Britain’s largest automaker, Jaguar Land Rover (JLR), has shuttered its UK manufacturing plants until October 1 following a severe cyberattack earlier this month that disrupted its supply chain and operations.
The company, a subsidiary of Tata Motors, typically produces around 1,000 vehicles daily at its three UK facilities. The production halt is costing JLR an estimated £50 million ($68 million) weekly, prompting the firm to instruct many of its 33,000 employees to work from home.
Compounding the issue, JLR had not finalized its cyber insurance policy at the time of the attack. Sources in the industry suggest this leaves the automaker to shoulder the full financial burden without coverage. JLR has refrained from addressing this detail but has expressed confidence in resolving the situation.
In a show of solidarity amid the turmoil, the UK government has extended assistance. Officials have toured JLR’s supplier sites and factories, committing to aid a swift recovery to safeguard the 104,000 jobs linked to the company’s ecosystem.
According to JLR, the closure represents a structured approach to recovery rather than an outright crisis.
The firm emphasized that the pause allows for comprehensive probes and safeguards to eliminate future cyber threats.
“This choice provides clear guidance for the week ahead as we develop a schedule for gradually resuming operations and advance our inquiry,” JLR stated.
The incident unfolds against a backdrop of escalating cyberattacks on sectors ranging from health care to air travel. Just over the weekend, a ransomware assault on an airport’s check-in systems stranded travelers throughout Europe. In the UK, government data indicates that 40% of businesses suffered a cyber breach in the last 12 months.
Ultimately, JLR’s experience underscores a critical lesson for the automotive sector: the most significant disruptions may occur online, rather than on the roadways.
