Shift to electric vehicles from 2020 may drag margins: Jaguar Land Rover

The company's first fully electric performance SUV, Jaguar I-PACE, will go on sale next year

Tata Motors-owned Jaguar Land Rover (JLR), which has decided to electrify all its vehicles from 2020, has said the move could drag its margins but the company is working to overcome it through cost-saving steps.

The high cost of batteries of electric vehicles and the "unknown factor" of how much and to what extent customers would be willing to pay for those batteries are major challenges, according to JLR CFO Ken Gregor.

"Purely the impact of a growing proportion of battery electric vehicles in our portfolio over time, based on the present cost of battery technology, is likely to produce