JLR plans India plant

India is a promising car market, irrespective of the various challenges of infrastructure and other macro-economic factors. Reason enough that Jaguar Land Rover (JLR) plans to set up a vehicle manufacturing plant to gain a stronger foothold here, as well as build an export base. This is in addition to the assembly plant which was inaugurated on May 27, 2011.

Our sister magazine Autocar Professional learns from a senior industry professional that the new facility is being planned and will have an annual production capacity of 40,000-45,000 units. “It will start with the assembly of the DC 100 (new Land Rover Defender),” says our source. “Everything about JLR’s business activities is positive now,” says a source in the UK, who is aware about the company’s plan of setting up a manufacturing plant in India. “Import duties on cars in India are a dampener. Manufacturing in these markets will help,” our source adds.

As the Tata-JLR relationship progresses, there will be more of localisation of JLR models here as well as sharing of platforms with Tata Motors. “We are looking at producing the platform for the new Defender in India, then modifying it so it can be shared with a Tata product,” Ratan Tata, chairman, Tata Motors, told Autocar India in an exclusive interview that appeared in the magazine’s February 2012 issue. 

The new Defender was showcased at the Delhi Auto Expo at the beginning of this year. When contacted for an official comment over e-mail, JLR’s PR and communications manager in India, Del Sehmar responded saying he cannot comment on the matter as regulations don’t allow him to do so before the quarterly results of JLR’s parent Tata Motors.

Under Tata Motors’ ownership, JLR is gradually expanding its penetration in various markets and, more importantly, taking steps to be more competitive. The announcement last September about setting up its own engine manufacturing plant in the UK is an example. A similar plant is also being planned for India, which JLR chief Ralf Speth confirmed to the media at the Geneva Motor Show earlier this year.