McLaren is set to invest $675 million (£500 million) to expand its manufacturing capabilities in the UK and introduce its first-ever SUV model. This strategic move is intended to boost sales and achieve profit margins comparable to rivals like Ferrari and Lamborghini. The investment will also include a new factory, with Sheffield, home to McLaren's existing carbon-fiber plant, being the preferred site, and is expected to create 1,000 new jobs, adding to the current workforce of 2,500.
The SUV, which does not yet have a name but is codenamed P47, is expected to be a hybrid and is slated for launch in 2028. It is described as "sculpted and muscular," slightly larger than a Porsche Cayenne Turbo, and was shown to dealers with 24-inch wheels. McLaren's CEO, Nick Collins, stated that the recent success of the McLaren racing team, which has won the last two Formula One constructors' championships, has created a strong brand appeal for this expansion.
The company aims to target wealthy fans who appreciate the glamour of its Formula One team but may not own its supercars, broadening its customer base. McLaren had previously stated it would not enter the SUV market, but changing market dynamics and the financial success of competitor SUVs, like the Lamborghini Urus and Ferrari Purosangue, have prompted this shift. The SUV's pricing is anticipated to be closer to the Rolls-Royce Cullinan and Ferrari Purosangue, potentially around the $400,000 mark.
This investment reflects a broader trend in the luxury automotive market where SUVs often subsidize the development of sports cars. The new model will leverage McLaren's experience with hybrid propulsion systems, seen in its P1 hypercar and current Artura coupe, which produces 671 horsepower. The company seeks to solidify its position in the luxury segment and enhance its overall profitability by catering to a wider audience looking for shared performance.
