Tata Motors Passenger Vehicles Ltd.

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Jaguar Land Rover in talks with Chinese automaker for JV

Date: 26-10-2010

Jaguar Land Rover, owned by Tata Motors, is in talks with a Chinese automaker to establish a manufacturing and sales joint venture in China. A joint venture could boost the Jaguar and Land Rover brands in China, now the world's biggest auto market after surpassing the United States last year.

Tata Group chairman Ratan Tata said in August that the automaker was planning to widen its offering in premium Jaguar cars and step up its network in China. Tata expects to boost sales in China to about 20,000 Land Rovers and 5,000 Jaguars in fiscal 2011 and has also said it would start assembling cars in that country.

Tata Motors is not as strong as it should be in China. Tata Motors, a part of the conglomerate Tata Group, bought the Jaguar and Land Rover brands from Ford Motor Co for $2.3 billion in 2008. After struggling with the acquisition for more than a year due to debt taken on for the deal and a slump in demand that hit the luxury segment hard, Tata has now been able to turn things around.

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