Jeep India Raises Prices on Compass and Meridian SUVs: Possible Factors and Impact on Market

Jeep India, a subsidiary of Stellantis, has announced a price hike for its popular SUVs, the Compass and the Meridian, effective from August 2023. While the company has not provided an official reason, industry experts speculate that rising input costs, inflation, and supply chain disruptions due to the COVID-19 pandemic may be contributing factors.

Jeep Compass Price Hike

The five-seater compact SUV, Jeep Compass, has seen a price increase of up to ₹ 43,000 across its three trims - Sport, Limited, and Model-S. The base variant, Sport 4x2 MT, now starts at ₹ 21.73 lakh, while the top-end variant, Model-S (O) 4x4 AT, is priced at ₹ 32.07 lakh (ex-showroom India).

The Compass is equipped with a 2.0-litre diesel engine delivering 170 PS and 350 Nm of torque, and it offers both manual and automatic transmission options along with a four-wheel-drive variant on the Limited and Model-S trims.

Jeep Meridian Price Hike

The seven-seater mid-size SUV, Jeep Meridian, has experienced a significant jump of up to ₹ 3.14 lakh across its four variants - X, Limited, Limited Plus, and Upland Edition. The entry-level X Edition now starts at ₹ 33.83 lakh, while the top-end Limited Plus AT variant is priced at ₹ 38.61 lakh (ex-showroom India).

The Meridian shares the same 2.0-litre diesel engine as the Compass but with different tuning, generating 200 PS and 450 Nm of torque. Like the Compass, it offers manual and automatic transmission options and a four-wheel-drive variant on the Limited and Limited Plus trims.

Upcoming Launch of Sub-Compact SUV H6

Amidst the price hike, Jeep India is gearing up to launch its new sub-compact SUV, codenamed H6, in early next year. Based on the Citroen C5 Aircross platform, the H6 will compete with popular models like Hyundai Creta, Kia Seltos, Skoda Kushaq, and Volkswagen Taigun. The H6 will be locally manufactured at Jeep’s Ranjangaon plant in Maharashtra and will also be exported to other markets.

Adventure Assured Program for Enhanced Ownership Experience

Jeep India has recently introduced the Adventure Assured Program, offering various benefits to customers to enhance their ownership experience and reduce costs. These include assured buyback of up to 55% of the ex-showroom price after three or four years of ownership, flexible EMI options, extended warranty, annual maintenance package, roadside assistance, and first-year insurance cover.

Challenges in a Competitive Market

As one of the leading premium SUV brands in India, Jeep has garnered a loyal fan base for its performance, quality, design, and off-road capabilities. However, with the latest price hike, the company may face challenges in attracting new customers and retaining existing ones in a highly competitive and price-sensitive market.