UK government ministers have welcomed Jaguar Land Rover’s (JLR) decision to plough GBP355m (US$559m) into a new engine plant in the British West Midlands that will create 750 new jobs.

“Deputy Prime Minister Nick Clegg said: “Jaguar Land Rover’s decision to build its new engine plant in Wolverhampton is fantastic news. It means over 700 new jobs for local people, an investment of over £300 million in the West Midlands and recognition of the expertise in the British workforce and manufacturing sector.”

Flipping popular perception on the direction of demand on its head JLR has said the site is primarily intended to supply mounting demand for its cars in Asia.

The new facility will be dedicated to engine production, a process JLR wants to take more control of due to increasing export demand.

JLR’s engines are currently supplied by Ford Motor Co., which sold the brands to India’s Tata Motors in 2008. JLR has three assembly plants in central England.

An official announcement is expected later today.


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