Tata Motors Ltd.'s (TTM) Jaguar Land Rover unit said Friday it will source additional auto parts worth GBP1 billion from its U.K.-based suppliers over four years to meet rising demand for its sport-utility vehicle Range Rover Evoque.
The new supply contracts will be in addition to the auto parts supply orders worth GBP2 billion that Jaguar Land Rover has already given to 40 suppliers in the U.K., the company said in a statement.
Sales of the Range Rover Evoque commenced in September last year and the company has until April sold 60,111 units of the SUV. The company said order book for the Evoque continues to be healthy and that the additional auto part contracts will support the model's increased production at its factory in Halewood.
"The demand we have seen across the globe for the Range Rover Evoque means we are able to significantly increase what we spend with our suppliers, which is great news for the U.K. economy and the thousands of jobs JLR supports in its supply chain," said Ralf Speth, chief executive of Jaguar Land Rover.
Jaguar Land Rover also said it will open a new logistics facility at Ellesmere Port, Cheshire to support the global sales of Evoque and Freelander 2 models.
The logistics port will be managed by DHL Worldwide Express and create 300 jobs, the statement said.
-By Nikhil Gulati, Dow Jones Newswires; +91-11-4356-3306; [email protected]