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Tata Motors Shares Dip 3% As €2 Billion Loss From JLR Cyberattack May Exceed FY25 Profit

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Tata Motors Shares Dip 3% As €2 Billion Loss From JLR Cyberattack May Exceed FY25 Profit


New Delhi: Shares of Tata Motors fell around 2.99 per cent in early trading on Thursday following reports that Jaguar Land Rover (JLR), its British subsidiary, could incur a potential uninsured loss of approximately €2 billion due to a cyberattack that disrupted production. The impact could surpass JLR’s total profit from the last fiscal year, said a report from The Financial Times.

JLR had not finalised a cyber insurance policy brokered by Lockton, potentially leaving the automaker uninsured for the attack, according to multiple media reports. The cyberattack, which occurred on September 2, has forced the company to repeatedly push back its production schedule. JLR announced it will extend factory closures until October 1 while addressing global IT issues and preparing for a phased restart of operations.

“We are working at pace to resolve global IT issues impacting our business. We will provide an update as appropriate in due course,” Tata Motors said in a statement earlier this month. The company’s three UK plants in Solihull, Halewood, and Wolverhampton used to produce approximately 1,000 cars daily, with reports estimating losses of around £50 million per week due to the plants being shut down.

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JLR is carrying out a forensic investigation into the cyberattack and has said that operations will restart gradually in a controlled manner.

During FY25, Jaguar Land Rover contributed 72 per cent to Tata Motors’ total automotive revenue, higher than its contribution in FY24, indicating stronger growth at JLR compared to Tata’s domestic vehicle segment.

Meanwhile, in India, Tata Motors recorded approximately 10,000 car deliveries and over 25,000 enquiries on the first day of Navaratri, marking a strong start to the festive season. Over the past year, Tata Motors shares dipped Rs 300.90, a decline of 31.23 per cent.



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Jaguar Land Rover says some IT systems back online after major cyber attack

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Jaguar Land Rover says some IT systems back online after major cyber attack


Jaguar Land Rover (JLR) has said parts of its IT systems are back online amid a “phased restart” of its operations following a major cyber attack.

The British carmaker has paused production at its UK factories for several weeks after being targeted by hackers.

The company said it is “working to clear a backlog of payments” to suppliers, and has increased its processing capacity for invoicing.

A cyber attack on the carmaker in August forced it to shut down its IT networks and suspend production lines. Factories remain closed until next month at the earliest.

A statement from JLR said: “As part of the controlled, phased restart of our operations, today we have informed colleagues, suppliers and retail partners that sections of our digital estate are now up and running. The foundational work of our recovery programme is firmly underway.”

The government was considering supporting suppliers, with the industry minister, Chris McDonald, saying it should be a cyber security ‘wake-up call’ in a visit earlier in the week (PA)

The company’s centre for supplying parts to distribution centres for retailers in the UK and globally is returning to full operations, JLR confirmed.

The financial system used to process the wholesale of vehicles has also been brought back online, meaning sales and registration are now faster again.

JLR said it is working with cyber security specialists, the UK government’s National Cyber Security Centre (NCSC) and law enforcement.

“Our focus remains on supporting our customers, suppliers, colleagues and our retailers. We fully recognise this is a difficult time for all connected with JLR and we thank everyone for their continued support and patience,” a statement said.

The government has said it was considering intervening to support JLR’s parts suppliers, with concerns growing that some could go bust due to the shutdown of operations, especially small businesses.

The manufacturer is owned by India’s Tata Motors, and builds around 1,000 cars a day across its three factories in Solihull and Wolverhampton in the West Midlands, and Halewood in Merseyside.

Jaguar Land Rover paused its production in August after a cyber attack

Jaguar Land Rover paused its production in August after a cyber attack (Getty)

Workers were told to stay home on 1 September, and JLR has not confirmed a return date.

Around 30,000 people are employed at the company’s plants, with a further 100,000 working for employers in the supply chain.

Unions have called for a Covid-style furlough operation for those in the supply chain, but this is not thought to be viable given the scale and the cost. Businesses are also reportedly unwilling to consider a government-backed loan, given the uncertainty they currently face.

Chancellor Rachel Reeves was asked during a ministerial visit if the government was set to step in to help firms in the supply chain.

“We are working very closely with Jaguar Land Rover, but not just with the company but also with the wider supply chain,” Ms Reeves said.

“The focus is both getting the business back up and running as quickly as possible, but also making sure, as a government, we are doing everything we can to stand by the company and the wider supply chain.”



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Delhi’s Economy Gets A Push! GST 2.0 Rate Cuts To Aid MSMEs, Trade And Hospitality

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Delhi’s Economy Gets A Push! GST 2.0 Rate Cuts To Aid MSMEs, Trade And Hospitality


New Delhi: The rollout of GST 2.0 rate cuts is set to bring direct relief to Delhi households by lowering their day-to-day expenses. At the same time, the move is expected to boost the city’s economy, as MSMEs, traders, and the hospitality sector gain from reduced input costs, stronger demand, and improved competitiveness.

Widespread Impact Across Delhi Markets

From Karol Bagh’s automobile and apparel shops to the wholesale trade in Sadar Bazar and Khari Baoli, and from Chawri Bazar’s paper hub to the busy streets of Chandni Chowk, the effects of GST 2.0 will be felt everywhere. Alongside this, lower rates on everyday goods and essential services will ease expenses for households across the city.

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Delhi’s Auto Hubs Powering North India’s Trade

Delhi has long been a key centre for automotive component trading, with markets like Karol Bagh and Kashmere Gate well-known for their wholesale and retail networks. These family-run businesses and MSMEs not only cater to the city’s massive vehicle population but also supply parts across north India and even export to neighbouring countries. In fact, Delhi’s auto hubs alone trade components worth nearly Rs 1,000 crore every month with Bangladesh. As a result, the city plays a crucial role in India’s auto components industry, which recorded a turnover of Rs 6.14 lakh crore in FY24.

GST Cuts to Make Vehicle Maintenance Cheaper

With GST on auto parts reduced from 28 per cent to 18 per cent, the cost of vehicle maintenance for both consumers and mechanics is expected to drop by nearly 7.8 per cent. Lower prices for spare parts will mean smaller service bills, encouraging vehicle owners to replace worn-out components more regularly. This not only saves money but also helps improve safety and efficiency on Delhi’s roads.

As the national capital, Delhi is a major destination for tourists, business travellers and medical tourism. It offers everything from luxury properties to budget stays in Paharganj and Karol Bagh. In 2024, Delhi’s hotel market recorded about 72.9 per cent average occupancy with an average daily rate (ADR) of nearly Rs 10,273.

The new GST rate of 5 per cent for rooms below Rs 7,500 per night directly reduces the cost of staying in Delhi’s hotels. For example, booking a room at Rs 5,000 per night would now attract an additional tax of only  Rs 250 (5 per cent). This makes hotel stays around 6.25 per cent cheaper. These savings accumulate over a multiple-night stay, which will result in higher occupancy rates.

To complement room-rate relief, key kitchen inputs used by hotels, restaurants, cafes, and caterers have also been cut from 18 per cent to 5 per cent. The 13-percentage-point tax reduction on these crucial kitchen supplies will directly lower the input costs for restaurants and hotels.

Delhi-NCR is the top city for hospitality job opportunities, with a 20.37 per cent increase in job postings in 2022-23. A sustained boost in the sector would translate into increased job creation and better earnings for the large workforce employed in Delhi’s hotels and restaurants.

Delhi is also a massive consumer of milk and dairy products. The city is served by an extensive supply network from cooperatives like Mother Dairy and Amul. Delhi employs thousands of workers in milk processing plants (like the Mother Dairy plant in Patparganj) and as delivery agents or vendors in local markets.

Footwear, eco-friendly furniture, beauty and wellness services, and printing-paper packaging all sit in Delhi’s consumer basket while powering its MSME engine. The GST cut on affordable footwear and finished leather, along with furniture, printing & stationery items, will lower final prices and ease working-capital strain for small traders.

GST on items like bamboo, cane, and rattan furniture is now 5 per cent, improving affordability for households and demand certainty for artisans and small retailers. The furniture sector provides employment to thousands in both formal showrooms and informal workshops across Delhi, with major markets in Kirti Nagar and Panchkuian Road. (With IANS Inputs)



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JLR begins ‘phased restart’ of operations

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JLR begins ‘phased restart’ of operations


Michael RaceBusiness reporter, BBC News

Getty Images JLR worker wearing green coveralls on a production lineGetty Images

Jaguar Land Rover (JLR) says it has begun a “phased restart” of its operations with parts of its IT system back up and running.

The company said it was “working to clear a backlog of payments” to suppliers as it now had increased its processing capacity for invoicing.

The carmaker’s production lines have been suspended since a cyber attack in August forced the company to shut down its IT networks. Its factories remain closed until next month at the earliest.

The government is considering stepping in to support JLR’s parts suppliers, with concerns growing that some, mostly small businesses, could go bust due to the prolonged shutdown of operations.

JLR said on Thursday that its recovery programme was “firmly under way” and that its global parts logistics centre, which supplies spare parts that service customers’ vehicles, “returning to full operations”.

“The financial system we use to process the wholesales of vehicles has been brought back online and we are able to sell and register vehicles for our clients faster, delivering important cash flow,” the company added.

The carmaker said it recognised that the situation was a “difficult time for all connected with JLR”, with no new cars being built and staff being sent home from work.

The manufacturer, which is owned by India’s Tata Motors, typically builds about 1,000 cars a day at its three factories in Solihull and Wolverhampton in West Midlands, and Halewood in Merseyside.

Workers have been told to stay home since 1 September, with no firm return date.

About 30,000 people are directly employed at the company’s plants with about 100,000 working for firms in the supply chain. Some of these firms supply parts exclusively to JLR, while others sell components to other carmakers as well.

Calls have been made to support suppliers, whose businesses are under threat as a result of the knock-on impact of the cyber attack.

One idea being explored is the government buying the component parts the suppliers build, with the aim of keeping the companies in JLR’s supply chain in business until production lines are up and running again.

However, firms have told the BBC they are sceptical about the success of such a scheme.

The government “simply don’t understand the complexity of what they’re dealing with”, said one supplier.

“We don’t need promises, we need help.”

Unions have called for a Covid-style furlough scheme, but ministers have ruled this out given its likely cost, sources have told the BBC.

While the purchase and stockpiling of car parts by the government is an option on the table, this would present considerable logistical challenges.

JLR’s manufacturing process relies on the right part arriving at the right place, at the right time.

Another option being considered is government-backed loans to suppliers, though this is understood to be unpopular with suppliers.



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