Logo of Jaguar Land Rover
Credit: Reuters Photo
London: Jaguar Land Rover will pause shipments of its Britain-made cars to the United States for a month, as it considers how to mitigate the cost of President Donald Trump's 25 per cent tariff, according to a report in the Times newspaper.
Jaguar Land Rover, which is owned by India's Tata Motors, did not immediately respond to a request for comment on Saturday.
A pause in shipments would add to fears over the impact from tariffs on Britain's car industry, which employs 2,00,000 people directly. The United States is the second-biggest importer of British-made cars after the European Union, with nearly a 20 per cent share, data from industry body SMMT shows.
Jaguar Land Rover, one of Britain's biggest producers by volume, sells 4,00,000 Range Rover Sports, Defenders and other models annually. Exports to the US account for almost a quarter of those sales.
The US 25 per cent tariff on imported cars and light trucks took effect on April 3. The previous day, Trump announced tariffs on other goods from countries across the globe, upending world trade.
Britain has said it is focused on trying to secure a trade deal with Washington.
The Times said that Jaguar Land Rover is thought to have a couple of months' supply of cars already in the US, which will not be subject to the new tariffs.