Impact of US Tariffs on Tata Motors and JLR

The profitability of Tata Motors' flagship, Jaguar Land Rover (JLR), faced a significant hit due to tariffs imposed by US President Donald Trump, leading to a 30% decline in the Indian company's overall profitability.

Future Prospects Amidst Trade Deals

Adrian Mardell, the outgoing JLR chief, remains optimistic about the future, citing new trade agreements between the US and the UK, and the EU and the US, which are expected to reduce tariffs and mitigate financial impacts in upcoming quarters.

Financial Performance and Market Reaction

JLR's operating profit plummeted by 49% to 351 million pounds, with revenues also dropping by 10% to 6.6 billion pounds, as exports to the US were temporarily halted and older Jaguar models were phased out.

Despite criticism from Trump, JLR stands firm on its new branding strategy, even as Tata Motors reports a reduced profit of Rs 4,003 crore in Q1 FY26.