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Jaguar Land Rover might buy another luxury brand that it doesn't need

It seems that Jaguar Land Rover may be getting bigger in the near future. According to Bloomberg, the company is looking at acquiring some tech companies, and possibly yet another luxury car brand, provided that it fits with the current lineup of cars. On the surface, this makes some sense since Bloomberg reports that a whopping 78 percent of Tata Motors' revenue comes from luxury brands. And of course, any kind of tech acquisition could be useful considering the rapid development of electric and autonomous vehicles. But dig a little deeper, and a possible luxury brand acquisition just doesn't make sense for Jaguar Land Rover. The main reason for this is that the Jaguar and Land Rover brands have the luxury market thoroughly covered. Both brands offer full luxury lines from entry-level to high-end ( Discovery Sport to Range Rover on the Land Rover side, and XE to XJ on the Jaguar side). They also cater to every kind of luxury, from sporty vehicles such as the F-Type and SVR Land Rovers, to cushy luxury machines such as the XJ and Range Rover. So whether the company is competing with BMW or Mercedes, Jaguar and Land Rover have the bases covered. There aren't any other typical luxury brands that would actually add anything to the current lineup. In fact, adding another conventional luxury brand could actually result in the new brand poaching existing Jaguar and Land Rover buyers, rather than picking up new ones. What would make more sense for Jaguar Land Rover would be to pick up either a more mainstream brand, or an ultra-luxury marque. Neither Jaguar nor Land Rover has something that competes directly with the likes of Ford or Toyota in the mainstream game, or Rolls-Royce or Bentley at the top of the luxury heap. Picking up a brand in one of these segments would allow JLR and Tata Motors to actually expand offerings and pick up more sales, rather than having an internal competitor. What path would be ideal? Probably going even farther upmarket. Supercar makers and ultra-luxury brands continue to sell well, and there's the potential for significant profit by layering on features and content to existing platforms. Perhaps the best possibility for a high-end complement to Jaguar Land Rover would be Aston Martin. Not only does it have a strong reputation and line-up, it also could handle both supercars and luxury sedans, thanks to its Lagonda sub brand. Of course it would require Aston Martin to be receptive to a purchase.

All-electric Jaguar XJ coming soon on platform shared with 'Road Rover'

We've been posting on the likelihood of electric Jaguars for a while now, especially the XJ leading the charge as a new EV flagship. Rumors at the beginning of 2018 predicted an XJ EV on our doorstep by the end of 2018, the 50th anniversary year of the XJ. By April this year, it was looking like the battery-powered XJ would use the I-Pace platform and make an appearance sometime in 2019. Now, Automotive News Europe reports that during Jaguar Land Rover's Investor's Day presentations, the automaker said it would debut a "large SUV and a large premium sedan" on its Modular Longitudinal Architecture (MLA) suitable for EVs, hybrids and traditional ICE-powered cars. The sedan in question is the next-gen XJ. Nick Rogers, JLR's product engineering boss, said electric MLA vehicles will get 90.2-kWh batteries that return range of up to 400 kilometers (292 miles) on the European cycle. That would effectively be the same size battery as the I-Pace, which rides on its own one-off platform, and the same range; in the U.S., the I-Pace is rated at 234 miles. It's said the XJ's design, produced by former Jaguar design chief Ian Callum and his team, has already been cleared. It swaps the four-door body for a five-door, a la the Audi A7, and introduces a new design language for the car and the carmaker. Car and Driver says the new statement sedan aims to be "a cutting-edge alternative to the BMW 7 Series and Mercedes-Benz S-Class," and Autocar saying it will "remain Jaguar's flagship in preference to a large SUV, such as the rumored J-Pace." The point of introducing the EV first is to establish the car's technology and sporting credentials — hopefully before the Porsche Taycan and Audi E-Tron GT arrive. Eventually, an ICE version of the XJ powered by an Ingenium inline-six should come; that will welcome buyers not ready to make the all-EV switch, a necessary move in keeping with the XJ's competition for global sales with the S-Class and 7 Series. However, leaving room in the design for a conventional drivetrain will force compromises that the all-electric competition doesn't face. Production of the current XJ ends at the Castle Bromwich facility on July 5. The new sedan is slated to be "announced in the near future" and built at JLR's plant in Solihull, which assembles Land Rover products. The same MLA platform will support a road-focused Land Rover as a sibling to the XJ, dubbed the "Road Rover" internally.

U.S. issues new tariff threat, this time against British-built cars

WASHINGTON — Britain is the United States' closest ally but their long friendship may be sorely tested as the two countries try to forge a new trade agreement after Britain's exit from the European Union. U.S. Treasury Secretary Steven Mnuchin said on Saturday in London that he was optimistic that a bilateral deal with Britain could be reached as soon as this year. But Mnuchin gave up no ground after a second meeting with his UK counterpart, Sajid Javid. Javid has insisted that Britain will proceed with a unilateral digital services tax, despite a U.S. threat to levy retaliatory tariffs on British-made autos. Mnuchin told reporters after Saturday's meeting that such taxes would discriminate against big U.S. tech companies like Alphabet Inc's Google, Apple, Facebook and Amazon. The UK Treasury declined to comment on the private meeting. The divide highlights the challenges ahead as the Trump administration seeks a new bilateral agreement with Britain, part of a broader push to rebalance relations with nearly all its major trading partners. The stakes are high — British Prime Minister Boris Johnson has pegged the trade deal with United States as a way to ease the pain of breaking with Europe, Britain's largest trade partner. U.S. President Donald Trump, has promised a "massive" trade deal to support Brexit, the product of a populist movement similar to his "America First" agenda. The goodwill and special relationship the two countries have enjoyed for decades may not count for much, experts say. "Trump is not going to be doing Johnson any favors," said Amanda Sloat, a senior fellow with the Brookings Institution in Washington. "He's not going to give him a trade deal without major concessions." Even before the digital tax issue arose, the Trump administration threatened to tax foreign car imports, which could hit British-made Jaguar, Land Rover, Mini, and Honda Civic hatchback cars. Stiff U.S. trade demands include increased access for U.S. farm goods, concessions that will be difficult for Britain's entrenched natural food culture to swallow. The United States also wants Britain to change the way its National Health Service prices drugs and allow in more U.S. pharmaceuticals, which could prove politically unpopular for Johnson's government. Washington's demand that London block Chinese telecoms equipment maker Huawei Technologies Co Ltd for national security reasons could also cloud talks.