Jaguar Land Rover To Cut Production Capacity By 25 Percent

In terms of relevance, Jaguar and Land Rover are both making tides with their announcements lately. While the big cat announced that it will purr silently starting 2025, Land Rover goes the other way and introduced the Land Rover Defender V8, the most powerful for the nameplate.

While those things sound exciting for both British brands, Automotive News reports that Jaguar Land Rover is cutting down its manufacturing capacity by 25 percent within five years. The information came from an investor presentation.

The downsizing in production came from the previously announced projects that the brands will not complete, moving forward, including the Jaguar XJ replacement. While JLR announced a £2.5 billion ($3.48 billion at the current exchange rates) investment to support its EV plans, the carmaker will also take a non-cash charge of around £1 billion ($1.4 billion) by the end of March.

JLR's plans to electrify its whole lineup will begin with Jaguar, which, as mentioned, will have an all-electric lineup by 2025. Land Rover, on the other hand, will have more time to join the charge – both initiatives pointed towards a net-zero carbon business by 2039.

In line with this, JLR will be building a new architecture for pure EV vehicles that's exclusive to the brand and will underpin upcoming products. Despite this and the cut down in production capacity, JLR promised that it will retain its assembly plants in its home country and all over the world – all under the leadership of JLR CEO Thierry Bollore.

"As a human-centered company, we can, and will, move much faster and with clear purpose of not just reimagining modern luxury but defining it for two distinct brands," said Bollore in the previous announcement of Jaguar's future EV plans.