Tata Motors' JLR to cut jobs in thousands amid China sales crunch

The firm has factories in Halewood Solihull Castle Bromwich and Wolverhampton

Brexit has made the future of the UK's vehicle manufacturing industry uncertain, with Toyota and Vauxhall among those to warn of negative impacts in the event of a hard Brexit.

China is the company's biggest and hitherto most profitable market.

JLR employs 44,000 workers in the United Kingdom at sites in Halewood on Merseyside and Solihull, Castle Bromwich and Wolverhampton in the West Midlands.

Details of job cuts are not expected until later in the year, although staff based at Warley in the West Midlands will move to Dunton in Essex.

The EDUs would be powered by batteries assembled at a new Jaguar Land Rover Battery Assembly Centre located at Hams Hall, North Warwickshire.

Jaguar Land Rover, which is owned by India's Tata Motors (TTM), employs 42,500 people in the United Kingdom and 1,500 workers in other countries.

The workforce would be reduced through a "Voluntary Redundancy Programme", the company said.

The turnaround plan hinges around 2.5 billion pound cash savings, which will be materialised by cutting costs and improving cash flows.

The firm, owned by Indian conglomerate Tata, cut 1,000 temporary contract workers at its plant in Solihull in 2017.

Trade tensions between the United States and China have made Chinese consumers more cautious. Production-line workers won't be affected, they said.

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"We are taking decisive action to transform the Ford business in Europe", Steven Armstrong, group vice president, Europe, Middle East and Africa, said in a statement on Thursday.

Diesel accounts for 90 percent of the firm's British sales and 45 percent of global demand, the company said past year, as demand in the segment tumbles following new levies in the wake of the 2015 Volkswagen emissions cheating scandal.

Jaguar Land Rover (JLR) is expected to announce plans to cut thousands of jobs as part of a £2.5bn plan to reverse losses. "This is in addition to the 1,500 who left the company during 2018", Tata Motors said in a filing to the Bombay Stock Exchange.

Mr Armstrong said Ford was making "tough" decisions by undertaking a "complete review" of its European operations.

Britain's business minister Greg Clark said on Thursday it is clear why a no-deal Brexit would add to the problems with further costs and disruption.

Mr Quinn said Unite will scrutinise the business case for JLR's job cuts, and the union expects any United Kingdom redundancies to be voluntary.

General Motors said in November it would lay off 14,000 factory and white-collar workers in North America and put five plants up for possible closure as it restructures to cut costs and focus more on autonomous and electric technology.

In June, the company said it would move production of the Land Rover Discovery sport utility vehicle to Slovakia from Birmingham, England, to make room for future electric cars.

"Government ministers need to wake up and start doing more to support UK's vehicle workers and their colleagues in the supply chain if Jaguar Land Rover's recent success is to continue".

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