LONDON -- Ford Motor Co. has abandoned its goal of making Jaguar into a global luxury rival to Audi, Mercedes-Benz and BMW.
Ford once planned to build about 200,000 Jaguars a year. It sold 120,570 cars last year.
Sales of Jaguar cars have been disappointing and Jaguar accounted for most of the $362 million (currently about E290 million) loss racked up by Ford's Premier Automotive Group in the second quarter.
"The Jaguar strategy is being re-evaluated," said Mark Fields, chairman of Premier Automotive Group, at the Paris auto show. "We're not going to be a 200,000-unit car company."
PAG's losses forced Ford's senior management to review Jaguar operations. In September, they decided to close one of the brand's three British factories: the Browns Lane plant in Coventry, England.
Browns Lane, where the company has built cars for more than half a century, is Jaguar's original factory.
"We're going to be a more focused and smaller company than we were a few years back," Fields said.
Jim Padilla, chief operating officer at Ford, did not rule out further cuts at Jaguar.
"Nothing is off the table," he said. He declined to elaborate.