Beijing - Arabstoday
Jaguar Land Rover (JLR) finalised a joint venture (JV) agreement with Chery Automobile Co to manufacture and sell vehicles in China, the two companies said, as the luxury British brands look for further growth in the world’s largest car market. Demand for JLR’s sleek saloons and powerful SUVs in China has boomed in recent years, with revenue from the country growing faster than in any other major market as luxury cars remain in hot demand even as the overall car market cools. “Demand for Jaguar and Land Rover vehicles continues to increase significantly in China and we believe that JLR and Chery can jointly realise the potential of these iconic brands,” JLR Chief Executive Officer Ralf Speth and Yin Tongyao, chairman of Chery, were quoted as saying in the statement. But while the agreement is a boost for JLR, owned by India’s Tata Motors, it is just one step in a long and complex process that, analysts say, has no certainty of coming to fruition. “It’s just an agreement between two companies, still far away from a joint venture,” said John Zeng, Asia Pacific chief at industry consultancy LMC Automotive.