The economic downturn isn’t something that is exclusively affecting the Big Three, with automakers around the world feeling the crunch. General Motors’ Opel division has already asked the German government for financial aid, and now Jaguar Land Rover has implored the British government for some financial help during these trying times.
According to The Sunday Times, JLR – which is now owned by India’s Tata Motors — has asked the British government for about $1.5 billion in aid in ordered to weather the current financial storm. JLR employs about 15,000 people in the UK.
Like the U.S. car market, Britain’s auto industry has been hit hard by the global economic downturn and ever-tightening credit market, resulting in huge drops in new car sales.
“The automotive industry is facing unprecedented trading conditions as a direct fall out of the banking crisis and turbulence in financial markets and we are of course keeping government appraised of the impact on our business,” a JLR spokesperson said.
Prime Minister Gordon Brown is considering the plan, with a ruling expected to be handed down within a few weeks.
11/24, 2:08 PM
posted by:
VictorRaikkonen
I reckon they should ask the Indian government for fin’aid considering the facts.
11/24, 6:44 PM
posted by:
carbonsigma
As if any of Mr Tata’s companies need financial aid. Not with his tens of billions of dollars.
11/24, 10:12 PM
posted by:
Get Real
After one hundred years the colony is again asking for money again from the ruler.
I thought nowthe colony was the master and the ruler was a has-been-broke-island.
11/25, 8:36 AM
posted by:
JohnnyBlazE
All above^
Well duh.
Course Tata can finance it, but he has other things to finance.
His personal worth and the company he bought are two separate things.
And of course, Tata’s doing Britain a favour by employing 15,000 people.
If he moved production elsewhere he could save that money easily, but destroy a huge part of Britain.
Either way, whatever, I don’t care anymore.
Can the government lend me just £1.5m so I can buy a nice house n car kplzthx
11/26, 5:02 AM
posted by:
BMW M1
Just read a news report. India is also affected, VW, BMW, Merc cutting outlooks there. Tatas own production facilities were also idling some while back.
Tata has actually over-reached!! Hes currently paying for both Jaguar and Land Rover, his steel plants are suffering(car industry not buying steel), the Indian market his biggest consumer are also holding back.
The Indian stock market has fallen by about 57% in the last 6 months!!
Tata might soon be asking the Indian govt. for money!!!