JLR hits the brakes on US shipments over Trump tariffs
Jaguar Land Rover (JLR) is pausing shipments to the US in April, to asses the impact of Donald Trump’s tariffs.
A 25% tariff has been slapped on imported cars and light trucks and came into force on April 3.
A JLR spokesperson said: “The USA is an important market for JLR’s luxury brands. As we work to address the new trading terms with our business partners, we are enacting our short-term actions including a shipment pause in April, as we develop our mid to longer-term plans.”
Owned by Tata Motors, JLR sells around 400,000 Range Rover Sports, Defenders and other models around the world annually, but almost a quarter of its sales come from the US.
In Q3 of 2024, JLR exported 38,000 cars to the US – almost the same number sold to the UK and EU combined.
JLR employs around 11,000 people in the UK, across its key manufacturing plants in Solihull, Wolverhampton and Halewood, and its product engineering centre and head office in Gaydon, Warwickshire.
The US is Britain’s second largest car export market after the EU, worth around £7.6bn. Last year, UK car plants shipped more than 101,000 vehicles – mainly premium and luxury cars – to the US, representing just under 17% of all car exports. The industry provides work for around 813,000 people, with almost 200,000 employed directly in manufacturing.
Writing in the Sunday Telegraph, Sir Keir Starmer said he would work to secure a trade deal with the US and was holding talks over the weekend with other European leaders.
On the day that tariffs were implemented, SMMT chief Mike Hawes said: “These tariff costs cannot be absorbed by manufacturers, thus hitting US consumers who may face additional costs and a reduced choice of iconic British brands, whilst UK producers may have to review output in the face of constrained demand.”
