Saturday, 20 October, 2018

Jaguar Land Rover to move production of Discovery from United Kingdom to Slovakia

The logos of the British brands Janguar and Land Rover Jaguar Land Rover to Move Discovery SUV Production to Slovakia
Orlando Vargas | 12 June, 2018, 19:57

The company said the switch, ending 30 years of Discovery production at the West Midlands factory, will take place in early 2019 and that agency workers are most at risk from the decision.

Jaguar Land Rover has announced an overhaul of its United Kingdom manufacturing operations, revealing plans for a new family of Range Rover models, and the moving of Discovery production to JLR's new facility in Nitra, Slovakia.

We first got to know in 2015, that Jaguar Land Rover talked about expanding its global footprint with a manufacturing plant in Slovakia.

It has not put an exact figure on the level of investment in the Solihull plant, but it runs into hundreds of millions of pounds.

JLR said in 2016 that it would build Discovery SUVs in Slovakia once the new plant there came on line, while saying some of the production of the model - which was redesigned in 2017 - would remain in the UK.

The Discovery has been made at Solihull since it was first launched by Land Rover in 1989 and is now in its fifth generation.

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After its makeover, the plant will produce the new Range Rover and Range Rover Sport models.

"The potential losses of some agency employed staff in the United Kingdom is a tough one but forms part of our long-term manufacturing strategy as we transform our business globally", the firm said in a statement. While some agency-employed plant workers may lose their jobs, the decision to build electric cars at Solihull marks a major commitment to United Kingdom manufacturing amid uncertainty over Brexit. It already employs 1,400 people there as it gears up to open.

As well as new manufacturing plants in China and South America, JLR has struck a deal with carmaker Magna Steyr to build the both its Jaguar E-Pace and the all-electric I-Pace models in Austria. While the company has said it will be investing further in Solihull, where the new Range Rover and Range Rover Sports will be built, the announcement was seized upon by critics of Brexit, who argued it pointed to the impact that concerns around Britain's exit from the European Union was already having on business and investment decisions.

Last month, the company said fourth-quarter pretax profit halved to £364m on revenues of £7.6bn as demand for diesel vehicles slumped.

The firm said it was a "tough" decision but it will allow it to slash costs and free up space at the Solihull plant, which is being revamped to build the next generation of Range Rovers.

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