Jaguar Land Rover (JLR) has announced a pause in shipments to the United States this month as it navigates the new tariffs imposed by President Donald Trump, as reported by The Guardian. “In response to the alteration in trading terms with our partners, we are implementing some immediate measures, including a halt in shipments during April, while we formulate our plans for the mid to long term,” JLR shared with The Guardian. This decision comes as a direct reaction to the 25 percent tariff on imported vehicles that took effect on Thursday, which could increase the price of new cars in the US by $5,000 to $10,000 or more.
While JLR maintains that its business is “resilient,” there is a palpable sense of concern among residents of the town where the vehicles are produced, with some expressing fears that these tariffs might result in job losses. Approximately 25% of the 400,000 vehicles JLR sells annually are purchased by US customers, as highlighted by The Sunday Times in an article discussing the shipment pause. Current estimates suggest that JLR has enough inventory in the US to last about two months, and once shipments recommence, it would take around 21 days for additional stock to arrive, according to the Times.
JLR is not the only company facing challenges due to these tariffs. Earlier in the week, Nintendo attributed the delay of US preorders for the Switch 2, initially set to begin on April 9th, to Trump’s new tariffs. Following the tariff announcement, the US stock market experienced a historic drop of $6.6 trillion in just two days, as reported by The Wall Street Journal, with various industries preparing for adverse effects on both the cost and availability of a wide range of products, including high-performance GPUs used by AI companies, various gadgets, and even board games.