By GB News (Politics) | Created at 2025-04-05 12:42:16 | Updated at 2025-04-06 02:39:24
13 hours ago
Jaguar Land Rover is halting shipments of its British-made cars to the US as the repercussions of Donald Trump’s tariffs continue to impact the global economy.
Beginning Monday, one of Britain’s largest carmakers will pause shipments while it figures out how to manage the cost of the 25 per cent import tariff imposed by the US President.
This month-long suspension is part of a broader set of actions the Indian-owned carmaker - which employs 38,000 people in the UK - is taking to assess the damage caused by Trump’s trade war.
It is believed that JLR has a couple of months’ worth of cars already in the US that are not subject to the new tariffs.
The company’s best-selling models in the US include the Range Rover Defender and Range Rover Sport
GETTY
Trump’s tariffs have sparked concerns about the potential effects on Britain’s exports and jobs in the automotive sector.
The IPPR think tank has warned that up to 25,000 jobs could be at risk, not including the extensive supply chain, primarily based in the West Midlands, that provides carmakers with steel, plastics, fabrics, and engine parts.
JLR is particularly vulnerable to Trump’s trade war due to the US being its largest market in terms of revenue.
In the year ending March 2024, JLR reported £30billion in sales, with £6.5billion coming from the US, £5.4billion from China, £5 billion from Britain, and £5.3billion from the rest of Europe. An additional £6.5billion came from other global markets.
Trump’s tariffs have sparked concerns about the potential effects on Britain’s exports and jobs in the automotive sector
REUTERS
Since being acquired by the Indian conglomerate Tata in 2008, JLR has been evaluating whether it can raise prices for American consumers or shift focus to increasing sales in other markets outside the US.
The company is also considering ways to cut costs, including reducing marketing and promotional efforts.
Although JLR declined to comment on the specific measures it is considering in response to Trump’s tariffs, it did state that there are “no current plans” to reduce its workforce.
In addition to its UK staff, the company employs 6,000 people globally.
On Wednesday, following Trump’s announcement of his sweeping tariffs on what he called “liberation day,” JLR issued a brief statement, saying:
“Our luxury brands have global appeal and our business is resilient, accustomed to changing market conditions. Our priorities now are delivering for our clients around the world and addressing these new US trading terms.”
