Balaji to drive JLR deep into group growth plans
group CFO
PB Balaji
's elevation as
Jaguar Land Rover
CEO comes with a clear mandate: tighten the balance sheet, inject a strong focus on winning customers, and make the iconic British automaker more agile in responding to demand-supply volatility in the global automotive market.
His appointment signals a strategic reset by Tata Motors, aimed at integrating JLR more deeply into the group's broader growth plans.
JLR is key to Tata's ambitions, contributing 71 per cent to the Mumbai-based automaker's total revenue and 79 per cent of operating profit.
Executives close to the developments said both the internal combustion engine (ICE) and electric vehicle segments are currently at an inflection point globally, requiring diligent focus from a strategic viewpoint for Tata.
'The mandate will keep evolving over a period of time,' an executive said.
Balaji, who had joined Tata Motors from Hindustan Unilever in 2017, has been handpicked by Tata Sons to drive tighter operational discipline and rewire JLR's leadership mindset to make it less insular.
Insiders say the earlier UK-led leadership operated in a siloed, culturally inward-looking manner, often disconnected from the group's strategic objectives. 'It didn't operate as a Tata company, seeing the Tatas as a shareholder and not the owner,' said another executive familiar with the leadership transition.
Tata Group did not comment.
Balaji has been a director on the board of JLR since 2017, developing an equation with the automaker's senior leadership team and management, people said.
This would be useful as he takes over the mantle at JLR which is facing mounting product and financial pressures. The maker of Range Rover and Defender SUVs has warned of lower profitability and near-zero free cash flow this financial year, from £1.4 billion last year.
Slowdown in China, its single-largest market, and higher tariffs on US vehicle imports are expected to drag operating margins to 5-7 per cent from 8.4 per cent last year, well below its long-term 15 per cent target.
Though some industry watchers question whether Balaji, often labelled as a 'numbers guy', has the brand instincts to lead a maker of high-end
luxury cars
, those close to the group believe his deep consumer insight and diverse experience, especially from his time at Unilever, positions him well in the new role.
'He understands how to read the consumer, even in premium segments,' a person said, adding Balaji's strength lies in driving transformation without losing sight of the market pulse.
Since mid-2024, JLR has been navigating turbulent waters with a mix of mounting sales pressure and weakening consumer demand. The decision to phase out Jaguar's ICE lineup in preparation for a fully-electric relaunch in 2026 also fuelled a drastic sales drop.
By April 2025, Jaguar sales in Europe plunged from its peak years of 2018. Meanwhile, in North America, external forces added to JLR's woes. A newly imposed 25 per cent US tariff on imported vehicle delivered a heavy blow to sales in that region.
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