Jaguar's electrifying leap: Luxury car maker shifts gears towards greener future

In a bold move indicative of the shifting landscape within the automotive industry, Jaguar, the renowned British luxury car manufacturer, has announced its decisive stride towards a future dominated by electric vehicles (EVs). This move comes as the automotive industry increasingly embraces electric vehicles (EVs) as a means to reduce carbon emissions and combat climate change.

According to a report by Road and Track, Jaguar will cease production of its Internal Combustion Engine (ICE) models as soon as June of this year. While the current gas-powered vehicles will be available until stocks last, the company is gearing up to introduce a new lineup exclusively comprised of Battery Electric Vehicles (BEVs).

In a statement, Joe Eberhardt, President and CEO of Jaguar Land Rover North America, expressed the company's dedication to this transition, stating that Jaguar aims to cease production of its current models before fully transitioning to an all-electric lineup.This transition has been in the works for Jaguar for the past three years. In India its current lineup includes popular models like the F-Pace, F-Type, and I-Pace.

To pave the way for this electric future, Jaguar is planning to launch three new models on an all-new platform called the Jaguar Electric Architecture (JEA). The first of these models will be a four-seat GT, set to be unveiled later this year and available to buyers in 2025.

One of the key highlights of this new GT model is its claimed range of up to 690 kms, presumably under the European WLTP testing methodology. With a base price of over $100,000 ( ₹80 lakh), it is poised to be a premium offering in the EV market. Not only is it set to be the most powerful Jaguar road car ever, boasting a power output of over 575 bhp, but it also signifies the brand's commitment to innovation and sustainability, the company believes.

Why such a bold step?

Jaguar's shift towards complete electrification is significantly faster than that of other carmakers, who are gradually making the transition over the coming years, if not decades. While Jaguar may lead in the name of Jaguar Land Rover, in most other aspects, the English brand has long been the minority partner to its SUV-making sibling. This contrast is particularly evident in sales figures.

In the fiscal year ending last March, Jaguar sold just under 43,000 cars globally, while the combined Land Rover brands managed nearly 280,000. Based on these numbers, Jaguar ranks third out of four in Jaguar’s ‘House of Brands’, only outselling the Discovery in the United States. Since 2017, when Jaguar sold 179,000 cars globally, volumes have declined dramatically.

How will this affect the brand?

Increasing the prices of Jaguars and discontinuing the existing range poses a risk of further reducing production numbers. It is indicated that total Jaguar production could drop as low as 50,000 globally across the three models.

Eberhardt noted that the company anticipates losing some clients given the brand's positioning and the nature of the vehicles. Making such decisions is challenging, but brands must stay focused and determine their purpose, he added. "We simply didn't want to become another high-volume luxury brand; that's not in line with the Jaguar philosophy," Eberhardt emphasised.

As Jaguar transitions to an all-electric lineup, it acknowledges that it will sell fewer vehicles than before.