On the Dash:
- Hybrid vehicles are a growing segment that offer fuel efficiency without lifestyle changes and could boost dealership sales.
- Supplier partnerships can accelerate vehicle launches but require monitoring of component integration.
- Extended-range hybrid pickups, like the Ram 1500, provide new selling points with record driving ranges.
Stellantis is leaning on supplier technologies for its newest hybrid SUVs as demand for fuel-efficient vehicles rises, CNBC reported. The automaker’s North American Jeep Cherokee uses a two-motor electric continuously variable hybrid transmission from Blue Nexus, a Toyota-backed company, while its upcoming extended-range electric vehicles (EREVs) use major systems from Bosch.
Hybrid systems have been integrated with Stellantis engines to meet the company’s standards and driving dynamics. The Cherokee, which achieves 37 mpg combined, is the most fuel-efficient non-plug-in Jeep ever produced for the U.S., and the Ram 1500 extended-range hybrid pickup, launching in early 2026, will offer up to 690 miles between its gas engine and battery power.
Turning to supplier partnerships is a strategic move to reduce research and development costs and accelerate time-to-market. While automakers commonly use components from suppliers, it is less common to rely on key systems, particularly those developed by competitors. Stellantis’ approach reflects broader industry shifts away from all-electric vehicles, which have faced flat consumer adoption and high development costs.
U.S. hybrid sales have grown from 7.3% of the market in 2023 to 12.6% in 2025, while all-electric vehicle sales rose from 7.5% to 8%. S&P Global Mobility forecasts that hybrids will account for 18.4% of U.S. sales this year, while all-electric vehicles will account for 7.1%.
Officials with Stellantis and supplier companies declined to comment on the partnerships, though sources confirmed the details to CNBC. Analysts note that hybrid technology allows automakers to offer improved fuel economy without requiring lifestyle changes from consumers and provides dealerships with new sales opportunities in a segment that continues to grow.
