British Carmaker Jaguar Land Rover Pauses Shipments to U.S.
Jaguar Land Rover, the British luxury car manufacturer, said Saturday that he was stopping shipments in the United States in April, days after the entry into force of the car rates of President Trump.
The company, which produces luxury cars that include jaguaries, defenders and Range rover, has no production plants in the United States and exports all the cars it sells there. In the last three months of 2024, he sent 38,000 cars in the United States. The Trump administration has imposed on rate of 25 percent on cars imported from Thursday.
“The United States is an important market for JLR luxury brands,” said the company in a note. “While we work to deal with the new trading terms with our commercial partners, we are implementing our short -term actions, including a shipping break in April, while we develop our long -term long -term plans.”
The United States are the largest export market to single country for British cars, with 6.4 billion pounds ($ 8.3 billion) of vehicles sent there in 2023. This is about a tenth of the general exports of Great Britain in goods.
The car rates represent a particular challenge for British luxury car manufacturers, which also include Bentley and Aston Martin, because they sell relatively few vehicles and, therefore, tend to have only a small number of production sites. For them, the creation of production in the United States was not cheap, leaving them without an easy way to circumnavigate rates.
Jaguar Land Rover sells about a fifth of his cars in the United States. In his financial year that ended in March 2024, he sold around 95,000 cars and recorded income for sales of £ 6.5 billion for sales in the United States. If the company should add the entire cost of the rates to the price of its cars, it would add thousands of dollars.
Other British exports to the United States face a 10 % ratethat Mr. Trump announced last week on what he called “liberation day”. Until now, the British government has not reacted and officials have claimed to be focused on reaching a commercial agreement with the United States focused on technology. At the same time, officials are consulting companies in the next four weeks in a list of US imports that could face British retaliation rates.
The United States are the second largest commercial partner in Great Britain, although that trade is easily diminished by the flow of goods and services between Great Britain and the European Union. British trade with the United States is strongly distorted towards services.
The trade of goods, on which President Trump has concentrated, is relatively in balance. In 2023, Great Britain imported about £ 58 billion and exported about £ 60 billion, according to the British office for national statistics.
Tata Motors’ shares, the Indian mother company of Jaguar Land Rover, decreased by more than 9 % last week and are exchanged at the lowest level since mid -2023.
