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  1. Tata Motor’s Jaguar Land Rover collaborates with Chery Automotive to create new electric vehicles for China

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Tata Motor’s Jaguar Land Rover collaborates with Chery Automotive to create new electric vehicles for China

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2 min read | Updated on June 19, 2024, 17:18 IST

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SUMMARY

Under the proposed licensing agreement, the CJLR joint venture will pivot to produce an advanced portfolio of electric vehicles based on Chery’s EV architecture, exclusively under the Freelander name. The company stated that the licensing agreement will allow Freelander to grow independently and separate from CJLR’s existing range and JLR’s modern luxury House of Brands.

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Tata Motor’s Jaguar Land Rover collaborates with Chery Automotive to create new electric vehicles for China

Tata Motor’s Jaguar Land Rover collaborates with Chery Automotive to create new electric vehicles for China

Tata Motor’s wholly-owned subsidiary, Jaguar Land Rover (JLR) announced on Wednesday it has signed a letter of intent with Chery Automotive to collaborate on the creation of new electric vehicles (EV) for China. Under the agreement, JLR will license its Freelander brand to the joint venture, Chery Jaguar Land Rover (CJLR).

Under the proposed licensing agreement, the CJLR joint venture will pivot to produce an advanced portfolio of electric vehicles based on Chery’s EV architecture, exclusively under the Freelander name.

The company stated that the licensing agreement will allow Freelander to grow independently and separate from CJLR’s existing range and JLR’s modern luxury House of Brands. Under this strategic move, CJLR will distribute the vehicles through a distinct retail network and position itself for global export.

The Freelander brand was produced by JLR from 1997 to 2015. It was succeeded by the Discovery Sport in 2016. Under the collaboration with CJLR, the companies’ creative teams will work together to position the Freelander brand in China’s fast-growing new energy vehicle (NEV) market.

Adrian Mardell, chief executive officer of Jaguar Land Rover said the collaboration with CJLR to develop new models for one of the largest EV markets along with the appeal of the Freelander is a great prospect for the future of CJLR.

“Today we are taking this important strategic step for JLR, one which underlines our ongoing commitment to China and complements our existing business in China,” he said.

JLR achieved sales of 1,14,038 vehicles in the fourth quarter of the financial year 2024 and achieved earnings before interest and taxes (EBIT) of 9.2%.

Shares of Tata Motors have risen by nearly 25% since the beginning of the year. The stock has gained over 74% in the last one year.

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