Robert Besser
09 Apr 2025, 16:03 GMT+10
LONDON, U.K.: Jaguar Land Rover has become one of the first major carmakers to pause exports to the United States in response to the Trump administration's sweeping new auto tariffs, as companies scramble to reassess trade and pricing strategies.
The UK-based luxury automaker, owned by India's Tata Motors, confirmed on Saturday that it would halt shipments of its British-made cars to the U.S. for the month of April while it evaluates the impact of the newly imposed 25% tariff on imported vehicles.
"As we work to address the new trading terms with our business partners, we are taking some short-term actions, including a shipment pause in April, as we develop our mid- to longer-term plans," JLR said in an emailed statement.
The move was first reported by The Times, which stated that JLR already has sufficient inventory in the U.S. to cushion any short-term disruption. According to the report, several months' worth of supply is available on American lots and will not be subject to the new tariff.
The U.S. is a key market for Jaguar Land Rover, which sells around 400,000 vehicles annually globally, including popular models such as the Range Rover Sport and the Defender. Exports to the United States make up nearly a quarter of its total sales.
"The U.S. was an important market for its luxury brands," the company added, underscoring the potential commercial impact of the tariff.
The new duties, part of a broader trade policy announced by President Donald Trump, took effect on April 3 and apply to imported cars and light trucks. They follow a broader set of tariffs imposed on goods from multiple nations, including allies such as the UK.
Britain's government has stated it remains committed to securing a trade agreement with Washington to ease the pressure on UK industries.
The UK's car sector, which employs around 200,000 workers directly, is particularly exposed. According to data from the Society of Motor Manufacturers and Traders (SMMT), the U.S. is Britain's second-largest auto export destination after the EU, accounting for nearly 20% of total shipments.
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