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 |  May 27 2011, 10:53 AM

Jaguar Land Rover has announced that it will be spending some £400 million (approximately $640 million) on developing a new engine plant in India.

The facility, which will be located in Pune, close to existing Tata operations, will produce modular four-cylinder engines and is said to be a virtual ‘carbon copy’ of the company’s new engine plant being set up in the West Midlands, UK.

Both facilities have been conceived so that Jaguar Land Rover can replace, as quickly as possible the four-cylinder gasoline and turbo diesel engines it currently sources from Ford Motor Company, which have proven to be relatively expensive.

Jaguar says that work on the new Indian plant won’t begin until the West Midlands operation is fully up and running, but said that once operations are in full swing; both plants together will have capacity to produce as many as 500,000 engines per year, which will help satisfy growing demand; particularly in China where Jaguar Land Rover already has a local assembly operation.

As for Jaguar’s other engines, namely it’s V-6 and V-8 gas and diesel units, these will continue to be sourced from Ford at Dagenham, Essex, UK, at least for the time being.

[Source: Autocar]