A Range Rover Evoque L in China is now selling for as little as $26,600, a nearly 60% discount from its $63,500 list price, according to a report from Chinese media. The steep cut reflects collapsing demand for gasoline-powered luxury SUVs as buyers shift rapidly toward electrified vehicles. The locally built Evoque L, originally priced at 429,800 yuan, now carries an advertised price of 179,800 yuan, showing the severity of the downturn in China’s ICE market.
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The locally built model’s advertised price of 179,800 yuan marks a $36,900 reduction, an unusually deep concession for a brand known for prestige pricing. The problem isn’t limited to Jaguar Land Rover. Across China, discounts on ICE vehicles have surged this year as dealers struggle to clear bloated inventories of gasoline-powered cars, many of which now sit unsold for extended periods.
From January to May, the average discount on gasoline cars reached 33,000 yuan ($4,900), nearly double the 17,000 yuan ($2,500) offered in the same period last year, per data from the China Passenger Car Association. The widening gap signals a broader market realignment, with dealerships increasingly forced to slash prices to attract buyers who now overwhelmingly favor electrified alternatives.
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On the same day the Chinese discounts surfaced, JLR announced a shift in strategy for the US market. The upcoming compact Defender, originally planned as EV-only, will now include a hybrid option to cater to American buyers still hesitant about full electrification. The decision reflects broader concerns within JLR about the slow uptake of EVs in the US, where infrastructure, charging habits, and consumer preferences remain skewed toward traditional powertrains. The compact Defender, along with future EMA-based models, will now accommodate hybrid systems to bridge the gap between electrification and internal combustion.
The move highlights the awkward position global automakers face. In China, gasoline vehicles are losing value fast, with premium brands like JLR particularly exposed as domestic EV makers gain ground.
For JLR, the stakes are particularly high. The company has already pulled back some Western-style models in China as local tastes shift toward domestic EVs, leaving its gasoline-powered lineup vulnerable to steep markdowns. Meanwhile, in America, its biggest market, the push for hybrids signals a reluctance to abandon internal combustion entirely, despite long-term electrification goals. The EMA platform, designed to support both electric and hybrid powertrains, exemplifies this dual approach, though it adds complexity and cost to development.
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Build too many EVs and risk weak sales in the US. Build too many gasoline cars and face fire-sale pricing in China. The math isn’t adding up for legacy automakers trying to straddle both worlds, with JLR’s recent decisions illustrating the financial and strategic strain of catering to two markets moving in opposite directions.