Jaguar Land Rover said Monday it will cut 4,000 jobs across its global workforce as it tries to cut costs and compete with Chinese electric carmakers.
Britain's biggest automaker said the job cuts will take place over the next two years as it targets 1.7 billion pounds ($2.3 billion) in savings to make it more competitive as the industry transitions to electrification.
“The automotive industry faces significant challenges, with technological change amidst intense competition and ongoing geopolitical uncertainty,” chief executive PB Balaji said in a statement.
The job cuts and savings will help the company invest 15 to 18 billion pounds ($20-24 billion) over the next five years in electrification, digital technologies and other areas, he added.
Jaguar Land Rover, which makes the Range Rover, Discovery and other luxury SUVs, has faced pressure amid intense competition from cheaper Chinese EVs, soaring costs and the impact of U.S. President Donald Trump's tariffs.
Its sales were also hit last year when a cyberattack forced it to halt production for a month.
The company, owned by India's Tata Motors, makes most of its cars in factories across the U.K. It employs around 34,000 people in the country and the majority of the job cuts are expected to affect its U.K. operations.
Prime Minister Andy Burnham's office said Monday that while market conditions are challenging for the automotive sector globally, Britain's government will not consider a bailout for Jaguar Land Rover.
