Jaguar Land Rover Automotive Plc is set to start making cars again after securing £3.5 billion ($4.7 billion) in loan commitments as it continues to grapple with the fallout from a crippling cyberattack.
Britain’s largest carmaker said some sections of its production operations will resume “in the coming days,” as it works to get all its systems back up and running. The Range Rover maker — whose plants in the U.K., Slovakia, India and Brazil have been out of action since the start of the month — had been targeting a Wednesday restart.
Related: Jaguar Land Rover Shutdown Driving Suppliers to Cut Jobs And Reduce Hours
The move comes as JLR got a £1.5 billion loan guarantee from the UK government and sought to raise a further £2 billion from banks to shore up its finances during the shutdown. The carmaker, owned by India’s Tata Motors Ltd., is a key part of the UK’s auto industry, with some small suppliers reliant on it for business. The government stepped in over the weekend to avoid a wave of collapses in the supply chain.
The resumption of some production will provide relief to these firms. Auto suppliers typically operate on thin margins and need high working capital, leaving them vulnerable in the event of prolonged disruption. The industry operates on a just-in-time basis, meaning parts are delivered for when they’re needed, rather than being ordered well in advance and stored.
As well as stopping ordering new parts, JLR also struggled to pay suppliers due to IT outages. In recent days, it’s been trying to clear a backlog of payments owed to these firms. The company said last week that some of its systems were back online, enabling it to work through supplier invoices, accelerate parts distribution to dealers and speed up vehicle sales and registrations.
The government said Saturday that its loan will be provided by a commercial bank and guaranteed by U.K. Export Finance. It emerged on Monday that JLR is also raising a £2 billion loan from global banks, with Citigroup Inc., Mitsubishi UFJ Financial Group and Standard Chartered Bank Plc agreeing to offer the 18-month credit facility, people familiar with the matter said. The foreign currency facility will be priced at about 110 basis points over the secured overnight funding rate, or SOFR, the people said asking not to be identified because the discussions are private.
The fund raise, that was reported by the Economic Times earlier on Monday, is expected to show JLR has liquidity to tide over revenue losses from a hack that crippled its operations and sparked chaos across the country’s auto supply chain.
Under Pressure
JLR was already under pressure before the cyberattack hit. US President Donald Trump’s wave of higher tariffs this year forced the company to temporarily pause shipments to its largest market. The UK’s trade deal with the US alleviated some of the pain, but the 10% duty is still far higher than the 2.5% levy from before Trump took office.
The company also faced criticism for a re-branding of Jaguar, which isn’t producing any new vehicles until an all-electric lineup that will target younger, luxury consumers is ready. A teaser video last year was slammed for featuring expressionless models but no cars, while the new logo was presented without its famous wildcat. JLR is also gearing up to start selling its first electric Range Rover next year.
Those challenges have taken a toll on the company’s finances, though it recently achieved its goal of becoming debt free on a net basis. While it has still been a highly profitable company, JLR’s profit roughly halved to £248 million in its latest quarter. Quarterly revenue dipped 9% to £6.6 billion. It ended June with £3.32 billion in cash, down from £4.61 billion a few months earlier after the US tariff hit and temporary shipment pause.
The cyberattack came as JLR prepared for new leadership. Chief Executive Officer Adrian Mardell is handing over the reins next month to Tata Motors’ Chief Financial Officer PB Balaji.
The fallout from the cyberattack is having a knock-on effect on Tata Group. The Indian conglomerate has lost more than $75 billion of market value this year, with a steep slump in recent weeks on the back of the JLR shutdown.
Also on Monday, Moody’s Ratings cut its outlook on JLR to negative from positive, saying it “reflects our expectation that the incident will have a sustained adverse impact on JLR’s credit metrics, and that a full recovery may take several months.”
Copyright 2025 Bloomberg.
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