Tata Motors Hit by 25% U.S. Tariff, Shares Drop Sharply

Tata Motors shares fell 8 per cent on Monday after Jaguar Land Rover suspended shipments of its British-built vehicles to the United States following the implementation of a 25 per cent tariff imposed by President Donald Trump.

The suspension marks a shift in the automaker’s export strategy as the tariff took effect, further impacting the stock, which has declined by 20 per cent since the duties were announced on March 26. In comparison, the Nifty 50 index dropped 6 per cent during the same period, including a 4 per cent decline on Monday.

Industry data from the Society of Motor Manufacturers and Traders indicates that the United States ranks as the second-largest importer of British-made cars, trailing only the European Union. The U.S. market, which accounted for more than 25 per cent of Jaguar Land Rover’s global sales last year, represents a key growth area for models such as the Range Rover Sport and Defender.