Premium Car Maker Jaguar Land Rover Trims Output To Counter Chip Crisis

Tata Motors Ltd’s TTM Jaguar Land Rover slashed vehicle output in the U.K. through March as it prioritized higher-margin models to beat the semiconductor crisis, Bloomberg reports.
The loss-making manufacturer will cut production of the Range Rover Velar and Jaguar F-Pace models made in Solihull while ramping up the output of its most lucrative models, the Range Rover and Range Rover Sport.
JLR may also reduce production at its Halewood plant, where it makes the more affordable Evoque and Discovery Sport models.
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The company expects rising deliveries during JLR’s fiscal second half, which runs through March, as new agreements with semiconductor partners take effect.
Production at JLR’s Nitra plant in Slovakia, where the carmaker makes the best-selling Defender SUV, is unaffected.
JLR does not plan to cut any jobs at its U.K. plants due to the reduced production as it prepares to ramp back up when chip supplies normalize.
Semiconductor shortages have left customers for the latest generation Range Rovers waiting more than a year for their vehicles, with sales suspended for some variants.
In the quarter that ended September, the carmaker reported deliveries to dealerships that trailed guidance by 17%.
Earlier this month, JLR CEO Thierry Bollore resigned from the luxury carmaker just two years after he took on the role.
Price Action: TTM shares closed higher by 1.89% at $26.41 on the last check Friday.

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Premium Car Maker Jaguar Land Rover Trims Output To Counter Chip Crisis