Luxury carmaker Jaguar is investing $2.4 billion (Rs 15,312 crore) in a new range of lightweight aluminium sports sedans and crossover SUVs aimed at the mass market, creating 1,700 jobs in Britain.
The spending is part of a move to launch more affordable models from 2015 to emulate the success of lower cost luxury vehicles made by sister company Land Rover, and will better position it to compete with German rivals BMW, Mercedes and Audi.
Jaguar, part of the Jaguar Land Rover (JLR) group owned by Tata Motors, said the investment could create a further 24,000 in supply chain jobs.
Carmakers around the world are expanding into so-called premium "crossover" vehicles, seeking to tap demand for models that combine the functionality of sport utility vehicles (SUVs) with the comfort and performance of luxury cars.
Jaguar said cash would be spent to design systems to help it introduce new one-piece "aluminium vehicle architecture".
"The inherent flexibility of this all-new technology will enable Jaguar Land Rover to not only enter but aggressively compete in exciting new segments, creating new markets for both brands," JLR's chief executive Ralf Speth said.