Jaguar and Land Rover Cars manufacturer, Trump management said that after bringing a 25% tariff to all automobile imports, it will pause exports to the USA.
The British car manufacturer said on Saturday that the pause is a short -term action because it works to address new trade conditions with business partners. The automotive company added that the pause on posts will enter into force this month.
“The US is an important market for JLR’s luxury brands. While working to address new trade conditions with our business partners, we are doing some short -term transactions, including a shipment pause in April while developing our mid -term long -term plans.”
~ Jaguar Land Rover Automotive.
Jaguar Land Rover (JLR) said the US is an important market for luxury cars and brands. According to the real pages of the UK Ministry of Business and Trade, cars are the most exported goods from the UK to the United States. Until the end of the third quarter 2024 in four quarters, car exports was an amazing £ 8.3 billion.
Other automobile manufacturers can also pause US exports
Analysts estimate that other car manufacturers will follow JLR steps and pause US exports. The tariffs added more pressure on the automotive industry in the UK. The demand for British -made cars is reduced in Turkey and Europe, while sales in China decreased. In addition, since factories are required to overhaul existing machines, British car manufacturers are delayed in the electric vehicles race.
Birmingham University Professor David Bailey said “Most of the UK car already work well below the capacity and the tariffs will be hit more for a struggling industry.” “Production cuts and business losses are likely, ve he believes that the number of risks at risk is underestimated due to the US tariffs.
Bailey thinks that JLR will continue to fight unless it creates a US -based automotive factory. Accordingly Reuters, German automobile manufacturers Audi, Mercedes and BMW are planning to expand their operations in the United States. Tariffs pressure on international automobile manufacturers to move operations to the United States and make Trump’s vision a reality.
British automobile manufacturers took measures to reduce the impact of US tariffs by increasing exports in the states and building stocks months before their implementation. According to data from the Motor Producers and Traders Association (SMMT), automobile exports to the US in December, January and February increased by 38.5%, 12.4%and 34.6%, respectively.
On April 3, United said that he applied 25% tariffs for imported vehicles. This tariff applies to vehicles from all countries, including those who are covered by the United States-Meksika-Canada Agreement (USMCA). On May 3, 2025, the US will apply 25% more tariffs to all imported automobile spare parts.
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