though it lacks the residual value advantage of competitors like Honda or Toyota. The Cherokee is hybrid-only, which contributes to its higher entry price compared to rivals that still offer cheaper non-hybrid options, though the 2026 RAV4 is also expected to go all-hybrid.