Jaguar Land Rover is targeting double-digit revenue growth in the medium term as it broadens its powertrain choices across its brands and increases its focus on North America.
JLR Chief Executive Officer P B Balaji outlined the next phase of the company’s Reimagine strategy during an investor update at its headquarters in Gaydon, UK.
“As we enter a critical business delivery phase of our Reimagine strategy, launching five new products over the next two years across our incredible House of Brands, now is also the time to evolve our plan to offer global markets greater propulsion choice to unlock growth and build resilience,” Balaji said.
JLR will widen propulsion choices across its portfolio, with Range Rover, Defender, and Discovery set to offer different combinations of mild-hybrid, full-hybrid, plug-in-hybrid, and battery-electric powertrains. Jaguar, however, will remain an electric-only brand.
Range Rover, Defender to Get More Powertrain Options
Range Rover and Range Rover Sport will continue to be produced on JLR’s flexible Modular Longitudinal Architecture at Solihull.
The platform supports mild hybrids, plug-in hybrids, and battery-electric vehicles. The company plans to launch the Range Rover Electric and Range Rover Sport Electric later this year.
JLR will also reveal its first Range Rover model based on the Electrified Modular Architecture later this year. The vehicle will be produced at Halewood in the UK.
The company plans to add a full-hybrid option to future vehicles built on the EMA platform. This will give customers a choice of mild-hybrid, full-hybrid, plug-in-hybrid, and battery-electric powertrains.
A new Defender-family model will be the second vehicle to use the EMA platform. It will also be offered with hybrid and electric options in the future.
The Defender line currently includes the 90, 110, and 130 models and is JLR’s highest-selling brand. These vehicles are produced at the company’s plant in Nitra, Slovakia.
JLR said Discovery will continue to occupy a separate position in its portfolio. The company plans to update the brand with flexible powertrains and new product designs, though it did not disclose specific models or launch dates.
Jaguar to Remain Electric-Only
Jaguar will be the only brand in JLR’s portfolio to become fully electric. It's a new four-door luxury grand tourer, called Type 01, that will be revealed later this year. The model will be manufactured at Solihull in the UK.
JLR said the vehicle will combine bold design and new technology while retaining the performance characteristics associated with the Jaguar brand.
North America to Become Growth Engine
The company will explore products designed specifically for the US and strengthen its regional supply chain.
“To truly manifest the power of our brands, we will increase our focus on North America, our biggest market,” Balaji said. “The rising demand for luxury products, coupled with the strong preference we see for our brands, signals significant growth potential,” he added.
JLR recently signed a non-binding memorandum of understanding with Stellantis to explore collaboration on products and technology in the US. The partnership will initially focus on opportunities for the Defender brand and on products aimed specifically at North American customers.
“Apart from accelerating our existing offerings, we are also exploring new high-potential segments for our Defender brand, which will allow us to offer tailored luxury products and experiences for even more of our US clients,” Balaji said.
JLR has set an ambitious long-term goal for the region. “Our aspiration, in the coming years, is to grow our US business to the size of the entire JLR business as it exists today,” Balaji said.
The company will also continue investing in other markets with growth potential, including India and the Middle East.
£1.7 Billion Cost-Savings Target
JLR plans to reduce costs by £1.7 billion through a set of initiatives called Enterprise Missions. The savings will come from material costs, warranty expenses, and fixed costs. The programme is intended to bring JLR’s breakeven volume towards 300,000 vehicles over the next two years.
The company will also improve product-development and launch processes to reduce delays and build stronger operating capabilities.
JLR said it is working to make the business more predictable, agile, and resilient. Its priorities include diversifying growth and sourcing, strengthening the supply chain, and creating an artificial intelligence-enabled digital infrastructure.
The company will also continue investing in employee skills and workplace culture as it launches new products and expands into new segments.