
Jaguar Land Rover Automotive Plc (JLR) is racing to clear a backlog of payments to suppliers following a cyberattack that halted production across its global operations, people familiar with the matter told Bloomberg.
The British automaker, owned by India’s Tata Motors Ltd., has paid approximately £300 million ($405 million) to key suppliers and aims to settle outstanding dues by the end of the month. Many of these partners are small manufacturers dependent on JLR’s business, some of which had paused their own production due to liquidity pressures.
With its regular systems offline, JLR deployed around 50 staff to manually process payments, prioritizing suppliers under the most immediate pressure. The automaker is seeking to ensure suppliers can retain staff and quickly resume production once JLR restarts its factories.
“Our focus remains on supporting our customers, suppliers, colleagues, and our retailers who remain open,” a JLR spokesperson said. “We fully recognise this is a difficult time for all connected with JLR and we thank everyone for their continued support and patience.”
Cyberattack, a halt for the company
The cyberattack, which struck in early September, has disrupted operations for more than three weeks, prompting the company to extend a production halt affecting sites in the UK, India, and elsewhere until at least 1 October. Suppliers affected include Germany’s Eberspächer Gruppe GmbH & Co., which produces exhaust systems, and Slovakia’s Hollen, responsible for quality assurance of car parts. JLR has acknowledged that some data may have been compromised.
UK Business Secretary Peter Kyle met with JLR executives and partners to discuss potential support measures, while union leaders have called for financial aid for smaller British suppliers. No government support has been announced so far.
The incident highlights the broader risk to the automotive supply chain when a major manufacturer faces a cybersecurity crisis, with potential ripple effects across the sector.