In 1984, the Jeep Wagoneer reached a pivotal moment in its history. The SJ Wagoneer Limited was rebranded as the Grand Wagoneer, while the newly introduced XJ Cherokee adopted premium trim levels, becoming the base-trim Wagoneer and the upscale Wagoneer Limited. American Motors Corporation (AMC) aimed to phase out the SJ platform entirely, replacing it with the XJ Cherokee. However, this strategy succeeded for the Cherokee models but fell short for the compact and expensive XJ Wagoneer. Annual sales never surpassed 25,000 units and declined rapidly.
Meanwhile, AMC continued selling the Grand Wagoneer, despite its outdated design, due to its profitability. At the launch of the XJ Wagoneer, the SJ lineup was streamlined from two trims to one. The base Brougham model was discontinued, and the Wagoneer Limited was renamed the Grand Wagoneer.
Midway through 1984, Jeep introduced the Wagoneer Custom, a short-lived and unconventional experiment. The Custom trim had previously been used in 1983 as the Custom Wagoneer, but this iteration was even more basic. It featured:
- No wood trim on the exterior
- Steel wheels with wheel covers instead of alloy wheels
- Reduced standard equipment compared to the Grand Wagoneer
- Part-time four-wheel drive instead of Selec-Trac
The Wagoneer Custom was priced at $15,995 in 1984, equivalent to $51,832 when adjusted for inflation. This was approximately $3,000 (or $9,721 adjusted) less expensive than the luxurious Grand Wagoneer. Despite its lower price, few customers were interested in the bare-bones model, and the trim was discontinued after just a few months.
The Wagoneer Custom stood out as a visual oddity. While it wore the updated Wagoneer front fascia, it lacked wood trim or script badging. The base wheel covers and minimalist design exposed the vehicle’s aging '60s sheet metal. A black trim strip ran down the side, attempting to disguise the plain bodywork. The interior was equally Spartan, with simpler door panels featuring less padding and carpet trim. The door panels reverted to an earlier design, using fabric inserts and minimal padding. Windows and seats were manually operated, and the seats themselves were more basic than those in the Grand Wagoneer, with cloth upholstery (houndstooth pattern) instead of leather.
After its brief six-month run, the Wagoneer Custom was dropped, and the Grand Wagoneer continued alone in 1985. That year brought handling improvements, including revisions to the front sway bar, redesigned shock absorbers, and updated rear springs. In 1986, the SJ Grand Wagoneer received its final visual refresh. The tiered grille was replaced with a flat horizontal design, featuring three rectangular chrome sections with thin horizontal slats inside them.