TAGUAR LAND ROVER TO SET UP PLAN IN CHINA

TAGUAR LAND ROVER TO SET UP PLAN IN CHINA

Tata group firm Jaguar Land Rover plans to produce more than 50,000 vehicles a year from a new plant in China says a media report. “Jaguar Land Rover (JLR), the UK-based luxury vehicle business owned by India’s Tata Motors, plans to produce more than 50,000 vehicles a year from a new plant in China employing up to 5,000 staff”, according to the ‘Financial Times’.

Quoting to JLR chief executive Ralf Speth, the report said the auto giant could “begin immediately” if it struck a joint venture deal with a Chinese industrial partner.

According to the publication, the move, which is expected to be emphasized by the UK Prime Minister David Cameron during his visit to China, next week, would create up to 5,000 jobs.

JLR is negotiating with large state controlled vehicle makers and with Chinese regions to find the best bridgehead into the market. “The winners and losers in the world automotive industry will be determined by what happens in China,” said Speth.

Besides, JLR has hired Stefan Berger, an expert in Chinese joint ventures previously at German engineer Linde, to help strike a deal, the report noted. JLR which suffered steep losses during the recession expects to make a healthy profit this year, selling more than 200,000 vehicles to generate revenues of $9.7 billion, compared with $6.7 billion last year. Tata Motors bough JLR which employs 15,000 people, from Ford for $1.3 billion in June 2008.