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JLR Plans Assembly Plant in Brazil
Tata Motors Ltd.'s Jaguar Land Rover unit hopes to open a factory in Brazil with capacity to assemble about 10,000 vehicles per year, the Financial Times reports.
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Tata Motors Ltd.'s Jaguar Land Rover unit hopes to open a factory in Brazil with capacity to assemble about 10,000 vehicles per year, the Financial Times reports.
CEO Ralf Speth tells the FT that the company is in "intensive" discussions with the Brazilian government and aims for a quick decision. He says JLR would start by assembling kits shipped from the U.K.
Speth notes that JLR currently outsells Audi and BMW in Brazil. Last month both rival carmakers announced plans to open their own assembly plants there within the next two years. Daimler plans to do the same but has not yet announced a site for its factory there.
The companies are launching local production to avoid import tariffs that can run as high as 55% on foreign-made vehicles.
JLR's sales in Brazil so far this year are up 40% and appear likely to surpass 10,000 units by year-end, the FT notes. Land Rover SUVs account for more than 90% of the company's volume in the country.
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