In the seemingly endless success story in recent years of Jaguar Land Rover, the company announces this week that it will be the first British car manufacturer ever to expand its production facilities to the country of Brazil.
A €287 million investment has been made by JLR to construct, equip and staff the plant; with building works planned to start in the middle of next year. The facility is destined for Rio de Janeiro, and by the time the first vehicle rolls off the production line in 2016, the plant will have employed at least 400 people; and there are plans to double that by the end of 2020. More good news comes from the local supply chain, too; who will also be looking to recruit due to the higher demand from Jaguar Land Rover. Annual production figures are said to be around 26,000 units; although JLR has neglected to mention which vehicles in particular its Rio plant will be building.
"Brazil and the surrounding regions are very important. Customers there have an increasing appetite for highly capable premium products," said Dr Ralf Speth, CEO of Jaguar Land Rover. "This new programme will enable us to bring exciting new vehicles to them, creating a world-class Jaguar Land Rover facility incorporating leading premium manufacturing technologies."
For more than 20 years, Jaguar Land Rover has been selling its wares in Brazil via 35 dealers across the country. Year-to-date, JLR sales have rocketed by 40 per cent to 9,549 units from January to October; with the Evoque, Freelander and Discovery taking most of these sales. Following the news of the plant, more dealerships are planned to open in the next 12 months; and no doubt its 100-employee strong national sales company in Sao Paulo will be looking to expand, too.
"It is a privilege to welcome this great group," comments Sergio Cabral, Governor of Rio de Janeiro State. "With an estimated investment of up to R$750 million, we are confident that this agreement will bring to Brazil extraordinary results."
Anything else?
JLR's expansion into Brazil is all part of the company's plans to increase production across the world. Not only will the new plant supply Brazil, but it will help JLR gain a stronger foothold across the rest of South America, too.