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Jaguar Land Rover opens new $1.6 billion factory in Slovakia

BRATISLAVA, Slovakia — Jaguar Land Rover is opening a new, $1.6 billion plant in Slovakia, the luxury car maker's first in continental Europe. The U.K.-based company, owned by India's Tata Motors, built the plant near Nitra, about 65 miles east of Bratislava, to initially produce 150,000 cars a year. The Slovak government is giving the carmaker investment subsidies of up to 130 million euros ($148 million). Slovakia is a regional car-making powerhouse. Germany's Volkswagen AG, France's PSA Peugeot Citroen and South Korea's Kia Motors all have a major plant in this Central European country of 5.4 million people. The company said it will shift all production of its Discovery model from Birmingham, England, to Slovakia amid falling diesel sales, vehicle taxes and uncertainty about Britain's Brexit departure from the European Union.Related Video:

2017 Jaguar XE First Drive

For the first time in decades, the prize for the best-driving compact luxury sport sedan is very much up for grabs. BMW's 3 Series, the segment's longstanding archetype, has grown a bit soft, distant and pricy. Its Japanese rival from Infiniti, the Q50, lost the plot thanks to its video game steering and dated powerplant. The Audi A4 is due for replacement and the fantastic Mercedes-Benz C-Class skews luxury over sport. The Cadillac ATS? With an excellent chassis hobbled by middling powertrains and the devil's own infotainment system, it isn't selling. Unlikely as it sounds, the Lexus IS is probably the segment's best driver, but you've got to learn to love those turn-to-stone looks. So, where's a segment malcontent to look? Provided he or she is patient enough to wait for this car's spring 2016 arrival, allow us to recommend the 2017 Jaguar XE. Let's be honest. Jaguar really needed to come out with guns blazing. The last time the British brand battled in the compact premium sport sedan segment, its much-maligned X-Type slinked into the underbrush, tail between its legs after just a single generation. While the X was in some ways a better car than history will begrudge it, there's no getting around that Jaguar brought a front-wheel-drive-based knife to a rear-wheel-drive gun fight. This new XE will need to be a very different kitty, and it is. Internally known as X760, Jag's latest rides atop an all-new aluminum-intensive modular architecture wearing a handsome mosaic of aluminum and steel body panels. While the XE's design has struck us as very familiar since it first bowed in September, it's an attractive shape. Its longish, 111.6-inch wheelbase and wheels-at-the-corner stance gives the design a planted look emphasized by its wide rectangular grille and prominent lower air intakes. Jaguar claims a super-slick .26 coefficient of drag, but that's the skinny-tired overseas base model that we'll never see – ours will likely ring up a few hundredths higher. The aluminum body-in-white is itself an impressive piece of work, weighing just over 550 pounds. Vehicle engineering manager Jonathan Darlington says it's 20-percent stiffer torsionally than the XF, and "the lightest in the sector by far." What's more, the chassis incorporates liberal amounts of recycled aluminum (a claimed world first) and increased use of structural adhesives.

Could Jaguar become an EV-only brand?

Just yesterday we wrote about the Heisenbergian uncertainty surrounding the future of the Jaguar F-Type. A new report in Autocar prompts us to consider extending that ambiguity to the entire Jaguar brand. The UK magazine reports the automaker's product planners have devised a ten-year plan to switch to a pure EV lineup of cars and crossovers. According to Autocar's sources this is a planning exercise and doesn't have the green light, but it's "fairly advanced" and has adherents inside the company. The first shot fired would be an all-electric XJ replacement. That sedan, a "no-holds-barred luxury car" to challenge the Tesla Model S and Porsche Taycan, would provide emissions-free motoring before the Mercedes-Benz S-Class and BMW 7 Series come with their EV propositions. Around 2023, an EV crossover a touch larger than the full-sized Audi E-tron would replace both the XF and XE sedans. Two years later, a new mid-sized I-Pace would debut as both the F-Pace and E-Pace fade out. And two years after that, around 2027, the J-Pace luxury crossover would sigh its last ICE gasp. And what about the F-Type? The report says "with no replacement for F-Type in the works," an electric sports car "is also a possibility." There's no mention of the XK revival. Right now, Jaguar sells seven models - four sedans and three crossovers. As the Autocar article's written, come 2027 Jaguar would have an electric XJ sedan, a full-sized EV crossover, the I-Pace, and perhaps an electric sports car. That's a brave new world - one we're not sure Jaguar dealers could survive in. Problem is that Jaguar and its dealers are having plenty of problems now. Chinese-market volatility, the cloud around diesels, and Brexit uncertainty have contributed to a sales slump so dire that Jaguar's Castle Bromwich plant is going to a three-day week for the rest of the year. The sales flu has spread to Land Rover, too, the brand's Solihull plant closing for two weeks to realign dealer inventory. Considering all that, and with no easy relief in sight, the product planners are apparently debating whether a new, traditional three-model sedan range is worth the investment. The upside of going all-electric is said to be higher sales, with internal estimates supposing 300,000 units annually. Last year Jaguar sold 178,500 units. The marque could rake in larger profit margins on those sales, too, thanks to premium buyers being ready to shell out big ducats for EVs.