Jeep is making major changes to its full-size luxury SUV lineup by combining lower prices with additional horsepower and upgraded standard equipment. The 2025 Grand Wagoneer receives an upgraded 3.0-liter twin-turbocharged Hurricane inline-six engine producing 540 horsepower and 521 lb-ft of torque. That represents an increase of 30 horsepower and 21 lb-ft compared with the previous version. At the same time, Jeep has reduced prices across its Wagoneer and Grand Wagoneer models by several thousand dollars.
These changes come after Jeep faced challenges attracting buyers in the competitive full-size SUV market. The Wagoneer nameplates originally entered the luxury segment with ambitious pricing, putting them against established competitors such as the Cadillac Escalade and Lincoln Navigator. However, slower sales and growing affordability concerns encouraged Stellantis to reconsider its strategy. The latest adjustments bring lower starting prices, additional technology, improved standard equipment, and a stronger engine. Jeep is also preparing a major lineup restructuring for the 2026 model year.
1. Jeep Upgrades the Grand Wagoneer’s Hurricane Engine
The most significant mechanical change for the 2025 Jeep Grand Wagoneer is under the hood. Its new 3.0-liter twin-turbocharged Hurricane inline-six engine has been rated at 540 horsepower and 521 pound-feet of torque. In comparison, the old model produced 510 horsepower and 500 pound-feet, so the new engine delivers an increase of 30 horsepower and 21 pound-feet. The new six-cylinder engine will provide more power to Jeep’s flagship three-row luxury vehicle, without moving away from the now-standard twin-turbocharged six-cylinder setup.
More Muscle Under the Hood:
- Updated 3.0-liter Hurricane inline-six
- Total output reaches 540 horsepower
- Torque increases to 521 lb-ft
- Gains 30 additional horsepower
- Gains 21 additional lb-ft torque
This extra juice provides the Grand Wagoneer with stunning straight-line performance given its size. With its twin-turbocharged, Hurricane engine, the luxury SUV rockets forward and exerts a tremendous amount of torque to propel such a large vehicle. The Hurricane powerplant provides a departure from previous generations of V8 engines used to power this flagship SUV, which long-time gear heads will likely pine for in the short term, but Jeep appears committed to delivering a next-generation inline-six that packs a punch.
2. Jeep Repositions the Wagoneer After Ambitious Luxury Pricing
When Jeep resurrected Wagoneer as a nameplate for the 2022 model year, the company had aims of stepping into the premium space even further. In fact, executives hoped Wagoneer would become its own standalone sub-brand, taking a cue from Range Rover. The first Wagoneer buyers weren’t even able to specify a basic set-up and were being pushed into the Series II Rear-wheel-drive version for nearly $72,000, while loaded Grand Wagoneers rattled close to the $120,000 range.
The Original Luxury Strategy:
- Wagoneer returned for the 2022 model year
- Jeep pursued a separate luxury sub-brand
- Base configurations were initially unavailable
- Series II started near $72,000
- Fully equipped models approached $120,000
But, those lofty pricing targets moved the Grand Wagoneer head-to-head with luxury SUVs like the Cadillac Escalade and Lincoln Navigator. But shoppers in the broad family market and the seasoned luxury buyer simply refused to buy into such a high-horsepower strategy. Realizing that its original plan was falling flat, Jeep re-badged the vehicles in 2024 and that’s how the new strategy launched. It created the baseline for a broader repositioning that emphasizes better pricing, more value, and grabbing more showroom traffic.
3. Sales Competition Exposes Wagoneer’s Market Challenges
During the first six months of 2024, it became obvious that Wagoneer models had a hard time besting the incumbent full-size SUVs. The Chevrolet Tahoe notched 48,443 units and the Ford Expedition (including Max) totaled 43,307. The GMC Yukon family posted 39,462 and Wagoneer/Wagoneer L arrived at 29,865, ahead of the Chevrolet Suburban (21,463) and Toyota Sequoia (12,868). However, the two Wagoneer models still settled in behind their bulkier domestic competitors.
Full-Size SUV Sales Comparison:
- Chevrolet Tahoe sold 48,443 units
- Ford Expedition reached 43,307 deliveries
- GMC Yukon recorded 39,462 sales
- Wagoneer lineup reached 29,865 sales
- Toyota Sequoia recorded 12,868 sales
Premium market too for pricier Jeep models The other headwind for Grand Wagoneer models in their comparable six-month frame was the premium market. For the period, the Cadillac Escalade had 19,204 sales, while the Grand Wagoneer and Grand Wagoneer L had a total of 7,555. That was more than the Lincoln Navigator at 6,550 but fell short of the volume and profit that Stellantis had in mind for its high-dollar fleet.
4. Stellantis Faces Financial Pressure and Cuts Factory Production
The sluggish sales also led to broader corporate struggles for Stellantis, which announced a 27% drop in net revenue for the quarter. The automaker has had to clear a backlog of inventory and cut back factory production to align with the demand. The Warren Truck Assembly Plant, located just outside Detroit, idled its operations for a time and laid off 1,100 workers. That plant builds both Wagoneer nameplates, making the production cut especially relevant to Jeep’s full-size luxury SUVs.
Pressure Behind the Pricing Changes:
- Stellantis revenue declined by 27%
- Warren Truck Plant operations were idled
- Production cuts affected 1,100 workers
- Dealer inventory required additional discounts
- Jeep introduced aggressive incentive programs
U.S. sales boss Matt Thompson said Jeep would offer heavy incentives to clear high inventory levels at dealerships. But even with big incentives, leadership knew temporary discounts couldn’t fix the price problem. The maker would have to put competitive prices directly on the factory window sticker so the vehicles would sell themselves before negotiations even started, Thompson said. That strategy was necessary for Jeep to boost showroom traffic and compete with longstanding competitors in the full-size SUV segment.
5. Grand Wagoneer Receives Major Price Cuts for 2025
Wagoneer lineup are being slashed significantly, starting at an eye-popping $7,000 off for the 4×4 base Grand Wagoneer. The new starting sticker for this model will be $84,945. Destination charges add another $2,000 to it, so the price is actually $86,945. That beats out the Jeep’s luxury SUV opponents, as you might expect, as it is significantly cheaper than the rear-wheel-drive Cadillac Escalade, which starts at $89,590 including destination.
Grand Wagoneer Starting Prices:
- Base 4×4 starts at $84,945
- Entry model receives $7,000 reduction
- Destination increases price to $86,945
- Series II Obsidian starts at $98,945
- Series III 4×4 starts at $107,945
More substantial discounts are available on higher grades of the Grand Wagoneer. The Series II Obsidian 4×4 is discounted by $5,495 to a starting price of $98,945, or $100,945 when destination is included. The Series III 4×4 is discounted by $4,650 to a starting price of $107,945. Buyers of the extended-wheelbase version will get the same discounts, with the Grand Wagoneer L Obsidian 4×4 starting at $101,945 and the Grand Wagoneer L Series III 4×4 at $110,945 before destination.
6. Standard Wagoneer and Wagoneer L Models Become More Affordable
Jeep has also decreased its pricing on the non-Grand Wagoneer models by $3,000 to $5,685, depending on the model. Pricing for the base two-wheel-drive Wagoneer has come down to $59,945 while the four-wheel-drive range-topping model now starts at $62,945 (excluding the $2,000 destination). The Wagoneer Series II has a $5,185 price decrease while the two-wheel-drive model is now priced at $63,945 and the four-wheel-drive at $66,945.
Standard Wagoneer Price Changes:
- Base Wagoneer 4×2 starts at $59,945
- Base Wagoneer 4×4 costs $62,945
- Series II receives $5,185 reduction
- Series III 4×4 starts at $73,945
- Destination fee adds another $2,000
Pricing on the extended-wheelbase Wagoneer L remains consistent, beginning at $62,945 for the 4×2 and $65,945 for the 4×4. The Wagoneer L Series II 4×4 is discounted by $5,185 to $69,945, while the Series III 4×4 model is lowered by $5,685 to $76,945 before destination. This puts the WK2 Wagoneer pricing in the middle of the segment in between the Chevrolet Tahoe (which starts at $60,495) and the Ford Expedition (which starts at $63,695).
7. Jeep Adds More Standard Equipment and Advanced Technology
The 2025 program is even more remarkable when you consider that Jeep has increased the amount of equipment it offers and decreased the prices of its vehicles. All Wagoneer and Wagoneer L models have 20-inch aluminum wheels as standard, replacing the smaller wheels fitted to earlier examples. Jeep has also made major driver assistance technology standard across the range, and all versions feature adaptive cruise control and either active lane assist or active lane management.
New Standard Equipment Highlights:
- Wagoneer receives standard 20-inch wheels
- Grand Wagoneer gets 22-inch wheels
- Adaptive cruise control becomes standard
- Active lane assistance is included
- Additional cabin technology improves convenience
Elsewhere inside the Grand Wagoneer, a handful of electronic upgrades aim to bolster the model’s luxury cachet. That includes individual seat-memory options for front passengers and a new standard-in-the-model passenger display screen built into the dashboard. Jeep North American president Bob Broderdorf told reporters that slashing prices by up to $7,000 while increasing content makes the regular and Grand Wagoneer even more attractive. The company is trying to add value for customers rather than simply slash prices, he said.
8. Hurricane Inline-Six Engines Replace Traditional V8 Options
The Hurricane twin-turbocharged 3.0-liter inline-six engines are at the core of the revised Wagoneer family’s performance focus. While longtime aficionados might lament the loss of the V8s that were available on previous generation models and bowed out after the 2024 model year, today’s six-cylinder engines provide performance similar to what diesel engines have long provided. The forced-induction engines crank out a lot of torque and thrust while providing a smoothness and refinement that rival what GM’s big-block powerplants and Ford and Lincoln’s turbocharged V6 engines do.
Hurricane Engine Advantages:
- Modern twin-turbocharged inline-six configuration
- Grand Wagoneer produces 540 horsepower
- Strong torque delivery during acceleration
- Smooth and refined engine operation
- V8 options ended after 2024
This upgraded Hurricane mill unleashes a firm knee-jerk of acceleration whenever the driver’s right foot presses the go pedal, conferring mouthwatering straight-line abilities on what are otherwise super-massive vehicles. An equally potent trait is refinement, a rarity with the turbocharged V6s that currently gut out the Ford Expedition and Lincoln Navigator, to be sure. Sure, some shoppers might be saddened to see a V8 go the way of the dodo, but Jeep’s modern six-cylinder strategy adds up to some significant mechanical brawn.
9. Jeep’s Pricing Strategy Shows Early Results and Prepares for 2026
Although the effects of the pricing change are still emerging, there are early indicators that it is working. Third quarter Wagoneer sales were up 3% which implies that the factory price reductions are slowly pulling new customers in. Even the smaller Compass posted a 71% surge after the implementation of the pricing changes. Jeep further ramped up its advertising effort with new $2000 brand-conquest rebates aimed at prompting consumers to replace competing marque vehicles, and low-rate financing.
Early Results and Market Competition:
- Wagoneer sales increased by 3%
- Compass sales jumped by 71%
- Brand-conquest rebates offer $2,000
- Toyota Land Cruiser starts at $57,445
- Grand Highlander LE starts at $42,310
Other companies are also trying to address the rising affordability issue. Toyota reset the starting price for its Land Cruiser at $57,445, substantially lower than the last year of the previous generation at $85,815. It also lowered the starting price for an entry-level Grand Highlander LE SUV to $42,310, $2,460 below the previous starting point. The trend is toward considering value for each model as other automakers also are seeing how much customers are willing to pay for bigger vehicles.
10. The 2026 Grand Wagoneer Introduces a Major Lineup Restructuring
Stellantis has an even more significant refresh on the horizon for the 2026 model year, with the marque promoting the refreshed Grand Wagoneer with a starting MSRP of $63,200. For reference, the base 2025 Grand Wagoneer listed at an introductory $84,945 price a significant drop of $21,745. It also signifies a major shake-up, as Jeep intends to phase out the Wagoneer and Grand Wagoneer branding, now operating as one full-size vehicle family under a consolidated Jeep Grand Wagoneer badge.
Major Changes Coming for 2026:
- Advertised starting MSRP reaches $63,200
- Price drops by $21,745
- Separate Wagoneer hierarchy will disappear
- Unified Jeep Grand Wagoneer branding
- Familiar trim packages return
The 2026 refresh features exterior styling cues originating from the Wagoneer S EV, a new expressive Jeep badging, and streamlined configurations. Customers can select from more traditional configurations such as Limited Altitude, Upland, Limited Reserve, Summit Obsidian, and Summit Reserve. The brand highlights that the vehicles are great for everyday life thanks to their spacious three rows of seats and ample cargo space. Altogether, 540 horsepower, added equipment, and a drastically altered price point mark a significant departure in the Grand Wagoneer’s positioning.
