The XJ generation Jeep Cherokee bridged the maker’s past and present. Jeep for a while belonged to the American Motors Corporation (AMC) – a company little known in Europe, which was formed in 1954 when the struggling Nash-Kelvinator merged with Hudson Motor Car Company, the same bunch of people whose legendary Hudson Hornet popularized NASCAR racing.

In 1979, AMC convinced Renault to acquire a large stake in their company and enter the North American market. One effect of this alliance (pun intended) was the appearance of the Renault 9 and 11 on American roads, but the main result was a plan to create a new, market-conquering compact 4x4.

Jeep Cherokee XJ
Jeep was not lying in their brochures
© Jeep

Renault brought many new ideas to AMC. They fundamentally changed the product planning, development, and manufacturing systems for better work and time management. Though it might be hard to believe at first glance, CAD technologies were used in creating the XJ Cherokee, implementing new ways of creativity and efficiency in packaging and design. AMC and Renault were really hoping for some great results as both companies vitally needed a financial influx. A lot of hope and genuine effort was put into the new vehicle, which was designed to be perfect for both Europe and America, something that hadn’t been done before.

The new Cherokee ended up being a pioneering vehicle in many fields. The compactness of the XJ is the first thing you notice when you meet it for the first time. Although the car is significantly smaller than the previously produced SJ Cherokee and a whopping 1,500 lb lighter, the interior space remained the same. The single-body architecture of the model was a big novelty in the SUV world. It brought much less weight, lower fuel consumption, higher ground clearance, better road manners, and better axle articulation with the Quadra-Link suspension. This was used in both the 3 and 5-door Cherokees and the Comanche pickup.

Jeep Cherokee XJ
Jeep brochure with a cutaway 4-door Cherokee
© Jeep

Due to the reduced weight, the engine could also be smaller. A new 2.5-liter 4-cylinder gas engine was developed based on the long-produced AMC straight-6, so the same tools could be used for it’s production. Oil filter, distributor, and other engine parts would be in the same location. It was a simple, reliable, somewhat noisy, and sluggish engine at higher speeds, but quite suitable for an off-roader this small. There was also an option for a General Motors 2.8-liter V6 until it was replaced by the cult classic that’s familiar to every Jeep enthusiast – the famous AMC straight-6, produced for a staggering 54 years.

The engine was significantly modernized for the XJ with a new design head, Bendix electronic fuel injection and ignition system.Over the years, this engine earned the status of being simply indestructible. With 190 horsepower and good low down torque, it was an ideal engine for the XJ.

Jeep Cherokee XJ
Jeep Comanche – the pickup version of the XJ
© carsscoops

When the first drivers got their hands on and drove the new-gen Jeep SUV in 1984, fanfare wasn't long in coming. True Jeep users rejoiced at the Cherokee's off-road talent, and American 4x4-themed magazines unanimously rated the car as the best SUV on the market at the time. Instead of the planned 40,000 units, nearly 80,000 were sold in the first year. In America, the base Cherokee cost just under 10,000 dollars – a significant blow to competitors from Ford, General Motors, and Toyota, whose alternatives were more expensive. That same year, Jeep sales doubled.

Cherokees appeared in Renault dealerships in France in 1989 and in the United Kingdom in 1993. AMC and Renault knew exactly what they were doing. Their creation was an ideal car for that period. The XJ became part of 80s America, just like Michael Jackson or the Atari 2600. Even a New York sewer rat knew what a Jeep Cherokee was, and AMC was making record profits at the time. The first quarter of 1987 brought a billion dollars into the company's account, a large part of which was due to the Cherokee.

Jeep Cherokee XJ
Early model Jeep Cherokee with the 8-slot grill
© Cars and Bids

Unfortunately, the dawn of 1987 also marked the beginning of the end for American Motors. Although Renault had invested huge sums into the bleeding AMC and was almost reaching the peak where it would start feeling the return of profits, the French packed their bags and flew home. In November 1986, the nationalist group Action Directe assassinated Renault chairman George Besse due to the Renault-AMC restructuring, which resulted in 21,000 Renault employees being laid off. The French obviously had bigger problems at home.

Jeep Cherokee XJ
Jeep Cherokee interior pre-1993
© Orange Coast

Renault's shares and the remaining part of AMC were sold to Chrysler for just 1.7 billion dollars. The Jeep brand, a vast dealership network, and large factories in Ontario and Ohio were the main advantages of this deal for Chrysler. Along with the entire AMC-created infrastructure, Chrysler also took over a few other things. The previously mentioned optimized car design cycle and computer technologies introduced by Renault did not bother the Americans, and they gladly continued to use them, making Chrysler proud to be one of the most efficient and least expensive production companies in the mid 90s. They also took over the unfinished plans for a new AMC/Jeep model, called the Concept 1. Chrysler completed the project, which appeared in 1993 as the ZJ generation Jeep Grand Cherokee.

Jeep Cherokee XJ
Jeep Concept 1
© Motor Trend

When the Cherokee was retired in 2001 after 18 years of service, it had outlived even the first Grand Cherokee, produced until 1998. Even in the last months of sales, it was the second most popular new Jeep product. It is a car with a fascinating history, intertwined with the post-war American automotive industry, French business expansion, and even partly Mercedes-Benz. The Daimler-Chrysler alliance, formed in 1998, was the last official manufacturer of the Cherokee.

Jeep Cherokee XJ
Jeep Cherokee interior post-1997
© Parkers

The XJ outlived its creator, AMC, which no longer exists today. Considering the car's popularity during production, its footprint in modern 4x4 culture, and the global popularity of SUVs, the XJ Cherokee is one of the best examples of return on investment.

Jeep Cherokee XJ
Late model Cherokees are highly sought after these days
© Bring a Trailer

And it’s just as good when you have its keys in your hands. Small but spacious, practical yet always eye-catching. It is a true old-school 4x4 vehicle and, compared to a Mercedes Geländewagen, it doesn’t cost half of Belgium. If the phrase "form follows function" were a car, it would likely be a Jeep Cherokee XJ – one of the last true Jeeps.

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