Mumbai: Tata Motors Passenger Vehicles shares fell sharply on Friday, March 27. The stock dropped more than 5 percent to an intraday low of Rs 301.10 on the BSE.
The fall came after reports suggested a temporary shutdown at Jaguar Land Rover’s (JLR) Solihull plant in the UK.
Supplier Issue Halts Production
According to reports, JLR has paused production on some vehicle lines for two weeks. This is due to a shortage of parts from suppliers.
The shutdown also overlaps with a planned Easter holiday break. It is expected to impact production of key models like Range Rover and Range Rover Sport.
JLR’s Importance to Tata Motors
JLR plays a major role in Tata Motors’ business. It contributes nearly 70 percent of the company’s total revenue.
Because of this, any disruption in JLR operations directly affects investor confidence and the company’s stock performance.
Earlier Cyberattack Added Pressure
This is not the first challenge for JLR. In September 2025, the company faced a major cyberattack.
The attack disrupted production and sales, leading to delays. A hacker group claimed responsibility and said it had accessed company systems. JLR reportedly did not have insurance for such cyber risks, increasing the financial impact.
Financial Impact and Weak Performance
JLR had reported a profit after tax of £1.8 billion in FY25. However, estimates suggest that losses from disruptions could reach £2 billion, possibly wiping out its earnings.
In the third quarter, JLR posted revenue of £4.5 billion, down 39 percent year-on-year. It also reported a pre-tax loss of £310 million, excluding special items.
Performance was affected by lower sales, cyberattack issues, higher US tariffs, and weak demand in China.
Stock Under Pressure
Tata Motors PV stock has been declining for some time. It has fallen nearly 17 percent in the last one month, about 13 percent this year, and around 25 percent over the past year.
The latest shutdown news has added to existing concerns, keeping the stock under pressure.
