
Stellantis is pulling the plug on its entire plug-in hybrid (PHEV) lineup starting with the 2026 model year, marking a major shift in the automaker’s electrification strategy. The decision affects every PHEV across its portfolio, including the Jeep Wrangler 4xe, currently the best-selling plug-in hybrid in the United States.
The move underscores a pivot toward conventional hybrids and range-extended EVs, as Stellantis recalibrates its approach in response to shifting consumer preferences and mounting regulatory pressure. According to a January 13, 2026, update from Automotive News, the company is stepping away from PHEVs to focus on technologies it believes are better positioned for long-term success.
PHEVs have struggled to gain sustained traction in the marketplace. Despite offering electric-only range for short trips and gasoline backup for longer drives, they face headwinds: high production costs, inconsistent charging infrastructure, and increasing competition from both full EVs and more affordable hybrids.
Stellantis didn’t provide detailed reasoning beyond citing market direction, but the implications are clear. With sales data showing signs of waning demand, the company is choosing to streamline its electrification roadmap. The exit impacts key brands within the Stellantis group, including Jeep, Dodge, and Chrysler.
Other headlines in the industry this year, such as BMW’s recall of up to 575,000 vehicles due to a fire risk linked to starter motor issues (announced around February 11, 2026), are significant but don’t match the scale of Stellantis’ strategic overhaul. Inventory tightening also remains a concern across the sector, but Stellantis’ full withdrawal from PHEVs represents one of the most consequential moves in the ongoing evolution of the auto industry’s electric future.
