Jaguar unveils fully electric vehicle for $130,000. For what?

new York —

At a somber event in a Manhattan warehouse this week, actress Florence Pugh, Knicks player Karl-Anthony Towns and crowds of influencers all gawked at the Jaguar Type 01, the British automaker’s first new model in nearly a decade.

A sizzling reel showed the $130,000 all-electric vehicle speeding through New York City in style straight out of “Tron.” Next, Rawdon Glover, Managing Director of Jaguar, took the stage.

“Tonight we can say: ‘Jaguar is back,’” he said to enthusiastic applause.

Nearly two years after Jaguar unveiled its controversial new logo, the prestigious automaker is doubling down on its futuristic rebrand with a new model that reflects the divisive look. But a high-end electric vehicle is a tough sell.

Jaguar has already taken on competitors like Mercedes-Benz and BMW, making notable appearances in James Bond films. But the brand’s shine faded over the decades, first under Ford, then under India’s Tata Motors, which bought Jaguar Land Rover in 2008.

More recently, Jaguar has faced a change in management and an aging lineup, ending production of most models two years ago, while new competitors like Tesla, Lucid and Porsche have moved on full speed ahead.

But Jaguar is returning with a vehicle that doesn’t look like its predecessors in the hope it will attract a younger buyer. First revealed in concept car form in 2024, the Type 01 is the “most aerodynamic Jaguar ever designed by the 104-year-old brand,” according to a press release.

The iconic leaping Jaguar hood ornament received the axe, as did the wide, round headlights. The sedan has a distinct boxy silhouette and the ability to travel up to 450 miles on a full charge and accelerate to 62 miles per hour in just three seconds.

At first glance, it’s “competitive and attractive,” said Stephanie Brinley, senior automotive analyst at Mobility Global.

“They were looking for a new buyer, in the sense that it’s not old-fashioned luxury at all,” she told CNN, adding that it was “for someone who identifies a little differently in the way they want to demonstrate luxury.”

In 2024, Jaguar was looking to reinvent itself. The once iconic car maker had stripped down, selling just one model in the US and not a single one in the UK market.

Jaguar hit the reset button that year, rolling out a new logo and polarizing branding highlighting its upcoming line of fully electric vehicles.

However, Brinley said any blowback was brief and the controversy reignited interest in the company.

“It certainly brought a great perspective to this project and contributed to how closely it’s being watched,” she said.

Additionally, the new look is part of a return to Jaguar’s design roots, Kelly Blue Book editor-in-chief Sean Tucker said, moving away from the mainstream brand it was under Ford.

An original E-Type sports car from the 1960s, identifiable by its sweeping curves and long bonnet, Jaguar was “almost a sort of fashion brand”, he said. But this philosophy was lost under different owners who had different theories on how to run the business.

“(Jaguar) is effectively moving into a completely different tax bracket where they are competing with Aston Martin and Ferrari,” he said.

At Tuesday’s event, Jaguar invited a crowd that was probably hoping to buy a Type 01: young, rich and influential. But building the VIP list is probably the easiest part of launching.

“They need to find buyers willing and interested in the electric space, and there has been some lack of interest in electric vehicles in the premium sedan market,” Brinley said. And with its six-figure price tag, the Type 01 is likely aimed at a multi-car household.

Jaguar has not publicly disclosed its sales targets for the release of the Type 01 next year. But the United States could be a difficult market.

Electric vehicles accounted for just under 10% of new car sales in the United States last year, and sales faced challenges following the expiration of a federal tax credit for electric vehicle buyers. Tesla, the nation’s largest electric vehicle maker, announced last week that its third-quarter sales fell 2% from a year ago.

International sales are a different story. Tucker believes the Type 01 will likely be successful in Europe and Asia. Sales of electric vehicles have increased significantly there, according to the International Energy Agency, as the energy crisis drags on.

But the premium electric vehicle category that Jaguar is entering is already crowded and has several rivals, including the Porsche Taycan, Mercedes EQS and Lucid Air, all of which have struggled with sales.

The Type 01 is just one vehicle in a broader relaunch for Jaguar, with all future vehicles being electric and priced in the same neighborhood.

For Brinley, the Type 01 is a good first step. “However, they still have a lot of work to do as this is not going to be a car that revives them as a brand,” she said.