Jaguar Land Rover Talking to Ford and BMW About Opening Battery Plant

Jaguar Land Rover is in talks with Ford and BMW about building a battery plant for future electric vehicles, according to British newspaper The Times.

Executives from the U.K.’s largest automaker are negotiating with U.S.-based Ford and German automaker BMW on a plant with the capacity to power several hundred thousand vehicles. The plant would help Jaguar launch its first plug-in electrified vehicle, and to join other luxury carmakers in a competitive battle with Tesla Motors.

JLR doesn’t have any PEVs in its product line at this point. Ford’s lithium-ion batteries used in the Focus Electric are produced in collaboration with a subsidiary of LG. BMW purchases its batteries from Samsung. A joint battery factory between the brands would benefit all three manufacturers as each plans for its next wave of PEV launches.

When contacted for comment, spokesmen from both Jaguar Land Rover and Ford were unable to give any more information on the plans, which they described as “speculation.” A BMW spokesman was unavailable for comment at the time of publication.

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Jaguar is said to be developing its first all-electric car, based on the F-Pace. The automaker hasn’t made any comments yet on the model ahead of an unveiling.

Ford has also courted speculation that it will produce another PEV model after it blocked Tesla’s attempt to use the “Model E” moniker. The Model E name would be a nod to the historic Ford Model T, as well as acknowledging the car’s electric powertrain.

An all-electric BMW i8 is also in the pipeline but will not be released before the current model’s imminent mid-life refresh.