Blog: JLR and NA plant: it makes business sense
Dave Leggett | 24 October 2014
Making cars where you sell them makes sense on a number of grounds. It can be a way to save on shipping costs, exploit lower manufacturing costs, avoid import tariffs and reduce exchange rate risks.
Should Jaguar Land Rover look to build models in the US (as other premium makers do)? The raw numbers suggest there is a strong case.
In 2013, JLR sold 425,000 vehicles globally. Some 67,000 of those sales were in North America, so an assembly plant in the region could make very good long-term business sense. That kind of investment is a big decision and not something to rush into but, in ten years' time, to have not expanded in such a manner when the opportunity was there could look like a costly error.
Further comment on this from Graeme:
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