The automaker also confirmed that production of the current XT5 will continue through the end of 2026, bridging the gap to the new generation.
The 2027 Cadillac XT5 will have a gas-powered engine, likely a carryover turbocharged four-cylinder, and a hybrid model is also possible.
While the Cadillac XT5 was previously expected to be on the chopping block, the automaker just confirmed that the next generation of its compact luxury SUV will be sold in North America. The Detroit Free Press broke the news, citing a memo shared with local UAW workers.
The XT5 Avoids the Axe
In the memo, GM told employees that the current XT5 will stay in production through the end of 2026, rather than stopping at the end of this year, as previously planned. Cadillac confirmed the news to Car and Driver, with a spokesperson supplying the following statement: "As Cadillac evolves, we will continue to make necessary adjustments to our portfolio to meet customer demand. The current-generation Cadillac XT5, an important part of our global portfolio, will remain in production until the end of 2026."
The extended production run of the current generation will bridge the gap between now and the arrival of the newer version, which is scheduled to debut for the 2027 model year. The next-gen XT5 will continue to have a gas-powered engine, according to the Freep article, though the exact powerplant hasn't yet been confirmed.
Cadillac may be content to carry on with the current turbocharged four-cylinder and optional V-6 engines that produce 235 and 310 horsepower, respectively. But given that the updated model is already on sale in China, we can look at that as a possible bellwether for the North American model.
Could a Hybrid Model Come Here?
The Chinese model (pictured in the above photos) is offered with a hybrid turbocharged 2.0-liter four-cylinder, which Cadillac could potentially bring stateside. That powertrain combines for 233 horsepower and 258 pound-feet of torque, meaning the XT5 would hardly lose anything performance-wise versus the current four-banger.
Production for the current and future XT5 will continue at GM's factory in Spring Hill, Tennessee. Cadillac also produces the electric Lyriq and Vistiq at that same facility.
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