Jaguar planning to transfer some of its production in Russia, India, China and Brazil

Article by Christian A., on August 26, 2010

Russia, India, China and Brazil are the places where Jaguar Land Rover is planning to transfer some of its production. Increasing volume in its key emerging markets is just one of the strategies that JLR is considering to raise production to 300,000 cars a year. Another advantage to this is that it could sidestep import tariffs in countries such as China.

David Smith, JLR's chief executive, announced the plans at a fringe meeting at the Tory party conference held recently. About two weeks ago, Smith announced an entirely new business plan for the company.

Smith also added that the plan requires multi-billion pound investments over the next five to ten years and that he's confident this will be one of the largest manufacturing investments any company makes in the UK.

Smith said that what it means is that its product portfolio will have to be developed. There also has to be a focus on environmental innovations and its export markets. He recognized the need to manufacture some products overseas. He stated that if JLR is to get over 100 percent tariff barriers in places like China , manufacturing would have to be done in China, says Autonews.

As part of the company's revised plan, JLR will be shutting down one of the plants in the West Midlands by the middle of the next decade.

However, a company spokeswoman asserted that any overseas production is additional and would not replace UK production. She added that the business will be expanded with new models and new investment, in the key developing markets and that it will be looking at options for local manufacturing.

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