UK FTA to aid adoption of next gen JLR EVs in India – Car News

UK-India FTA to boost Jaguar Land Rover’s EV push in India, easing imports of future BEVs like the Jaguar Type 00. While current models see no major price cuts due to local assembly, reduced duties on fully built cars could spur competition and growth in India’s luxury EV market.

India’s trade agreement with the UK will significantly benefit JLR in launching its battery electric vehicles (BEV) in the country. However, the deal will not lead to any big changes in the prices of the luxury cars as they are already being assembled in India. 

Jaguar Land Rover (JLR) assembles almost all its Land Rover nameplates including Range Rover, Range Rover Sport, Range Rover Evoque, Range Rover Velar, Discovery Sport at its Pune-based factory. 

“JLR India is isolated from a duty structure, and that will continue. The FTA, however, helps a lot of our future cars that we would not necessarily have a completely knocked down (CKD) operation in India, particularly the BEVs (Battery Electric Vehicles),” said Richard Molyneux, chief financial officer, JLR, in a post-earnings call.

Existing Jaguar models are in the process of being phased out globally as the brand transitions to electric powertrain starting this year with the launch of Type 00.

Prevailing duties on kits imported into India in a CKD form are likely to be kept unchanged under the Free Trade Agreement (FTA) while the proposed new duties on fully built vehicles will be more than halved.

From 110%, on cars priced more than $40,000, duties are expected to come down to 50%. On cars priced below $40,000, the duties could fall to 10% from 70%. Though Tesla has not revealed its India strategy yet, the UK FTA will make JLR BEVs compete directly with the models of the US-based auto giant.

Although much smaller in size compared to some larger markets like the US, UK and China, India is one of the fastest growing emerging luxury automotive markets for JLR. Compared to FY24, JLR saw a volume growth of 40% in FY25 to 6,183 units, jumping to the third spot in the ranking behind Mercedes-Benz and BMW before displacing Audi.

“India is an important market; it is a very high growth market and our brands have a lot of affinity. So, we will absolutely leverage the FTA to increase our revenue and share of the HNIs wallets in India,” Molyneux added.

Alongside the Jaguar Type 00, JLR will launch the electric version of the Range Rover later in 2025. This will kick-start a series of new product launches featuring electric powertrains in the coming years.

JLR ceased production of the Jaguar XE, XF and F-Type at its Castle Bromwich plant in May last year. This was followed by the ceasing of production of the I-Pace and E-Pace in Graz, Austria. By September, JLR’s plant in China will also stop producing Jaguars.

The Solihull plant in the UK will continue to produce the Jaguar F-Pace before the last unit is produced by the end of this year. The all-electric four door Type 00 GT will be the first car to refill the Jaguar portfolio.

Meanwhile, JLR is also in the process to add Defender to its list of locally assembled cars, a top official said.

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This article was first uploaded on May twenty, twenty twenty-five, at thirteen minutes past five in the morning.

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