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Jaguar Land Rover reach agreement with Stellantis


22 May 2026 | General News

Jaguar Land Rover has formed a ‘Memorandum of Understanding’ with fellow automaker Stellantis that could see Jaguar cars built in the US for the first time.

Under President Trump’s tariffs, Jaguar Land Rover (JLR) were forced to pay in excess of £400m in 2025, resulting in higher prices for their cars Stateside.

Stellantis have fast become one of the world’s largest car producers, forming when PSA Peugeot purchased the Vauxhall and Opel brands from General Motors in 2017 in a deal worth €2.2 billion before merging with FCA (Fiat Chrysler) to form the new firm in 2021. In addition to their partnership in Europe and the US they also enjoy joint ventures in China and have recently begun selling the Chinese brand Leapmotor in Europe.

Jaguar’s agreement could offer considerable savings as well as affording them potential access to technologies and platforms used by the likes of Alfa Romeo, Lancia, Dodge and others.

In the future it could even offer Jaguar access to a wider portfolio of US-based dealers with Stellantis also counting Jeep, Chrysler and Fiat amongst the 14 brands under their umbrella.

For Stellantis, a relationship with Jaguar could see them add some much-needed production volume to their US factories, many of which are underutilised.

Stellantis have also been something of a leader in the push for electrification, offering over 20 different electric vehicles across their various brands.

“As we continue to evolve JLR for the future, collaboration will play an important role in unlocking new opportunities. Working with Stellantis allows us to explore complementary capabilities in product and technology development that support our long‑term growth plans for the US market” said JLR CEO PB Balaji.

JLR’s overall sales fell considerably in the US in 2025, thanks in part to tariffs but also due to Jaguar’s pause in production as the firm gears up for the new Type 01.