Latest News | Tata Motors Shares Dive 13 Pc After JLR Suspends Shipments from UK Plants to US over Tariff Changes
Get latest articles and stories on Latest News at LatestLY. Shares of Tata Motors on Monday morning tanked nearly 13 per cent after the company-owned Jaguar Land Rover paused vehicle shipments from its facilities in the UK to the US to work out new trading terms in the wake of changes in the tariff structure.
New Delhi, Apr 7 (PTI) Shares of Tata Motors on Monday morning tanked nearly 13 per cent after the company-owned Jaguar Land Rover paused vehicle shipments from its facilities in the UK to the US to work out new trading terms in the wake of changes in the tariff structure.
The stock slumped 11.61 per cent to Rs 542.55 -- its 52-week low -- on the BSE.
At the NSE, it tanked 12.72 per cent to hit the 52-week low of Rs 535.75.
Stock market benchmark indices went into a tailspin in early trade on Monday, with the Sensex and Nifty crashing over 5 per cent, mirroring a sharp fall in global equities, after US President Donald Trump's tariff hikes and retaliation from China fanned fears that a full-blown trade war will impact economic growth across the globe.
"The USA is an important market for JLR's luxury brands. As we work to address the new trading terms with our business partners, we are enacting our short-term actions, including a shipment pause in April, as we develop our mid- to longer-term plans," a JLR spokesperson said in a statement last week.
Earlier, on April 2, the company had stated that its luxury brands have global appeal and its business is resilient, accustomed to changing market conditions.
"Our priorities now are delivering for our clients around the world and addressing these new US trading terms," it noted.
Jaguar Land Rover (JLR) is deeply entrenched in the American market.
About 23 per cent of JLR's over 4 lakh units sold in FY24 were in the US. These were all exported from its UK plants.
Trump administration's 25 per cent tariff on imported cars came into effect on April 3.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)