Jaguar Land Rover (JLR) has announced a temporary suspension of vehicle exports to the United States following the introduction of a new 25% import tariff imposed by US President Donald Trump.
The British automotive manufacturer, known for its Jaguar, Land Rover, and Range Rover brands, cited the need to adapt to these updated trade policies. The tariffs, which came into effect on Thursday, apply to all foreign-made cars entering the US.
In the third quarter of 2024, JLR shipped approximately 38,000 vehicles to the American market—a figure nearly equal to the combined total exported to the UK and European Union.
A company representative emphasized the significance of the US market, stating: “The United States remains a vital destination for JLR’s premium vehicles. While we evaluate and adjust to the recent trade developments, we are taking immediate steps—including a pause in shipments for April—as we refine our strategy for the medium and long term.”
This move follows an earlier statement from the company, issued before Trump introduced a new universal 10% baseline tariff on imported goods. That measure, which the former president dubbed “liberation day,” began on Saturday.
Despite the disruption, JLR assured customers of its operational strength, saying the firm is well-prepared to navigate evolving market dynamics. “We remain focused on meeting the needs of our clients globally and aligning our approach with the new US trade rules,” the company added.
The broader global market has felt the effects of the tariff policy, with shares across the FTSE 100 falling sharply on Friday. Notably affected were sectors like engineering, finance, and natural resources—including companies like Rolls-Royce and major mining groups.
According to the UK’s Office for National Statistics, automobiles are the most valuable product category exported from the UK to the US, generating around £8.3 billion in the 12 months leading to the end of September 2024. For British car manufacturers, the US is second only to the EU in terms of export volume.
Trade organizations have raised concerns that the tariffs could prompt manufacturers to reconsider their trade priorities. Additionally, a study by the Institute for Public Policy Research warned that more than 25,000 UK automotive jobs could be in jeopardy due to the new duties.
