Jaguar Land Rover’s plans to expand production capabilities outside the UK have just become clearer, as the company announced a feasibility study for a potential new plant in Slovakia.

JLR said it has signed a letter of intent with the Government of the Slovak Republic “for the potential development of a new manufacturing plant in the city of Nitra in western Slovakia.” The central European country has been chosen over other locations in Europe, the United States and Mexico due to the fact that it’s close to a strong supply chain and good logistics infrastructure.

Depending on the outcome of the feasibility study, a final decision is expected later this year. “With its established premium automotive industry, Slovakia is an attractive potential development opportunity for us. The new factory will complement our existing facilities in the UK, China, India and the one under construction in Brazil,” said Jaguar Land Rover CEO, Dr. Ralf Speth.

The company said its Slovakian plant will build a range of aluminum Jaguar Land Rover vehicles with an annual output of up to 300,000 vehicles over the next decade. The first cars are expected to roll off the assembly line in 2018. Jaguar Land Rover did not say which models will be built in Slovakia, but the upcoming Defender appears a likely candidate.

The announcement marks the next step in the Jaguar Land Rover’s strategy to strengthen its global position by expanding its manufacturing operations into new international locations in the future.

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