Jaguar Land Rover (JLR), a British luxury automaker owned by India’s Tata Motors, announced that it will spend $18.65 billion over the next 5 years on expanding its lineup of electric vehicles. In addition, the Halewood plant at JLR’s UK headquarters in Merseyside will convert to an all-electric operation.
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The automaker also announced that it would begin taking pre-orders for a new all-electric Range Rover SUV sometime later this year, with deliveries beginning in 2025. Premium Mercedes and BMW, two of Germany’s biggest automakers, have already released many electric vehicles, with BMW promising 11 new EV models in China by the end of the year.
Despite the success of the I-Pace, JLR has not released any other zero-emission vehicles. The new Jaguar, the first of three all-electric vehicles, will be manufactured at Jaguar’s Solihull plant in central England.
Chief Executive Officer Adrian Mardell gave an update to international media at JLR’s Gaydon headquarters, where he reaffirmed the company’s commitment to its Reimagine strategy, which will reposition the company as an electric-first, modern luxury car manufacturer by 2030. This comes as JLR works towards its financial goals of becoming cash flow positive by FY25 and posting double-digit EBIT by 2026.
Later this year, JLR will begin accepting customer orders for the new, luxurious, all-electric Range Rover. Launching in 2025 and produced at its Halewood, Merseyside, facility, the first of its next-generation medium-size modern luxury SUVs will be an all-electric model from the Range Rover family.
In addition, JLR announced that a 4-door GT would be produced in Solihull, a city in the United Kingdom’s West Midlands, as the first of three rebuilt modern luxury Jaguars. The new Jaguar, which will be based on its own proprietary architecture called JEA, will have greater power than any previous Jaguar, a range of up to 700 kilometers, and an indicative price tag of £100,000 and above. You may expect to learn more about the new 4-door GT Jaguar by the end of the year. Sales of the vehicle will begin in 2024 in a number of markets, with customer deliveries beginning in 2025.
Although JLR did report a quarterly profit in January, the pandemic and the shortage of semiconductor chips have hurt the company more severely than its bigger rivals. Sales of 376,381 units for JLR’s fiscal 2022 year, which ended on March 31 of last year, were down 39% from fiscal 2018, the last year for which the company reported a full-year profit. JLR also stated its intention to achieve an EBIT margin in the double digits by the year 2026. Its earnings before interest and taxes margin (EBIT) was 3.7% in the most recent quarter.
