April 5, 2025 – London — British luxury carmaker Land Rover has announced a one-month suspension of all vehicle shipments to the United States, citing the need to assess the financial impact of a newly imposed 25 percent US tariff on imported automobiles.
The decision marks a significant shift for Land Rover, which relies heavily on the US market as its largest source of global revenue.
According to The Times, the suspension, which takes effect Monday, is part of Land Rover’s broader strategy to navigate the challenging trade landscape following the sudden tariff increase. The company, part of the Jaguar Land Rover (JLR) group, exports approximately 100,000 vehicles to the United States each year—representing around 25 percent of its total global sales. With revenues from the US market topping £6.5 billion ($8.4 billion) last year, the tariff poses a significant threat to the automaker’s bottom line.
While Land Rover currently has a two-month inventory of vehicles already in the US and unaffected by the new tariffs, the company is considering several responses. These include raising vehicle prices for American consumers, implementing cost-cutting measures within its manufacturing operations, and diverting exports to alternative international markets.
In a statement issued Wednesday, Land Rover emphasized its commitment to customers: “Our priorities now are delivering for our clients around the world and addressing these new US trading terms.”
Industry analysts warn that the longer these tariffs remain in effect, the more damaging the consequences could be for the U.K. automotive sector. The West Midlands, a region deeply tied to Land Rover’s production and supplier network—including parts manufacturers for steel, plastics, and engines—could be especially vulnerable. Reports suggest that up to 25,000 jobs may be at risk if the trade conflict intensifies or persists.
The United States is the second-largest export destination for British-made vehicles after the European Union, accounting for nearly 20 percent of total exports. The Society of Motor Manufacturers and Traders (SMMT) echoed concerns, stating that sustained trade restrictions could further disrupt an already fragile global supply chain.
With this move, Land Rover joins other global automakers in reevaluating their US operations amid rising protectionist trade policies.