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Jaguar Land Rover may build factory in Saudi Arabia

The Middle East is one of the fastest-growing markets for Land Rover, so it makes sense that the automaker is looking to set up shop in the region. According to Automotive News, Jaguar Land Rover is in talks with the people of Saudi Arabia to build a factory in the country at an expected initial cost of $1.2 billion. Still in the early stage of talks, the proposed facility could start up by 2017 using locally sourced materials such as steel and aluminum.
Such an arrangement could be beneficial for both entities as Saudi Arabia looks to diversify its oil-reliant economy and Land Rover could get local production capacity of around 50,000 units. The report also says that the agreement talks about the possibility for Jaguar models to be built at the same plant further down the road.
This won't be the first vehicle produced in Saudi Arabia - that honor goes to the KSU Gazal-1 - but it will be the first from a major global automaker.

Jaguar Land Rover says key models in short supply, some have six-month wait lists

Care for a bit more proof that the Jaguar Land Rover portfolio of vehicles is the best it's ever been? Well, the Indian-owned pair of brands saw a record year in 2013, while 2014 has seen a 14-percent increase in sales. The crazy thing is, though, is that figure could be even higher, provided the company had the production capacity.
JLR is running a six-month waiting list on two of its most popular models, the Range Rover Sport (above) and Range Rover. According to Mark White, the company's chief technologist for body engineering, the blame can be placed on the paint shop at the company's Solihull factory, in the UK.
"We will probably max out the paint shop before we max out the body shop. Putting the second body shop in has given us the flexibility to ebb and flow the different models that go through there and meet the capacity demands we've got," White told Automotive News. "However, you always hit a bottleneck somewhere. And the paint shop is probably going to be the next biggest obstacle."

Jaguar may join the FWD, small-car parade

Was it right for Chevrolet to detune the 1975 Corvette's base engine to 165 horsepower? Was Aston Martin wrong to make the Toyota iQ-based Cygnet? Is BMW crazy to be testing the new 1 Series with three-cylinder engines and front-wheel drive? It seems now, just as in the 1970s and 1980s, that emissions regulations and social considerations are driving some automakers to adopt unbefitting practices to maintain acceptance in the eyes of governments and consumers. Jaguar has jumped on the bandwagon, and is considering development of small, frugal, front-wheel-drive cars to help lower Jaguar Land Rover's average vehicle CO2 levels in light of tightening European emissions regulations, Autocar reports.
By 2020, the European Union expects the model range of every manufacturer to average 95 grams per kilometer, which is a new law passed by the European Parliament in April. Manufacturers who make more than 300,000 vehicles per year must meet these targets, and JLR is expected to be producing up to 700,000 vehicles per year by then. CO2 regulations after 2020 will only get stricter, as EU politicians already are talking about lowering CO2 levels to between 68 g/km and 78 g/km. (To put that in perspective, Autocar posits that driving a fully charged electric vehicle in Europe produces about 75 g/km when factoring in the power-generation infrastructure.)
Jaguar has some choices here, but so far they all have drawbacks. It could develop a new, compact chassis architecture for a line of compact vehicles, but the investment required for such a project could be prohibitively expensive. Jaguar has been looking into using the Land Rover Evoque platform for a small SUV, Autocar reports, but Land Rover brand manager John Edwards raises issue with such a plan, saying it may not be financially feasible.