Jaguar axes the X-Type due to poor sales

Article by Christian Andrei, on August 26, 2010

Due to poor sales, production of the Jaguar X-Type will be ceasing at the end of the year. Although production had been set to continue until at least mid-2010, Jaguar decided to prematurely shut down operations to cut costs. 

As a result, 300 jobs at the Halewood Plant on Merseyside will be cut and the plant will be closed for an additional three weeks starting in September. 

A spokesman stated that the job losses would be through voluntary redundancy only.

Jaguar Land Rover CEO David Smith said that the premium sector of the car industry has been badly hit by the recession. In fact, Land Rover's retail sales decreased by 28% in the past 10 months.

Smith added that to cut costs, the company has reduced production volumes, cut investment plans as well as 2,200 jobs. He explained that ceasing production of the X-Type early is necessary to protect its other investment plans.

He said that subsequent actions by the company will depend on the state of the market and how soon the 340 million euro European Investment Bank loan can be drawn. Jaguar has sold more than 350,000 X-Types in eight years. [via autocar]

Topics: jaguar, sedan, sales

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