Tata Motors’ Pune facility will establish a new assembly line for Range Rover and Range Rover Sport, aiming to slash prices by 18%-22% while maintaining them above ₹1.5 crore.
Jaguar Land Rover Automotive Plc (JLR), the British arm of Tata Motors, will assemble SUVs outside the UK for the first time in over fifty years, opting for India. This reflects JLR’s dedication to local manufacturing and India’s burgeoning luxury car market, a top executive told Mint during the inauguration of the Range Rover House in Alibaug, Maharashtra, the brand’s inaugural experiential center in India.
Tata Motors’ Pune facility in Maharashtra will house a new assembly line for the RR and Range Rover Sport, with an annual production capacity of 10,000 units in two shifts. This move is anticipated to slash prices by a substantial 18%-22%, maintaining them within the ₹1.5 crore and above range, stated Rajan Amba, Managing Director and CEO of Jaguar Land Rover India.
“We anticipate an increase in Range Rover and Range Rover Sport sales as customers who were previously hesitant are likely to take the plunge,” Amba added.
He also noted, “This marks the first instance of these flagship brands being manufactured outside of Solihull (in the UK), underscoring JLR’s commitment to India and the strength of consumerism in the country, particularly in the premium segment.”
Tata Motors’ Pune Facility to Roll Out India-Made Range Rover Models
The local assembly initiative aims to attract new buyers and expand the brand’s presence in India.
“We have the capability to achieve world-class quality in India, which is why we’re able to manufacture the Range Rover and Range Rover Sport here. The Pune team maintains exceptionally high standards. With local production, we can cater to customers seeking premium, customized products,” stated Lennard Hoornik, JLR’s Chief Commercial Officer.
The new assembly line will start operating shortly. India-assembled Range Rovers will be ready for delivery by the end of May, with the Range Rover Sport expected to launch in mid-August, Amba confirmed.
India’s luxury car market, dominated by German automakers Mercedes-Benz, BMW, and Audi, accounts for approximately 50,000 units annually, with Mercedes-Benz commanding nearly half of the market share.
However, JLR, a more specialized luxury car manufacturer with higher average prices, is positioned to benefit from the expanding segment of vehicles priced at ₹1.5 crore and above.
For instance, Mercedes-Benz generates a quarter of its sales from premium vehicles priced above ₹1.5 crore. JLR expects the Indian luxury car market to double to 100,000 units within the next five years.
“So, there’s significant room for expansion here. We’re observing a younger demographic influencing purchase decisions, if not directly making purchases,” Amba observed.
“We’re aiming to offer products within a price range that encourages potential buyers to make a decision. Additionally, we aim to reduce waiting periods, which currently extend up to 12 months, within the next year.”
Order book and outlook
Jaguar Land Rover experienced strong growth, with sales surging by 82% last year and the order book increasing by 60%.
“Our sales surged by 82% last year, with revenue climbing by 90%. Range Rover saw a 160% increase, and the Range Rover Sport brand experienced a 70% growth. The repositioning efforts under the Reimagine strategy and emphasis on modern luxury are yielding positive results,” Amba stated.
JLR recorded ₹4,000 crore revenue from India in FY24, selling 4,500 units – slightly below the 2018 peak of 4,596 vehicles.
In FY25, the British automaker anticipates outpacing luxury market growth, and Amba is confident in maintaining a robust order backlog, allowing for further investments in customer experiences and product segments.
“The initial months of the fiscal year are progressing well,” he remarked.
JLR currently manufactures multiple models domestically in India, such as the Range Rover Velar, Evoque, Discovery Sport, and Jaguar F-Pace, at its Pune facility. These cars arrive as completely knocked down (CKD) kits from the UK.
With the addition of the Range Rover and Range Rover Sport, JLR’s Indian lineup is nearly entirely locally produced, except for bespoke and SV models, which will remain imported.
For now, India-manufactured Range Rovers will solely target the local market. Amba explained, “Through CKD assembly, we avoid high duties, allowing us to pass on benefits to customers, dealers, and ourselves. With reduced prices, we aim to reach segments deterred by high costs.”
“I thank Ratan Tata’s vision, who brought JLR to India 15 years ago… Producing Range Rovers in India underscores our commitment to the Indian market,” said N. Chandrasekaran, Tata Group chairman, present at the event.
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