By Sammy Jones-
The automotive giant Jaguar Land Rover (JLR) confirmed on Tuesday that it is initiating a controlled, phased JLR production restart and supplier aid package following a crippling cyber attack that forced a full halt to global manufacturing. The disruption, which has persisted for nearly six weeks, is estimated to have cost the company millions of pounds daily in lost output. This pivotal announcement marks a significant turning point in the company’s recovery efforts and signals much-needed relief for its vast network of component suppliers.
Inside JLR’s Halewood plant. Pic: JLR
The cyber incident, which took place in late August, forced JLR to shut down critical IT systems affecting everything from vehicle design to logistics and sales operations. The subsequent halt directly impacted the company’s three main UK factories, alongside other global sites like Nitra in Slovakia.
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The extended shutdown has created a ripple effect of instability throughout the entire UK automotive supply chain, leading several smaller firms to fear for their viability. JLR Chief Executive Officer Adrian Mardell acknowledged the immense effort required. He stated, “This week marks an important moment for JLR and all our stakeholders as we now restart our manufacturing operations following the cyber incident.” Mardell also emphasized that the recovery process is firmly underway, even though substantial work remains necessary to fully restore operations.
To ensure the manufacturing ramp-up proceeds smoothly and to safeguard its fragile supply ecosystem, JLR is launching a new short-term financing scheme. This critical JLR production restart and supplier aid initiative is initially targeting Tier 1 partners deemed critical for quickly resuming output. The scheme allows qualifying suppliers to be paid significantly faster than the standard 60-day post-invoice terms, effectively accelerating payments by as much as 120 days.
JLR will leverage its own financial strength to reimburse the financing costs incurred by participating suppliers. The company hopes this injection of cash will successfully trickle down through the tiers, ultimately supporting smaller, indirect firms that have struggled without revenue for weeks.
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The return to work will begin promptly with colleagues at the Electric Propulsion Manufacturing Centre and the Battery Assembly Centre in the West Midlands. Further factory staff will soon return to stamping operations in Solihull, Castle Bromwich, and Halewood, where they will prepare body shops and paint shops for full vehicle assembly.
The phased approach is designed to test systems securely before full-volume manufacturing can recommence in the coming weeks. This phased JLR production restart and supplier aid move provides economic reassurance that the company is fully committed to overcoming this crisis. The government had previously offered a £1.5 billion loan guarantee, though JLR has reportedly met financial commitments using its own liquidity.
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