Jaguar Land Rover plans new China engine plant.

Tata Motors-owned Jaguar Land Rover is planning to expand its China operations with a new engine- making plant - its first ever outside the UK - alongside its car assembly factory in Shanghai.

Britain's largest employer in the automotive sector has indicated that it will use the learnings from its new UK-based 500-million-pound engine plant in Wolverhampton once it goes into production next year.

Speaking to the Society of Motor Manufacturers and Traders in London, JLR purchasing chief Ian Harnett, said, 'We could build an engine plant in China. There is an opportunity within the existing footprint of the factory (at present under construction to build cars).

'We have not made engines for a long time. The focus is on Wolverhampton but we can then look at the transfer of that knowledge and expertise'.

The Changshu plant, near Shanghai, is expected to produce versions of the Range Rover Evoque and larger Jaguar models for the Chinese market with Chery, its partner in the country.

ET