Jaguar has confirmed that it will hold on to its underperforming sedans amid a market that currently craves for high-hauling vehicles.

Automotive News earlier last week reported that that the XE and XF sedan in Jaguar’s lineup will continue after company CEO Ralph Speth safeguarded their future. He clarified that the same sedans will play a crucial role in Jaguar’s future electrification strategy, proving useful for long term strategies in Europe and China.

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Under Jaguar’s current portfolio, sales of the small XE sedan dropped 21 per cent to 28,402 units in the first 11 months of 2018.

Like numerous other automakers, Jaguar is working extensively to dial up its sales in markets such as Europe and China which have introduced stringent emission norms. Sedans, as the executive stated, were far easier to work with due to their superior aerodynamic properties. SUVs find it rather difficult to squeeze efficiency, simply because of their dimensions and design.

While the evolution of shapes of sedans cannot be predicted, rumours have indicated that the next XJ sedan could transform into a stately electric car to challenge Tesla’s Model S and the upcoming Mercedes-Benz EQS.

Under Jaguar’s current portfolio, sales of the small XE sedan dropped 21 per cent to 28,402 units in the first 11 months of 2018. Meanwhile, the mid-size XF showed a slightly steeper drop along with the larger XJ. The latter only clocked 29,563 units over the same period. This reflected a 23 per cent drop compared to the previous year.

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Ralf Speth believes that the demand will eventually level out for sedans despite SUV's currently seeing heavy demand worldwide.

While demand for SUVs continues to grow in the current automotive arena, Speth believes that it will eventually level out. Numerous other auto executives and companies also foresee sedan sales bottoming out around their current levels without much more room to decrease.

News of Jaguar’s sedans retaining their positions comes as the company works to boost sales and profits amid weak results. Earlier this month, Jaguar announced that it would lay off close to 4,500 employees worldwide for cost-cutting purposes.