Automotive supply chain encouraged to capitalise on JLR expansion
MANUFACTURERS across the West Midlands are being urged to capitalise on the latest phase of Jaguar Land Rover’s expansion.
The Indian-owned vehicle manufacturer has announced its intention to create 1,700 new jobs at its plant in Solihull with a £1.5bn investment in advanced production facilities, in particular an all-new aluminium bodyshop for the production of the next generation of Jaguar cars.
This is in addition to the 1,400 jobs being created with the development of its new £0.5bn engine plant on the outskirts of Wolverhampton, where production is set to begin in 2015.
The announcement brings the total number of UK manufacturing jobs announced by JLR over the last three years to almost 11,000.
The Black Country Local Enterprise Partnership said High Value Manufacturing (HVM) was a key sector for the sub-region and JLR’s plans marked a further step in the growth and rejuvenation of the area’s automotive supply chain and its global significance.
The Black Country has the highest concentration of HVM companies of all the LEP areas in England.
The LEP said Black Country businesses produced many components for JLR resulting in more opportunities for local manufacturers to expand production and recruit new staff. The current ratio of supply chain jobs created in proportion to those at the main plant stand at four people to every role.
Stewart Towe, BCLEP chairman, said: “We are delighted the West Midlands has secured further investment from Jaguar Land Rover which demonstrates yet again that manufacturing is going from strength to strength in the Black Country and the wider region.”
One company set to benefit from JLR’s expansion is Lichfield-based Zytek Automotive. The company has been selected to be one of 12 partners working on the development of JLR’s Evoque_e electronic hybrid vehicle.
The collaborative programme will begin next month and involve the design, development and production of three vehicles. The Government Technology Strategy Board is backing the £16.3m project, with JLR contributing £4m.
Ron Dougan, chairman of the Stoke-on-Trent and Staffordshire LEP, added: “The selection of Zytek Automotive by JLR for this leading technological research and development project is great news for Stoke-on-Trent and Staffordshire. We know we are a leading area for manufacturing and research and the involvement of a Staffordshire business in this project strengthens this reputation.
“With JLR basing its new engine plant at i54 South Staffordshire we are pleased to see another established link with our area and hope many more will follow. This is an exciting project which could be ground breaking for the future of the automotive industry.”
Kerry Diamond, chief financial officer at Zytek and LEP board member, said: “We are delighted to be working with Jaguar Land Rover on this prestigious project and pleased a Staffordshire representative is involved.”
JLR has promised to accompany the expansion by offering additional support to the local supply chain in the form of enhanced supply contracts.
Telford-based Denso is already capitalising on the move by creating 140 jobs at its plant to keep JLR supplied with heating-ventilation and air conditioning systems. The job creation programme is being supported by a £10m investment in new plant and equipment.
