JLR Commits $1.8 Billion to Expand Jaguar Lineup

Tata Motors Ltd.'s Jaguar Land Rover unit confirms it is developing at least two new models to expand the Jaguar brand into higher-volume market segments beginning in 2015.

The 1.5 billion program will include a midsize sedan and compact sporty crossover model both built mostly of aluminum. In July the Financial Times cited unnamed sources who said a wagon also is being developed. All will use Jaguar's new modular platform.

Jaguar currently competes only in the sports car and large luxury sedan markets. The new models will help it take on the broader vehicle lineups offered by such rivals as Audi, BMW and Mercedes-Benz. Analysts also say the relatively inexpensive new Jags will help the brand boost sales in China.

JLR is expected on Tuesday to announce it will add 1,700 jobs at its factory in Solihull, U.K., to produce both new models there. The vehicles will be the first to use a new family in JLR-designed and produced engines.