The chairman of Tata Motors, the firm that owns Jaguar Land Rover, has dismissed reports claiming that the Indian company is looking to sell the British car firms, saying it is “committed” to its long-term growth.
Jaguar Land Rover has not exactly been a stellar performer in Tata Motors’ portfolio. The company is hit by declining demand for saloons and diesel cars, especially in China. It posted a $114 million loss in the third quarter of 2018. The firm will soon commence a restructuring worth about $3.1 billion which is projected to strip 5000 jobs from the company.
Jaguar Land Rover has been facing steadily dropping demand internationally, most significantly in China.
Natarajan Chandrasekaran, chairman of Tata Motors and Jaguar Land Rover, has issued a statement to clear the air regarding the British firms’ fate, saying: “I would like to clarify that we remain committed to the long-term growth and success of JLR.”
He added, “JLR will continue to face global headwinds being experienced by the auto industry and, to address them, the management is taking the right steps to drive operational excellence, whilst continuing to invest in innovative products and technology to stay competitive globally. There is no truth to the rumours that Tata Motors is looking to divest our stake in JLR or discontinue the Jaguar brand.”
Tata Motors, the controlling firm of Jaguar and Land Rover has dismissed reports that it is looking to sell the Britissh firms.
Saying that he had “great belief in the potential” of both JLR’s products and engineering, Chandrasekaran also said, “I am confident that these inherent strengths, coupled with the focused efforts by the management to drive performance in the medium term by improving its operational leverage, will help JLR deliver consistent, competitive and cash accretive growth in the coming years.”