British multinationalautomotive company, Jaguar Land
Rover opened its first overseas engine plant on Friday, picking China
for the investment a week after saying it would build a global model
entirely outside Britain for the first time.
The
Britain's biggest carmaker, which already operates a plant in China as
part of a partnership with Chery, said the new facility was part of a
10.9 billion yuan investment with the Chinese automaker.
"The
new engine plant demonstrates Jaguar Land Rover’s long-term commitment
to the Chinese market, providing customers with an exciting range of
vehicles and powertrain options, as well as to its joint venture," JLR
said in a statement.
The site will make the new Ingenium 2.0-litre
four-cylinder petrol engine. China was JLR's fastest growing market in
2016, accounting for 20 percent of global sales.
JLR,
owned by India's Tata Motors, is rapidly expanding its production
levels and model line-up and decided in 2015 to build a major new plant
in Slovakia, rather than expand its operations in Britain.
Earlier
this month, the automaker said it would build its new E-PACE compact
sport utility vehicle in Austria and China, the first car made for
global sale to be built outside of Britain.
Like much
of the British car industry, JLR is worried that Brexit could leave its
car exports facing lengthy customs delays and tariffs of up to 10
percent, jeopardizing the viability of production in Britain.