Jaguar Land Rover has launched a project to cut costs of 4.5 billion pounds and build 1,000,000 cars a year.

Jaguar Land Rover has launched a project to cut costs of 4.5 billion pounds ($6.8 billion) and build 1 million cars per year by the end of the decade, the Sunday Times reported.

The project, called Leap 4.5, will entail building more models on similar core skeletons, overhauling the carmaker's supply chains and slowing down or halting the recruitment process, the paper reported, citing people familiar with the matter. There are no plans for lay offs, the paper said.

The Leap 4.5 project is envisaged to offset the effects of slowing sales in China and the costs of meeting emissions standards. The plan will spare the 3 billion pound-a-year capital spending budget on research and development and building new plants, the Sunday Times said.

Sales in China, JLR's fastest growing market last year, fell 32 percent in the July to September quarter due to an economic slowdown, stock market slump and currency devaluation, which have hit demand in the world's biggest car market.

JLR and the automaker's parent Tata Motors could not be reached for comment.

REPORT HERE.