Watch out Tesla: Jaguar working on a Chevrolet Volt-like compact roadster

Earlier this month, we heard reports that Jaguar is working on a compact two-seat roadster, a successor to the Jaguar C-Type. The roadster is expected to take on the likes of the Porsche Boxster, Audi TT, BMW Z4. Well, Jaguar may also be setting it sights on competing with Tesla Roadster.

According to Motor Trend, Jaguar’s new roadster, known as the XE, may have a Chevrolet Volt-like plug-in hybrid extended-range variant when it hits markets.

Sources say that a 3-cylinder engine is being engineered for the new E-Type powertrain system. The system is rumored to find its way into the Jaguar XJ in 2011, which will debut next month. While the XJ plug-in hybrid will take on the likes of likes of the Fisker Karma, the XE will focus on competing with the Tesla Roadster.

Ratan Tata, who bought Jaguar from Ford, is said to be a big supporter of the XE’s development. Other than a possible range-extended XE, the new 385-hp AJ V8 and the supercharged 510-hp are likely to be offered in the XE.

– By: Mo Eladawy

Source: Motor Trend