Jaguar said today that it will cut 300 jobs at its Halewood plant in the north of England as it stops production of the X-Type sedan due sluggish demand in the auto industry. The X-Type, of which Jaguar has sold more than 350,000 units of in 8-years, had originally been scheduled to see production until mid-2010.
“Our industry has been especially badly hit by the recession and the premium sector more than others. Jaguar Land Rover’s retail sales fell by 28 percent in the past 10 months,” Chief Executive David Smith said in a statement. “Ceasing production of the X-Type early, with further redundancies and temporary shutdowns at Halewood, is necessary to protect our other investment plans.”
Jaguar said that it will not close the Halewood plant but will shut it down temporarily for three weeks. The plant employs some 2,200 staff that are also responsible for the production of the Land Rover Freelander.
Jaguar is also in talks with the government for a loan guarantee of 340 million euro ($477.6 million) hand-out from the European Investment Bank. The loan was approved earlier this year.
– By: Omar Rana