Jaguar and Land Rover Pause U.S. Shipments Over Tariffs

Last week, United States President Donald Trump announced sweeping tariffs that will have wide-reaching implications in many industries across the entire globe, and it sounds like it's already affecting the auto industry.

On Saturday, Jaguar Land Rover Automotive announced that the company would be pausing its shipments of its Jaguar and Land Rover cars to the United States as a result of the 25 percent tax on vehicle imports imposed by President Trump.

“The USA is an important market for JLR’s luxury brands,” the company said in a statement via the Associated Press. “As we work to address the new trading terms with out business partners, we are taking some short-term actions including a shipment pause in April, as we develop our mid- to longer-term plans.”

It's a pretty telling move from one of Britain's largest auto manufacturers, and industry experts expect more companies to follow suit.

“I expect similar stoppages from other producers as firms take stock of what is unfolding,” said David Bailey, an automotive industry expert and professor of business economics at the University of Birmingham.

This tariff comes as Britain's auto industry has already been struggling.

“The industry is already facing multiple headwinds and this announcement comes at the worst possible time,” Mike Hawes, chief executive of the U.K.’s Society of Motor Manufacturers and Traders, said last week. “SMMT is in constant contact with government and will be looking for trade discussions to accelerate as we need to secure a way forward that supports jobs and economic growth on both sides of the Atlantic.”

We'll have to see how the tariffs continue to impact the global economy.