JLR to build new factory 11 | 12 | 2015
JAGUAR LAND ROVER is to build a new factory in Nitra, western Slovakia, which will open in 2018. According to JLR, it's the first British car maker to open a production facility in the country.
Construction at the new site is scheduled to begin next year, with the first vehicles rolling off the production line late in 2018. Forming part of a £1 billion investment by the firm, the factory will eventually employ 2800 people.
The factory will initially have a capacity of 150,000 vehicles per year, but that figure could double to around 300,000 vehicles over time. This could help take JLR’s global output to closer to 800,000 vehicles a year.
“Jaguar Land Rover is delighted today to welcome Slovakia into our family," Ralf Speth, JLR's chief executive officer, said. "The new factory will complement our existing facilities in the UK, China, India and Brazil and marks the next step in the company’s strategy to become a truly global business.
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"Slovakia has an established premium automotive sector, which represents 43% of the country’s overall industry. It has more than 300 suppliers in close proximity and an excellent logistics infrastructure; this confirmed our decision that this country was the ideal location.
“The heart of our company will always be in the UK, where our design, technology and manufacturing capabilities are based."
Prior to the decision, Jaguar Land Rover had considered a number of other locations, including the United States, Mexico and elsewhere in Europe, understood to be Poland.
“We are glad Jaguar Land Rover has chosen Slovakia for its new world-class manufacturing facility," Slovakian Prime Minister, Robert Fico, said.
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"This decision shows that, with a stable and solid business environment, Slovakia is an attractive place for investors. And the marriage of Slovak craftsmanship and British engineering holds great promise.”
Jaguar already has three factories in the UK, and these will continue to produce cars following the significant investment JLR has placed with them.
What is clear is today's announcement is focused on spreading the company's capacity globally.
It is unclear what models will be built in Slovakia. Currently the Jaguar XE, Jaguar F-Pace, Range Rover Evoque and Land Rover Discovery Sport are all built in the UK. There is the potential for the new Slovakia site to build the forthcoming Land Rover Discovery 5 and replacement for the Defender, due in 2018.
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Jim McGill