by Jaguar Land Rover has resumed supplying vehicles to the US.
Export was suspended due to the introduction of a 25 percent customs duty.
The American market accounts for a quarter of the brand’s global sales, where it does not have its own production.
Jaguar Land Rover dealerships in the States felt relief after a month of uncertainty. The manufacturer confirmed the resumption of supplies, which were halted in early April due to former President Trump’s decision on duties for imported cars.
Although the tax burden of 25% remains, the company cannot afford to lose the American market. Approximately 100 thousand cars are sold here annually – a quarter of the total sales volume of 430 thousand units.
The current shipments feature exclusively Land Rover models, as Jaguar has suspended production during the transition to a fully electric lineup. The first ship with British cars in the last month has already set sail for America, as reported by The Times.
“In the process of adapting to new trade conditions, we took temporary measures, including a pause in supplies in April, while simultaneously developing a long-term strategy,” the company’s statement said five weeks ago. Now, by sending new batches, the manufacturer promises to disclose the details of its plans during the presentation of annual results at the end of the month.
JLR is not the only European automaker that temporarily stopped exports to the US. Aston Martin, Audi, and Lotus also halted supplies, deciding who would bear the additional costs – the manufacturer or the buyer. Aston Martin chose a compromise option with cost sharing, while Jaguar Land Rover has not yet disclosed its pricing strategies.
Inventories and dealer tactics
The company still has stocks of cars imported before the duties were introduced, which are not subject to the new rules. Dealers are using the threat of future price increases as an argument for clients to stimulate them to make a quick purchase.
“The introduction of new customs rules will inevitably lead to price increases for consumers in the near future,” warns a message on the website of the Land Rover dealer in Thousand Oaks.
“To avoid future changes in pricing, the best time to buy is now. Purchasing a car before the duties fully impact the market will allow you to get more favorable terms,” advises the dealership.
