In the year to March 31, 2018, JLR sold a total of 614,309 cars across the world – a 1.7% increase, down significantly from the 16% rise last year. Tony McDonough reports
Carmaker Jaguar Land Rover (JLR) is facing a sales slowdown in its key US market when it is already facing falling sales in the UK and Europe.
JLR employs more than 4,000 people at its factory at Halewood in Merseyside where top sellers and Range Rover Evoque and the Discovery Sport are assembled. Across the UK the company employs 43,000 people producing 500,000 vehicles a year.
It produces a further 100,000 vehicles a year at plants in China and Brazil. Sales in developing markets such as China and India are growing but it is the more mature markets in Europe and the US where trading is more difficult.
JLR’s parent company is the India-based Tata Motors and, in the group’s latest annual report, chairman Natarajan Chandrasekaran warned that the North American market was “nearing “nearing the peak of the demand cycle”, with growth set to remain “muted” in the short term.
In the year to March 31, 2018, JLR sold a total of 614,309 cars. This was a 1.7% increase, down significantly from the 16% rise last year.
Biggest sales increase – almost 20% – was seen in China with growth in the North America, which accounts for a fifth of the company’s sales, a more modest 4.7%. However in the UK sales plummeted 12.8% and also fell in Europe by 5.3%, amid uncertainty over diesel cars.
Early this month Dr Ralf Speth, chief executive of JLR, claimed a no-deal Brexit would cost carmaker JLR £1.2bn in lost profits every year and see investment at its UK plant, including Halewood, “drastically” cut.
Late last month JLR gave more than 4,000 Merseyside workers at Halewood cause for celebration when it announced the new generation of the Land Rover Evoque would be built at the factory, where the top-selling Discovery Sport is also assembled.
However, in an interview with the FT Dr Speth said that although the company’s “heart and soul” was in the UK, the spectre of a no-deal Brexit could have a significant impact on its business in the UK.