Jaguar Land Rover will suspend shipments of its British-made cars to the United States for a month as the company considers ways to ease the costs of US President Donald Trump's 25% tariff, Reuters reports.
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Jaguar Land Rover, owned by India's Tata Motors, has confirmed a temporary halt to exports to the United States.
“While we work to resolve new trading conditions with our business partners, we are taking some short-term measures, including suspending shipments in April, as we develop our medium and long-term plans,” the company said in a statement.
The UK car industry, which directly employs 200,000 people, is highly vulnerable to the new tariffs, according to industry body SMMT. The United States is the second-largest importer of British cars after the European Union, with a share of almost 20%.
Jaguar Land Rover, one of Britain's biggest carmakers, said the US was an important market for its luxury brands. The company sells 400,000 Range Rover Sports, Defenders and other models each year, and exports to the US account for almost a quarter of sales.
Let us recall
The 25% U.S. tariff on imported cars and trucks went into effect on April 3, a day after Trump announced tariffs on other goods from countries around the world.
Britain said it was focused on trying to secure a trade deal with Washington.
The Times reports that Jaguar Land Rover likely has several months' worth of vehicles in stock for U.S. sales that are not subject to the new tariffs.
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