Jaguar Land Rover and Stellantis explore U.S. production for Defender

Jaguar Land Rover (JLR) and Stellantis are exploring a strategic partnership to potentially manufacture new Land Rover Defender models in the United States. JLR Chief Financial Officer Richard Molyneux confirmed the existence of an exploratory memorandum of understanding with Stellantis, aiming for a definitive production contract by the end of the year.

Local production in the U.S. is being considered to mitigate high import tariffs—which can reach 10% for models from the UK and 15% from the EU—and to reduce risks associated with currency fluctuations between the dollar and the pound.

Because current U.S. Defender sales are approximately 30,000 units annually, JLR executives noted that localizing production for this single model alone would not be economically viable, as they typically require volumes exceeding 50,000 units. Consequently, the collaboration may focus on new models or different vehicle categories that could utilize Stellantis platforms, potentially allowing JLR to compete more directly with vehicles like the Jeep Wrangler and Ford Bronco in new price segments.