Jaguar has been considering creating an entry-level model that would compete against the Audi A3 and the Mercedes CLA Class. That still could happen, but not this decade.
Jaguar Australia managing director Matthew Wiesner told The Motor Report that the "trend toward small cars in premium brands is very strong and premium brands are doing well in that space." He continued by conceding that an entry-level model from jaguar is "definitely not" going to happen in the company's current production cycle.
Jaguar Land Rover's iQ[Al] platform could be shrunken down to accommodate a model that slots beneath the XE, but the resulting car would likely be expensive and have a cramped interior. This could force the company to build the car on a front-wheel-drive platform but Wiesner contends any such model would need to look and drive like a proper Jaguar. As he explained, "Can a front-wheel platform live up to that ethos? I don’t know... that’s a decision for the guys in the United Kingdom to make."