Jaguar looks set to become the latest manufacturer to reduce output as the industry grapples with the current global economic slowdown.

Autocar has learned that the British luxury carmaker, now owned by Indian conglomerate Tata, is likely to reduce production at its Castle Bromwich assembly plant by the end of September, although it’s not yet know by how much.

A Jaguar spokesperson admitted that “final decisions have yet to be made, but it’s likely production of XJ and XK will be reduced, primarily in response to global demand”.

She also confirmed that despite the impending reduction in output Jaguar’s UK sales are up over 12 per cent year-to-date, thanks to the success of the new XF.

The news follows on from JLR’s announcement that it will be introducing a four-day week at Land Rover’s Solihull site, and the company has also said that it will move 300 of its workers from Solihull to Castle Bromwich to work on the XF.

Ian Tonkin