Jaguar Land Rover Temporarily Halts U.S Shipments Amid Tariffs

Jaguar Land Rover (JLR), owned by Tata Motors, has paused shipments to the U.S. market this April. The move follows a 25% import tax on vehicles imposed by U.S. President Donald Trump. JLR described the U.S. as a vital market and stated it is now adjusting to new trade rules with business partners.

The pause is a short-term step. The company aims to finalize longer-term strategies to manage the new tariffs. Analysts believe other British carmakers may soon follow this approach. Britain's auto sector faces pressure from falling domestic demand and the costly transition to electric vehicles.

David Bailey, a University of Birmingham professor, predicts more stoppages. He said automakers will reassess their plans amid rising costs and trade uncertainty. Recent data shows U.K. car production fell 13.9% last year to 779,584 units. Over 77% of these vehicles were exported.

The Society of Motor Manufacturers and Traders (SMMT) voiced concern. CEO Mike Hawes said the timing worsens an already challenging period. He urged swift trade talks to protect jobs and growth. The SMMT has stayed in regular contact with the U.K. government to seek solutions.

To soften the tariff’s impact, carmakers rushed to build inventories in the U.S. JLR was among them. U.K. car exports to the U.S. jumped 38.5% in Dec, 12.4% in January and 34.6% in February.

According to official figures, British automakers shipped £8.3 billion ($10.7 billion) worth of cars to the U.S. in the 12 months through September. Cars remain Britain’s largest goods export to the U.S. However, goods make up a smaller portion of overall trade. Services account for 68.2% of the £179.4 billion ($231.2 billion) in total U.K.-U.S. trade during the same period.

JLR is not independently listed. But looking at the parental company, Tata Motors (TATAMOTORS.BO) trades on India’s BSE. Its stock closed at INR 613.85 on April 4th, 2025 (6.15%).

Technical Analysis: Bearish Momentum Since July 2024 Highs

Tata Motors stock peaked at INR 1179 in July 2024. Since then, it has shown a sharp downtrend. It has surged in bearish momentum and has been breaking major support levels. In late January 2025, the price broke below key support at INR 715 and has retested it in March 2025. Currently, it trades lower and is approaching the next support at around INR 591.

If this level fails to hold, the price may fall to INR 525. The downtrend has persisted for months, indicating sustained bearish pressure in the market. The weekly RSI now reads 32, derived from deep bearish sentiment. If the RSI dips further, it may signal oversold conditions. However, the current momentum suggests the stock could still drop.

If INR 591 holds, a short-term bounce may follow, with a short-term recovery phase that could push the stock toward the descending trendline. Still, bears maintain control for now, and a break below 591 may accelerate further losses.