File – An F -Type Invend 2021 coupe is at a Jaguar dealership in this photo taken on Sunday May 2, 2021 in Littleton, Colo.
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David Zalubowski / AP
London – The manufacturer of cars Jaguar and Land Rover stops shipments in the United States while the automotive industry in British difficulty begins to respond to the 25% tax on imports of vehicles imposed by President Donald Trump.
Jaguar Land Rover Automotive, one of the largest car manufacturers in Great Britain, said on Saturday that the break would take place this month.
“The United States is an important market for JLR luxury brands,” the company said in a statement. “While we work to resolve new commercial terms with Out Business Partners, we take short -term actions, including a shipping break in April, while we are developing our medium -term plans.”
Analysts said they expect other car manufacturers to take the plunge, because the increased prices lead to more pressure on an industry that already has trouble with the drop in demand at home and the need to reorganize their factories for the transition to electric vehicles.
“I expect similar stops from other producers, because companies take stock of what is going on,” said David Bailey, an expert in the automotive industry and professor of commercial economics at the University of Birmingham.
The number of cars made in the United Kingdom dropped from 13.9% to 779,584 vehicles last year, according to the SMMT. More than 77% of these vehicles were intended for the export market. British factories export cars such as Nissan’s Qashqai and Juke, BMW Mini and Toyota Corolla, as well as Land Rover and Jaguar models.
“The industry is already confronted with several opposite winds and this announcement arrives at the worst time possible,” said Mike Hawes, director general of the Society of Motor Manufacturers and Traders of the United Kingdom last week. “SMMT is in constant contact with the government and will seek trade discussions to speed up because we must obtain a path to follow which supports jobs and economic growth on both sides of the Atlantic.”
British car manufacturers have already taken measures to reduce the immediate impact of prices by building stocks in the United States before the increase takes effect. SMMT figures show that exports to the United States jumped 38.5% compared to the previous year in December, 12.4% in January and 34.6% in February.
“It was manufacturers like JLR who tried to get ahead of the game in terms of storage in the United States before the implementation of prices,” said Bailey.
British car manufacturers have sent 8.3 billion pounds ($ 10.7 billion) of vehicles in the United States over the 12 months until September, making the largest export of goods to the United States, according to government statistics.
But cars constitute a relatively low part of the global trade between Great Britain and the United States, which is strongly balanced towards services.
Great Britain exported 179.4 billion pounds (231.2 billion dollars) of goods and services in the United States in the year until September, the services representing 68.2% of this figure.
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