Jaguar Land Rover (JLR) has opened its first factory in China and production of a Chinese-made Range Rover Evoque will begin within a few months.
The factory, in Changshu,
north of Shanghai, is the consequence of a joint venture with Chinese
automobile firm Chery.
Built over two years, the
40,000 square metre site represents a £1.9bn investment plan which JLR hopes
will significantly increase its profits.
The opening came as the
company acknowledged that its China sales growth this year was 20% up, compared
to a 40% figure last year.
Company bosses attribute
that to a slightly slower Chinese market and point out that sales in China
remain strong.
The Evoque models built in
China will not be available to export
Since the Range Rover
Evoque was launched, one in five of the cars have been sold to Chinese
customers.
The company will be wary
though of the fickle nature of the Chinese consumer; always searching for
something new and different.
If too many people drive
Range Rovers, their popularity could wane quickly.
JLR dismisses concerns that
the decision to make cars in China represents a shift in production from its
plants in the UK.
It says it represents an
expansion which will benefit the wider company.
At the plant inauguration,
Dr Ralph Speth, CEO of JLR, said: "The opening of this world-class
facility is an important milestone for Jaguar Land Rover.
"Our decision to
manufacture the Range Rover Evoque in Changshu is a result of our commitment to
bringing more Chinese vehicles to Chinese customers."
The company says the plant
is the most efficient, advanced car manufacturing facility in China. British
control processes, health and safety standards and the company's corporate
culture are all to be replicated at its Chinese operation.
By 2016, a total of three
JLR-badged vehicles will be built at the plant with a total capacity of 130,000
vehicles a year.
Everything na chinese even d air we breath might one day become china
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