Vehicles outside a Land Rover dealership in Tucson, Arizona, US, on Tuesday, April 1, 2025.
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British carmaker Jaguar Land Rover said it will pause U.S. shipments for a month as it assesses the impact of U.S. President Donald Trump’s tariffs on vehicle imports.
It comes as disruption from the Trump administration’s sweeping tariff rollout roils global stocks and sends shockwaves through the automotive industry.
The U.S. president has implemented a 25% tariff on all foreign cars imported into the country, a move that came into effect on Thursday. The White House also said it intends to place tariffs on some auto parts no later than May 3.
“As we work to address the new trading terms with our business partners, we are enacting our planned short-term actions including a shipment pause in April, as we develop our mid- to longer-term plans,” a spokesperson for Jaguar Land Rover told CNBC via email on Sunday.
Jaguar Land Rover, which is one of Britain’s biggest carmakers, described the U.S. as “an important market” for the firm’s luxury brands.
An escalating trade war is expected to have a profound impact on the global car industry, particularly given the high globalization of supply chains and the heavy reliance on manufacturing operations across North America.
Indeed, in the days since Trump’s auto tariffs came into effect, car giants have responded by announcing plans to raise prices, impose import fees, pause production and even lay off staff.
U.K. Prime Minister Keir Starmer has said his government would react with “cool and calm heads” to Trump’s tariffs, with negotiations to strike a potential U.S. trade deal ongoing.
Alongside a 25% tariff on car exports, as well as steel and aluminum products, the U.K. was among many to be hit with a 10% baseline import duty this week.