Tata Motors is not discontinuing Jaguar
- Rumours of Tata Motors divesting in Jaguar Land Rover (JLR) and discontinuing the Jaguar brand altogether arose after Tata announced large-scale job cuts in the latter starting January 2019.
- However, Tata’s Chairman N Chandrasekaran has put these rumours to rest and assured that the group is committed to the long-term growth and success of JLR.
- In recent times, Brexit and certain developments in the international auto scenario like Chinese tariff changes and dwindling diesel car sales in Europe have caused a big slump in sales of JLR.
- The brand will be cutting up to 5,000 jobs in the first month of 2019. In fact, JLR has already slashed a 1,000 out of 40,000 jobs in the UK this year alone.
- However, ensuring Tata’s commitment to JLR, Chandrasekaran said, “We have great belief in the potential of JLR’s distinctive premium products and brands as well as in JLR’s design and engineering capabilities. We are confident that these inherent strengths, coupled with the focused efforts by the management to drive performance in the medium term by improving its operational leverage will help JLR deliver consistent, competitive and cash accretive growth in the coming years”.