JAGUAR PLANS GLOBAL DRIVE TO CUT COSTS
Tata Motors Ltdowned British auto maker Jaguar Land Rover (JLR) Automotive Plc is set to embark on a significant cost optimization programme across markets to boost revenue, two senior executives with direct knowledge of the matter said.
JLR is planning to shift production of at least four models from its British factories to its plants in low-cost markets such as China, Austria and Slovakia. At present, the E-pace compact SUV and the I-pace electric SUV are the only models that are not manufactured in JLR’S three British manufacturing facilities.
JLR makes 13 models across six locations in the world, in addition to the two assembly facilities in Brazil and India.
While the Chinese plant in Changshu district will soon see the production of the Jaguar E-pace as part of the second phase of capacity addition, the electric I-pace and two other Land Rover models may also be manufactured there in the near future, one of the people cited above said, requesting anonymity.
The Slovakian and Austrian plants may also witness an increase in capacity over the next two years as they start manufacturing more models from the Jaguar stable. While the Austrian plant has been producing JLR vehicles under a manufacturing agreement with Austrian auto maker Magna Steyr since 2015, the Slovakian plant will come on full steam with the Discovery model by the end of this year.
Earlier this week, JLR had reported a loss of £210 million (about ₹1,900 crore), its worst quarterly performance since it was bought by Tata Motors in early 2008.