Jaguar Land Rover China Slump Drags Down Tata Motors Profit - Bloomberg
An employee scans an identification label on a Range Rover Sport SUV as it moves along the production line at Tata Motors Ltd. 's Jaguar Land Rover vehicle manufacturing plant in Solihull, U. K. , on Wednesday, July, 15, 2015. Jaguar Land Rover, the U. K. luxury-car unit of Tata Motors Ltd. , has cut its sales targets and prices in China amid slowing demand in the world’s largest auto market. Photographer: Chris Ratcliffe/Bloomberg A slump in China sales at Jaguar Land Rover amid a market slowdown dragged down profit at its Indian parent Tata Motors Ltd. Profit at Jaguar Land Rover dropped 29 percent to 492 million pounds ($764 million). Jaguar Land Rover retail sales plunged 33 percent in China in the quarter, resulting in a 1 percent decline in worldwide deliveries. The luxury unit has cut its sales targets and prices in China as automakers from Toyota Motor Corp. “Jaguar Land Rover is the most hit in China because they were the fastest growing premium carmaker,” Max Warburton, an analyst at Sanford C. Bernstein Ltd. “It’s a broad market problem in China and every carmaker is going to have get used to making less money in China. Sales at the luxury unit declined 6. 5 percent to 5 billion pounds. Source: www.bloomberg.com
