Jaguar preparing to cut production

The carmaker Jaguar is set to cut production for the rest of the year at its UK plants, it was revealed today.

The carmaker Jaguar is set to cut production for the rest of the year at its UK plants, it was revealed today.

The company said it was "unlikely" there would be any job losses among its 7,300 manufacturing staff.

The United States is Jaguar's biggest market, and the Ford-owned company is blaming the weak dollar and increasing competition among luxury car companies in America for its current situation.

A Jaguar spokesman said: "We can confirm that we met with unions yesterday and we are discussing plans for some production cuts, or adjustments, through the rest of 2004.

"These adjustments will be made to meet the expectant demand for the rest of the year. We are still working out exactly what we are going to do."

Jaguar has 2,500 manufacturing staff at its Browns Lane, Coventry, plant where the Jaguar XJ and XK models are made.

A further 2,300 staff work on the S-Type at Castle Bromwich in the Midlands, while 2,500 produce the X-Type at Halewood on Merseyside.

Another Ford-owned company - Land Rover - said today that it expected to soon have ready its under-discussion "roadmap" of future plans for its Solihull, West Midlands, plant.

Around 10,000 people work at Solihull where Land Rover's Discovery, Freelander and Range Rover models are produced. The plans do not involve any production cuts.