Jaguar Land Rover announces new overseas production deal

JAGUAR LAND ROVER has signed a new deal that will see it produce future vehicles at a plant in Austria, the company confirmed today.

Indian-owned JLR has agreed a manufacturing partnership with Magna Steyr, an operating unit of Magna International, that will see it produce vehicles at a plant in Graz.

The company said that with its three UK vehicle plants approach ear capacity, the collaboration with Magna Steyr would create additional volumes needed to support the company’s plans for further growth.

Dr. Ralf Speth, Jaguar Land Rover’s CEO, said: “The UK remains at the centre of our design, engineering and manufacturing capabilities. Partnerships such as this will complement our UK operations and engineering.

“Today marks another step in building our global footprint. This agreement will allow us to expand our award-winning model range as customers around the world demand ever-more innovative vehicles from Jaguar Land Rover.”

Over the past five years, Jaguar Land Rover has doubled sales to more than 462,000 vehicles, doubled employment to more than 35,000 people and invested more than £10bn in new product creation and capital expenditure. During this time, the company has invested heavily in its UK vehicle manufacturing facilities at Castle Bromwich, Halewood and Solihull to support the introduction of 10 all-new vehicles, including the Jaguar XE, Jaguar F-Type, Range Rover Evoque and Land Rover Discovery Sport.

JLR said that with more than 100 years’ experience, Magna Steyr had extensive contract manufacturing expertise working with many car manufacturers globally.

“The signing of this contract with Jaguar Land Rover reflects the trust in our capability and heritage as a vehicle contract manufacturer,” said Günther Apfalter, President Magna Steyr and Magna International Europe.

“The partnership with Jaguar Land Rover brings a new customer to our Graz plant. As always, we will work with our fullest commitment and dedication to ensure that we meet our customer’s high expectations.”

The deal further reinforces JLR’s global expansion, which has already seen it open a joint venture factory in China with Chery and the construction of a new plant in Brazil.

“The expansion of its international manufacturing operations allows Jaguar Land Rover to develop an increasingly flexible, agile and efficient global manufacturing strategy,” said the firm in a statement.

JLR’s Gaydon neighbour Aston Martin had a brief liaision with the Austrian firm, using its facilities to produce its four-door Rapide thus making the car the first ever Aston Martin to be produced outside the UK.

However, in an effort to retain the authentic Britishness of the product, Aston Martin later opted to re-shore production of a new version of the Rapide.

Together with Mercedes-AMG, Magna Steyr also engineered the aluminum body for the Mercedes-Benz SLS AMG.