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Jaguar Land Rover to cut thousands of UK jobs

LONDON — Britain's biggest carmaker Jaguar Land Rover (JLR) is set to cut thousands of jobs as the company faces lower demand in China and a slump in sales of diesel cars in Europe. The central English firm builds a higher proportion of its cars in Britain than any other major or medium-sized carmaker and has also spent millions of pounds preparing for Brexit, in case there are tariffs or customs checks. Britain's business minister Greg Clark said on Thursday it is clear why a no-deal Brexit would add to the problems with further costs and disruption. JLR lost 354 million pounds ($450 million) between April and September 2018 and had already cut around 1,000 roles in Britain, shut its Solihull plant for two weeks and announced a three-day week at its Castle Bromwich site. Its Chief Executive Ralf Speth warned in September that the wrong Brexit deal could cost tens of thousands of car jobs and posed a threat to production at the automaker. The Tata Motors-owned company, which employs around 40,000 people in Britain and has boosted its workforce at new plants in China and Slovakia in recent years, unveiled plans to cut costs and improve cash flows by 2.5 billion pounds last year including "reducing employment costs and employment levels." Those cuts will be "substantial" and run into the thousands, the source told Reuters. "The announcement on job losses will be substantial, affecting managerial, research, sales, design," said the source, who spoke on condition of anonymity, not affecting production-line staff "at this stage." The company declined to comment when contacted by Reuters on Thursday. Ford also said on Thursday it will cut thousands of jobs in Europe, exit unprofitable markets and discontinue loss-making vehicle lines as part of a turnaround effort aimed at improving profit margins in the region. Brexit warnings JLR, which became Britain's biggest carmaker in 2016, had been on course to build around 1 million vehicles by the turn of the decade, reported on Thursday a 4.6 percent drop in full-year sales to just under 600,000 vehicles. Demand in China, which had once been one of its strongest countries but has since been hit by a slowdown, fell by 21.6 percent, the biggest drop of any of its markets. "The economic slowdown in China along with ongoing trade tensions is continuing to influence consumer confidence," said Jaguar Land Rover Chief Commercial Officer Felix Brautigam.

Weekly Recap: Takeaways from the Frankfurt Motor Show

We obsessively covered the 2015 Frankfurt Motor Show, and naturally, we selected our favorites from this fall's biggest automotive event. Now that the dust has settled, we're looking ahead to what it all means. Here are three takeaways from the floor in Frankfurt. The Germans are serious about electric vehicles: It's a bit cliche to say BMW, Mercedes, and Audi have downplayed electrics in favor of other technologies, like diesels. For a time that may have been true, but those three companies, along with Porsche and Volkswagen, are emerging as leaders in EV development. That was on display in Frankfurt, when all of them revealed either all-electric or plug-in hybrid models. Gas prices are relatively low in the United States, but clearly the Germans are thinking long-term and globally. Everyone is serious about SUVs: You gotta have one, even if you're Bentley or Jaguar. It's 2015 and it's what consumers want. As Jaguar design director Ian Callum put it, "Not to be in the sector would be a little naive for the sake of purity." It's not just the flashy exotic luxury makers. Nissan showed the Gripz concept, which is rakish, radical, and meant to blend traits of SUVs and sports cars into a vehicle that really crosses over. Look for more, especially in the luxury sector, as Rolls-Royce, Lamborghini, and Aston Martin ramp up their own SUV efforts. There's no ceiling to the luxury market: Speaking of high-end cars, companies are continuing to invest in extravagant wares beyond just SUVs. Even during the recession, ultra-luxury makers remained relevant, and now they're back at full stride. In Frankfurt, that was illustrated by yet another S-Class model, the cabriolet, which will come in S550 and S63 AMG variants in the United States. Ferrari also showed off the 488 Spider, and Lamborghini opened up the Huracan LP 610-4 Spyder. Meanwhile, Bugatti's Vision Grand Turismo concept reminded enthusiasts that it's plotting life after the Veyron. European auto shows always draw the glitziest reveals from luxury makers, and this year didn't disappoint. OTHER NEWS & NOTES 2016 Honda Civic redesigned with snazzier style, turbo power The 10th-generation of the Honda Civic debuted this week at events in Los Angeles and Detroit ahead of its launch in the United States this fall as a 2016 model. Honda fortified the Civic with LED lights, an available turbo engine, and a more tech-laden cabin.

Jaguar gives World Car jurors private viewing of J-Pace, next XJ

The brace of accolades bestowed on the Jaguar I-Pace include three awards given by the 86 jurors on the World Car of the Year panel. They anointed the I-Pace World Car of the Year, World Green Car of the Year, and World Car Design of the Year. Jaguar hosted a get-together for its new WCOTY friends, inviting jurors to the carmaker's Coventry design studios to check out future products. The coming all-electric XJ and flagship J-Pace were the stars of the gathering, this being the first time Jaguar's publicly got behind the range-topping crossover. Ex-head designer Ian Callum hinted about the J-Pace in April, but all he would say is, "We're looking at it." With Jaguar confident enough to show the vehicle to very important outsiders, the J-Pace could be on track for its rumored 2021 launch. Jaguar dropped hints of other new cars, too. The carmaker "gave a firm nod to" two new crossovers that will be "considerably less expensive" than current crossovers in the lineup, to be called A-Pace and B-Pace. We've never heard of these, but based on the brand's naming structure, the A-Pace would slot in at entry-level, the B-Pace just above. It's said that one or both of these will be sized to compete in the World Urban Car Awards sometime in the 2020s. That means subcompact dimensions along the lines of this year's World Urban Car winner the Suzuki Jimny, or the top-three finisher Kia Soul. The jurors also got a look at the imminent replacements for the F-Type and XE. The second-generation F-Type is said to wear an evolutionary design; the big changes will take place under the hood. A V8 could remain in the top tier, but one sourced from BMW instead of Jaguar's own supercharged 5.0-liter V8. The current V6 is expected to give way for an Ingenium inline-six developed in-house. And expect one or both of them to come with hybrid assistance, as Jaguar's made a point of saying that all of its offerings will get "electrified options" in the 2020s. What did Jaguar get out of the open-house? Insider information, apparently: "150 senior Jaguar employees" put questions to the WCOTY jurors about how the panel road-tests cars. Perhaps the WCOTY award will become the new Nurburgring for the next decade. As a final flourish to everyone who'd get the news, Jaguar CEO Ralph Speth informed the audience that his charge and Land Rover "are definitely not for sale to Peugeot-Citroen, Fiat-Chrysler, Hyundai-Kia or any other motor manufacturing companies." So there.