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3w ago

Jaguar Land Rover Halts U.S. Shipments in Response to 25% Tariff

The British carmaker pauses exports for one month to assess the financial impact of new U.S. trade measures, as concerns grow over broader economic repercussions.

A member of staff works on the production line at Jaguar Land Rover’s factory in Solihull, Britain, December 15, 2022. REUTERS/Phil Noble/File Photo
Range Rovers are popular with American celebrities, including Jennifer Lopez, who featured in Carpool Karaoke with James Corden
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Overview

  • Jaguar Land Rover (JLR) has temporarily paused U.S. shipments of its British-made vehicles for one month to evaluate the financial implications of President Trump's 25% tariff on imported cars and parts.
  • The tariff, which took effect on April 3, 2025, is part of broader U.S. trade measures that have disrupted global economic relations and raised concerns in key industries.
  • JLR, which generates nearly a quarter of its annual sales from the U.S., has a temporary buffer with existing inventory already in the U.S. that is not subject to the new tariffs.
  • The British automotive sector, employing 200,000 people directly, faces mounting fears of job losses and economic strain as the U.S. is its second-largest export market after the EU.
  • JLR is exploring mitigation strategies, including potential price increases for American consumers and cost-cutting measures, while stating there are no immediate plans for workforce reductions.