JAGUAR Land Rover is set to move all production of its Discovery model from Solihull to Solvakia.
The Lode Lane factory, where the Discovery is manufactured, will be used to build a new generation of Range Rover models, the firm said.
The company also warned of potential job losses of some agency staff in the UK as a result.
The company has previously said all its cars would be available in either an electric, hybrid, petrol or diesel version from 2020.
It has not put an exact figure on the level of investment in the Solihull plant, but it runs into hundreds of millions of pounds.
A spokesperson for JLR said: “The decision to move the Land Rover Discovery to Slovakia and the potential losses of some agency employed staff in the UK is a tough one but forms part of our long-term manufacturing strategy as we transform our business globally.
“This significant investment and technology upgrade in Solihull in order to accommodate our next-generation of flagship Land Rover models, and the refit of our Halewood plant for the next Evoque, is proof that we remain committed both to the UK and to transformation and growth.”
There are 1,800 agency workers in the Solihull plant, out of a workforce of 10,000.
Solihull MP Julian Knight said: ““I know that many residents will share my concern about the news that there will be another reduction in agency workers at Jaguar Land Rover’s Lode Lane plant.
“The management have told me that this move is necessary in order to refit the plant for the production of modern, electric vehicles, and represents a long-term commitment to Solihull.
“I will stay in close contact with JLR to ensure that local residents are kept up-to-date and that our concerns are properly addressed.”