According to reports, Jaguar Land Rover is in the midst of implementing a brand new business plan which aims to cut costs by $6.8 billion.
The plan is apparently dubbed ‘Leap 4.5’ and includes seeing a greater number of future Jaguar and Land Rover models sharing the same platform and underpinnings. Additionally, the marque is said to be reworking its supply chains and significantly cutting down or even stopping recruitment altogether.
Additionally, ‘Leap 4.5’ is said to include an ambitious annual production figure of 1 million cars by 2020 from both Jaguar and Land Rover. One of the key ways this will be achieved will come thanks to the company’s new factory in Slovakia which should produce 300,000 cars annually one it is in full operation after its 2018 opening.
Fortunately for existing Jaguar Land Rover employees, there are no reports that the plan includes any layoffs.
A key reason behind the plan is slowing demand and sales in China, with Jaguar Land Rover hoping to offset some of these effects. In July-September this year alone, sales of Jaguar Land Rover cars in China have plummeted by 32 per cent compared to the same three months of 2014.