Jaguar Land Rover is to enter the Indian car market thanks to a new deal with its owner Tata Motors.
Sales will be conducted through Tata’s newly established Premier Car Division that will import the entire range of saloons and 4x4s. Demand is expected to be small due to the high rate of custom duties imposed upon imported cars, that currently stands at a minimum of 24 per cent for new cars and 100 per cent for used vehicles.
However, JLR CEO David Smith believes the move will benefit the company and its UK manufacturing operations. ‘We are delighted to be formally entering the Indian market, an economy which is still growing appreciably, and where we are able to offer our premium products to a whole new group of customers,’ he says. ‘It is an important strategic move for Jaguar Land Rover and will enable us to realise our competitive potential in this significant market.’
India is currently the only developing market that JLR does not exploit, with sales networks already established in Brazil, Russia and China. It is hoped that the first showroom will be opened in Mumbai by the end of June.
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