Jaguar Land Rover to cut output at UK car plant after warnings on Brexit, diesel
Last week, the firm’s boss Ralf Speth warned that the wrong Brexit deal could cost tens of thousands of car jobs and risks production at the firm
London: Britain’s biggest carmaker Jaguar Land Rover said it will go down to a three-day week at its Castle Bromwich plant in central England just days after its boss warned about the impact of Brexit and diesel policy.
The Castle Bromwich facility will operate a three-day week from October until the beginning of December in a move which will avoid job cuts, a spokeswoman said.
“In light of the continuing headwinds impacting the car industry, we are making some temporary adjustments to our production schedules at Castle Bromwich,” the company said in a statement.
Last week, the firm’s boss Ralf Speth warned that the wrong Brexit deal could cost tens of thousands of car jobs and risks production at the firm.
He also said that the government had demonized diesel cars, contributing to 1,000 job losses at the company earlier this year.
Conservative lawmaker and Brexit supporter Bernard Jenkin earlier on Monday accused Speth of “making it up” when asked about the automotive boss’s comments, which included a warning that it was already more attractive to build cars abroad with Brexit adding uncertainty.
A slump in demand for diesel cars is also having a big impact on the firm.
About 90% of Jaguar Land Rover’s (JLR) sales in Britain are diesel models, which compares with around 45% globally, the company said earlier this year.
Diesel sales have fallen this year nearly 30% in Britain, Europe’s second-biggest car market, mirroring similar drops in other major markets, as governments crack down on the segment in the wake of Volkswagen emissions scandal.
JLR said on Monday it was investing to protect its plants in the future.
“We have invested more than £4 billion since 2010 to future proof manufacturing technologies to deliver new models,” its statement said
- Honda to hike vehicle prices by up to Rs10,000 from next month
- Car market in India continues to move in the slow lane: Report
- Audi plans to introduce compact electric crossover to broaden Tesla assault
- NGT asks Volkswagen to pay penalty of Rs 100 crore in 24 hours
- Skoda launches Superb Corporate Edition at Rs 23.99 lakh
Editor's Picks »
- Q3 results: HUL growth off a high base shows it’s on a roll
- DCB Bank Q3 results: Small loans give big pain as farm, mortgages lift delinquencies
- 1 step forward, 2 steps back. Is GST going the VAT way?
- Mindtree delivers stable Q3 results after a shock Q2
- RIL Q3 results today: Will Reliance Jio, Reliance Retail make up for lost energy?