British automaker Jaguar Land Rover has halted all shipments to the U.S. for a month while it assesses the impact of U.S. President Donald Trump’s tariffs on its vehicles and auto parts.
The halt by the high-end vehicle manufacturer comes after U.S. President Donald Trump placed a 25% duty on all vehicle imports and threatened tariffs on imported auto parts starting May 3.
Jaguar Land Rover, which is one of Britain’s biggest carmakers, described the U.S. as “an important market” for the firm’s pricey luxury brands.
An escalating trade war is expected to have an impact on the entire automotive industry given the global integration of supply chains and worldwide manufacturing operations.
Since Trump’s auto tariffs went into effect, other automakers have announced plans to raise prices, impose import fees, pause production, and layoff workers.
U.K. Prime Minister Keir Starmer has said his government would react with “cool and calm heads” to Trump’s tariffs and rely on negotiations to strike a potential U.S. trade deal.
Alongside a 25% tariff on all U.S. vehicle imports, as well as on steel and aluminum products, the U.K. was among many nations to be hit with a 10% baseline import duty by the Trump administration.
The tariff rollout has sparked a rout in stock markets worldwide, with the benchmark U.S. S&P 500 index now in a bear market defined as a decline of 20% or more from recent highs.
Jaguar Land Rover is owned by India’s Tata Motors, which it acquired from Ford Motor Co. (F) in 2008. However, Jaguar Land Rover’s headquarters remains in the United Kingdom (U.K.).