JLR Resumes US Exports After Tariff Halt
Anis
10 hours ago
Jaguar Land Rover (JLR) has resumed exports to the US after a temporary halt that began on April 7 due to the Trump tax.
JLR faces a 25% tariff on vehicles imported into the United States due to a Trump administration policy. Despite this, JLR will continue shipping to the US, a critical market that makes up a quarter of their worldwide sales, representing over 100,000 of their 430,000 annual sales.
The first shipment is expected in American ports in mid-to-late May. This gives JLR roughly two weeks to negotiate a trade agreement to avoid a potential 25% price increase on their vehicles.
While the Trump administration reduced taxes on raw materials such as steel, aluminum, and auto parts, tariffs on imported vehicles remain.
To mitigate the increased expenses of importing cars, the US government plans to offer manufacturers annual subsidies for three years. This initiative aims to incentivize import brands to relocate their production to the United States.
Several European automakers, not just JLR, temporarily stopped shipments to the US due to tariff concerns. Aston Martin, Audi, and Lotus also paused exports to assess whether they or their customers would bear the tariff costs.
Aston Martin decided to split the cost, but JLR, which also lacks US production, hasn't announced how it will handle the increased expenses.
Written By
Anis
Previously in banking and e commerce before she realized nothing makes her happier than a revving engine and gleaming tyres........
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