Jaguar Trouble? Will This Latest Restructure Save The Brand?

We don’t know whether this will help Jaguar or hurt Jaguar but it announced today it is killing off all gas-powered vehicles before 2025. For starters, that means the new XJ which was going to be revealed this year with production in 2022 has been killed. It also plans on developing a small electric Jaguar. Does all of this seem non-Jaguar-like? Is Jaguar in Trouble?

Smaller Jaguars

A photo of a 2021 Jaguar F-Type R outdoors.
2021 Jaguar F-Type R | Jaguar

“I would love to do smaller Jaguars,” Jaguar designer Julian Thompson told Auto Express. “I think, reflecting on what’s happening around the world, I would love to do cars which are smaller, more efficient, and have all the inherent values of a Jaguar. That is a beautiful thing to look at, with a fantastic interior, and just great to drive. I’d love to do smaller cars like that”

Under the Jaguar/Land Rover umbrella there was to be some platform sharing. As to SUVs the corporate MLA hybrid and EMA electric platforms would be used by both Jag and Land Rover. With Jaguar going all-electric that has gone out the window. Jaguar will get different platforms. That is why the XJ has been axed.

“XJ does not fit with our new positioning”

The Jaguar C-X75 | Getty

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“XJ does not fit with our new positioning,” Jaguar and Land Rover head Thierry Bolloré said. The new plan for this is called “Reimagine.” What’s confusing is that the XJ was an all-electric luxury sedan-just the direction the Reimagine plan is about. So if the XJ fits the new plan why is it not part of it? Especially with engineering and development finished and prototypes actually being tested?

Jaguar will stick with cars while Land Rover will be the SUV brand

jaguar land rover parked at the beach
Jaguar Land Rover | Jaguar Land Rover

This also means that Jaguar will stick with cars while Land Rover will be the SUV brand. As it seems like every automaker is deep into SUVs it puts Jaguar in a precarious position. Even Ferrari is doing an SUV. On the surface, it looks like Tesla is Jaguar’s target as it plans on doing its own Model 3 and Model Y. 

Jaguar is already putting the finishing touches on its “giga-scale” battery production plant in Hams Hall, North Warwickshire. It is set to begin operations later this year with the ability to produce 150,000 batteries a year. So this part of its current plans falls in line with Reimagine. 

Land Rover has had setbacks in recent years

A photo of the 2021 Land Rover Discovery outdoors.
2021 Land Rover Discovery | Land Rover

Because Land Rover has had setbacks in recent years it has put pressure on Jaguar. Jaguar Land Rover has had to thin its workforce and pass on investment opportunities to see any sort of profit. Part of Land Rover’s problem has been its diesel engine reliance which has seen less customer demand. Quality issues have also plagued the brand. 

Things are changing quickly throughout the auto industry as of late. This is only the latest seachange as manufacturers keep up with both tightening emissions regulations and consumer demands. In less than five years the auto landscape will look surprisingly different.