MONEY

Fiat Chrysler releases images of totally revamped 2017 Jeep Compass

The 2018 Jeep Compass has been anticipated for several years and is the next phase of Jeep's global growth plan to top 1.9 million in annual sales by 2018.

Brent Snavely
Detroit Free Press
2017 Jeep® Compass Limited

Jeep revealed that Compass will be the name for the compact Jeep that will replace the Compass and Patriot SUVs as it celebrated the start of production of the new SUV today at its plant in Pernambuco, Brazil, and released three images of the vehicle.

The images show a more aerodynamic design than the outgoing Compass and Patriot models with styling cues that reflect those found on the Jeep Grand Cherokee and Jeep Cherokee instead of the boxier Wrangler and Renegade.

The 2017 Jeep Compass will serve as the next leg of Jeep's global growth strategy. Jeep's global sales have increased more than 140% since 2008 when it sold just under 500,000 vehicles worldwide.

"This Jeep represents the heart of the global SUV market right now. Small SUVs are selling well and they are selling well globally," said Karl Brauer, senior director of content for Cox Automotive. "This is an extremely important vehicle that will help to form the backbone of Jeep's global presence for the foreseeable future."

2017 Jeep® Compass Trailhawk

Mike Manley, head of the Jeep and Ram brands for FCA, has been saying for more than a year that the new vehicle will either be named Compass or Patriot. FCA likely picked the Compass name over the Patriot because, as a global vehicle, the name had to be appealing worldwide.

FCA said it will sell the Compass with 17 different fuel-efficient engine and transmission options to consumers in more than 100 countries around the world. The automaker also said the new Compass will be offered with Jeep's legendary 4x4 off-road capability.

The new Jeep Compass has been anticipated for several years and is the next phase of Jeep's plan to top 1.9 million in annual global sales by 2018.

2017 Jeep® Compass Limited

The outgoing Compass and Patriot, built in Belvidere, Ill., is a chunky, boxy SUV whose style and performance lags competitors. Last year, Jeep sold 118,464 Patriots and 66,698 Compasses in the U.S., or about 21% of the brand's total sales in the U.S.

The new Compass will be built in Brazil and in Toluca, Mexico, and will go on sale in North America early next year. FCA CEO Sergio Marchionne confirmed that the Compass would move to Mexico in April as part of a sweeping shift in the automaker's North American production plans.

Stephanie Brinley, analyst for IHS Automotive, expects the new Compass will be priced higher than the outgoing model  but will also offer improved performance and fuel economy.

"The Jeep brand has an inherent ability to command a premium in the market but that could create some sticker shock for existing owners when they return to the showroom," Brinley said. "I do expect Jeep to come back into the segment with a really strong product."

Jeep's resurgence began several years ago with the overhaul of the Jeep Grand Cherokee and was followed by the return of the Cherokee in 2013 and has evolved as the automaker began building its compact Renegade at plants in Italy, China and Brazil last year.

FCA sold more than 1.2 million Jeep SUVs around the world in 2015, a 22% increase compared with 2014 and the brand's fourth consecutive record year.

With sales of small SUVs growing globally, the Jeep Compass is expected to help the brand keep its growth going.

FCA originally planned to reveal the new compact SUV at the New York International Auto Show in March, but those plans were scrubbed because of the growing importance of Brazil in Jeep's global expansion plan. Now, the Jeep Compass will make its North American debut in November at the Los Angeles Auto Show.

Contact Brent Snavely: 313-222-6512 or bsnavely@freepress.com. Follow him on Twitter @BrentSnavely.