Photo of 2016 XE courtesy of Jaguar.

Photo of 2016 XE courtesy of Jaguar.

Jaguar has unveiled its 2016 XE compact entry luxury sedan, which it will offer in rear-wheel drive with a standard gasoline engine or optional diesel powerplant.

The XE, which will arrive with an extensive aluminum body, will slot in below the brand's XF and XJ models. Jaguar will offer the XE S with a supercharged direct-injected 3.0-liter V-6 that generates 340 hp and 332 lb.-ft. of torque. It will also offer a turbocharged 2.0-liter four-cylinder diesel engine. The vehicle, which takes styling cues from the F-Type coupe, is expected to arrive in the U.S. in 2016 to compete with the BMW 3-Series, Mercedes-Benz C-Class, and Audi A4.

The XE will offer the new InControl infotainment system and a safety feature known as "all surface progress control" that controls the vehicle's brake system and powertrain to improve traction at lower speeds on slippery roads. A two-camera system will measure the speed and distance of forward objects and initiate braking on the gasoline model.

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