Jaguar awards £2bn of Range Rover component contracts

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Jaguar Land Rover has awarded more than 40 UK companies contracts worth £2bn to supply components for the Range Rover Evoque.

The contracts follow the completion of a global competitive tendering exercise on component sourcing for the vehicle, which will arrive in dealerships this year.

‘The billions being spent on Evoque is just the start, with 40 significant product actions coming over the next five years,’ said Dr Ralf Speth, Jaguar Land Rover’s chief executive officer. ‘This will mean a high level of investment by us in the future and represents a tremendous opportunity for UK suppliers to work in partnership with Jaguar Land Rover to really strengthen the supplier base in this country.’

In addition to contracts for component supply, many other companies in the UK will provide facilities and services to support the production of the Evoque.

In the North West, interior components supplier International Automotive Components (IAC) won a contract worth more than £500m to supply the instrument panel, centre console, cockpit, upper pillar trim, lower pillar trim, modular headliner system, wheel-arch liners, door modules and rear loadspace sides.

The company has invested in its facilities and created new, skilled jobs at plants in the West Midlands, Lincolnshire and Tyne and Wear in preparation for the work.

Separately, a report published yesterday sets out details of the manufacturing parts and products that car makers want to source from the UK but are not currently buying there.

The Automotive Council report identifies some of the reasons for this, where purchasing decisions are made and where the UK has the potential capability to meet this currently untapped demand.

Companies in the UK are already winning more than £7bn of work annually from vehicle makers, but opportunities exist to grow this business. 

Using data collected from vehicle manufacturers and supply-chain companies, the report identifies the opportunities with a new purchasing wishlist of interior and exterior vehicle parts from manufacturers.