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Jaguar halts production of 'Baby Jag', axes 300 jobs

LONDON (AP) — Car and sport-utility vehicle maker Jaguar Land Rover said yesterday it will cease production of its X-Type "Baby Jag" by the end of the year, eliminating 300 jobs at its Halewood plant near Liverpool, England.

The X-Type was one of the biggest-selling Jaguar models, with 357,000 units produced, but failed to sell as well as its makers had hoped.

The company said it also intends to shut down the plant for another three weeks this year because of the weakness of the luxury car market.

"Jaguar Land Rover's retail sales fell by 28 percent in the past 10 months," said Jaguar Land Rover CEO David Smith.

"We have taken unprecedented actions to cut costs, including reduced production volumes, significant cuts to investment plans and some 2,200 job losses."

Those job losses include both Jaguar and Land Rover workers, who currently number 14,500, the company said.

"Ceasing production of the X-Type early, with further redundancies and temporary shutdowns at Halewood, is necessary to protect our other investment plans," Smith said.

The entry-level X-Type sedan, the smallest car in the Jaguar stable, was introduced in 2001.