Jaguar Land Rover CEO hopes politicians form policy for economy

World
Europe

02:49

Another six months of Brexit delays could hurt profits of Britain's largest carmaker, Jaguar Land Rover (JLR), even more. Ralf Speth, CEO of JLR hopes politicians could form policy for the economy.

“Overall the market is tough enough,” he said. “But I believe and hope the politicians on both sides of channels will form the policy for the development of society and the economy. With the economy, the market for the car will come back,” Speth stressed.

JLR has closed its UK factory for a week as part of the Brexit contingency planning. Speth said the decision was to make sure JLR was on the safe side.

JLR sees China strengthening IPR protection

Recently, JLR won a landmark case against Jiangling Motors Corp. for manufacturing the Landwind X7 that copied the Range Rover Evoque model. That means increasing protections on IPR in China, Speth said.

The CEO said that the Chinese government is talking clearly about IP rights. “China is such a growth machine and is speeding on technology development. China doesn't need to do such a thing anymore. Looking forward, I'm quite sure that China will develop its own designing,” he told CGTN.

CGTN Photo

JLR's strategy for 2019

JLR retail sales in 2018 totaled 592,708 vehicles, down 4.6 percent compared to 2017's record year. "The geopolitical issue, the regulatory issue, also Brexit overall really hit us," the CEO said.

According to Speth, the carmaker has outlined two programs, called “Charge" and "Accelerate,” to deliver 2.5 billion euros (2.8 billion U.S. dollars) in cost reductions and cash flow improvements over 18 months as well as long-term strategic operating efficiencies.

He is optimistic about the Chinese market. “The confidence is coming back, the economy is stable,” the CEO noted, expecting further growth for the car market in the second half of the year.

As to the future, he bets on electric cars. “I'm convinced that the future of smart mobility will be electric, not only the car products but also connectivity and autonomous driving modes together with smart infrastructure,” the CEO forecasted.