Jaguar Land Rover cars won't be built in the US
What's the story
Jaguar Land Rover, a leading UK-based automaker, has confirmed that it has no plans to set up vehicle manufacturing plants in the United States.
The decision comes in the wake of US President Donald Trump's tariffs on the auto industry.
To note, JLR had temporarily stopped shipments to the country in April, after Trump's first tariff announcements. However, exports resumed this month.
Implications
Impact of Trump's trade policies on UK goods
In early April, Trump had announced a 10% tariff on all goods exported from the UK to the US. This was followed by stricter measures impacting cars, steel, and aluminum.
However, last week saw the US agreeing to allow certain steel and aluminum imports without tariffs and reducing levies on a limited number of British cars.
Despite these changes, a blanket 10% tariff continues to apply on most UK goods entering America.
Economic impact
Other companies affected by US tariffs
Other luxury carmakers like Mercedes-Benz and Stellantis have also stayed away from forecasts due to these trade policies.
Ford has projected that US levies will cost it around $1.5 billion this year.
Outside the auto industry, several high-profile executives have recently warned about the adverse impact of tariffs on their companies and the economy at large.
Information
Defender SUV to be assembled in India
In related news, JLR is planning to assemble its Defender SUV in India. Currently, the Defender is priced in the range of ₹1.05-2.79 crore (all prices, ex-showroom). The locally-assembled version should cost ₹20 lakh less.