The Jaguar and Land Rover manufacturing in China will start in 2015

The Indian manufacturer Tata Motors and the Chinese manufacture Chery signed an agreement last year to manufacture Jaguar and Land Rover vehicles in China in a Chery plant. These British models have in fact never been produced in China specifically because until recent years, China was not a major market for Premium or SUV segments. This is about to change. In 2013, 1.3 million Premium brands cars were sold (7.5% market share) and 2.8 million SUVs (16.5% market share).


It is worth noting that during this agreement, Chery changed its status from independent manufacturer to a manufacturer bound by JV like SAIC, FAW and Dongfeng.


The production of Jaguar and Land Rover vehicles in a Chery plant in China will not start this year as originally planned but in 2015, due to delays in obtaining the necessary machinery and equipment. The local plant will allow the manufacturer to bypass customs duties that now reach 25%.


In 2013, sales of Jaguars and Land Rovers in the Chinese market increased by 30% compared to 2012, to 95 237 units, which represents nearly a quarter (22.5%) of the global sales of the British division of the Tata Motors Group. China has become the second largest market for Jaguar and Land Rover after the European Union (145 000 sales).


14-07-9  

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