Jaguar Land Rover Supply Chain Crippled by Cyberattack
▼ Summary
– Jaguar Land Rover’s UK factories have been shut down for nearly three weeks due to a cyberattack, halting production of around 1,000 vehicles daily.
– The UK government acknowledges the attack has a significant impact on JLR and the wider automotive supply chain, with potential job losses and supplier bankruptcies.
– JLR is estimated to be losing up to £50 million per week, and some supply chain workers have been laid off or told to apply for government benefits.
– The cyberattack is described as unprecedented in the UK for its level of disruption, potentially affecting thousands of jobs directly and indirectly through JLR’s supply chain.
– JLR has extended its production pause to investigate the incident and restart operations gradually, though specific details about affected systems or data remain undisclosed.
For nearly three weeks, the production lines at Jaguar Land Rover have remained eerily silent. Normally bustling with activity, the automaker’s UK facilities typically churn out around 1,000 vehicles each day. Now, employees have been instructed to stay home as the company grapples with a severe cyberattack. What began as an operational pause has stretched into a prolonged shutdown, sending shockwaves through the extensive network of suppliers that depend on JLR’s business. The situation now threatens to escalate into a full-blown crisis for the wider automotive sector.
The UK government recently acknowledged that the cyber incident is having a significant impact not only on Jaguar Land Rover but across the entire automotive supply chain. This admission follows mounting concerns from unions and officials that thousands of jobs could be lost, with some smaller suppliers facing potential bankruptcy. Reports indicate JLR itself may be losing up to £50 million weekly due to the stoppage. Several firms have already begun laying off staff, and the Unite union reports that many workers are being sent home with little or no pay, some even advised to apply for government assistance.
Jamie MacColl, a cybersecurity research fellow at defense think tank RUSI, describes the scale of disruption as unprecedented in the UK. He notes that the potential for widespread job losses, whether temporary or permanent, represents a different order of magnitude compared to past cyber incidents.
Jaguar Land Rover, a subsidiary of India’s Tata Motors, ranks among the UK’s largest employers, directly supporting nearly 33,000 jobs. Its influence extends much further, however, with company figures suggesting an additional 104,000 roles within its domestic supply chain and almost 63,000 more through related economic activity. Many other suppliers operate internationally, alongside several of JLR’s own overseas production sites.
In early September, JLR publicly confirmed that a cyberattack had disrupted its operations, prompting an immediate and proactive shutdown of key systems. This decisive action brought manufacturing to a standstill. While the company acknowledged that some data had been compromised, specifics regarding the nature or extent of the breach remain undisclosed.
Despite ongoing efforts to restore normal operations, JLR announced a further extension of the production pause through September 24. A company statement explained that the delay is necessary to allow a thorough forensic investigation and a carefully managed, phased restart of global systems. JLR expressed regret for the continued disruption and committed to providing further updates as the situation evolves.
The automaker has not responded to inquiries regarding which systems were targeted, the financial toll on its suppliers, or any support measures being considered for affected businesses.
(Source: Wired)
