Future of X-Type in doubt as Jaguar moots withdrawal from US market

Jaguar is poised to axe its mass-market X-Type model in the US, throwing the much-criticised car’s UK future into doubt.

Sources close to the company say the decision has already been taken to discontinue the X-Type in the US from the end of this year. Ford-owned Jaguar, which is hundreds of millions of pounds in debt, is thought to make minimal profits from the X-Type, which sells in the UK for as little as &£19,995.

Jaguar cut the range of X-Types it sells in the US last year after the basic versions failed to capture the public’s attention. The company still sells the three-litre model in the US, but sales projections obtained by Marketing Weekshow a dramatic fall in the predicted number of X-Type sales in 2007.

Jaguar forecasts global X-Type sales of 53,067 for 2006, but according to sources that figure will drop to 33,772 for 2007, supporting the view that it will no longer be sold in the US. A company spokesman claims forecasts for 2007 have not yet been compiled and adds: “The X-Type will continue to be available in the US.”

The X-Type was launched in 2000 and was Jaguar’s first foray into the mass-market. Global sales jumped from 90,000 in 2000 to 130,330 in 2002 after its launch, but the car was slammed for looking like a Mondeo and diluting the brand’s prestige.

The source, who says “the jury is still out” on the car’s future in the UK, adds: “The X-Type was successful in the short term but will prove to be a mistake. Jaguar should have stopped the range extension at the (mid-range) S-Type.”

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here