Luxury car maker Jaguar Land Rover and the Slovak government will sign an agreement this week on a production plant in the country, three Slovak government sources said.
Jaguar Land Rover, owned by India’s Tata Motors, has chosen the Slovak city of Nitra as the site of a planned factory that should open in 2018 and eventually reach output of 300,000 cars per year. The British brand announced in August that it signed a letter of intent to construct a new assembly facility in Slovakia. JLR had considered the Czech Republic, Hungary, Poland, Slovakia, the US and Mexico as possible sites for the plant, sources said earlier this year.
The luxury car manufacturer said the new facility would play a major role in boosting production of the automaker’s lightweight aluminum models it produces, with IHS Automotive principal analyst Ian Fletcher forecasting the plant would be used for the production of vehicles underpinned by the architecture of the Jaguar XE sedan. That would include crossover from both the Jaguar and Land Rover brands that will be launched in the near future. He also expects the Slovakian plant to help lift JLR’s wider global sales to around 828,500 vehicles by the end of 2020 from 454,000 units last year.
Slovakia has already been proven as attractive for other automakers. Volkswagen Group builds a range of models there, including the VW Touareg and Audi Q7 SUVs at its Bratislava plant, South Korea’s Kia produced more than 300,000 vehicles in Zilina last year, while PSA/Peugeot-Citroen’s facility in Tranava made more than 255,000 vehicles in 2014.
Via Automotive News Europe