London – British luxury carmaker Jaguar Land Rover has reaffirmed its commitment to UK-based production, stating it has no plans to establish manufacturing facilities in the United States despite ongoing trade friction and tariff uncertainty under the Trump administration. This decision could hold wider implications for ASEAN economies navigating the ripple effects of protectionist trade policies.
The confirmation followed CEO comments during the company’s annual earnings briefing, prompting media speculation about a potential shift in production strategy. “We can confirm we have no plans to build cars in the US,” a Jaguar spokesperson told the BBC.
Jaguar, which currently lacks any assembly plants in the United States, had temporarily paused shipments to the country in April after the first wave of tariffs was announced. While exports resumed in May, the firm, along with other global players, has opted not to provide profit forecasts amid market volatility.
The automotive industry remains under pressure following Washington’s imposition of a 10% tariff on UK exports, with additional duties on cars, steel, and aluminium. Although select exemptions were granted—allowing limited British vehicle imports at reduced rates—wider tariff burdens continue to affect international supply chains and business confidence.
In Southeast Asia, where manufacturing and export strategies are closely tied to global trade flows, Jaguar’s stance highlights the growing complexities multinationals face. As global brands weigh localization strategies against regulatory risk, ASEAN nations must assess how such shifts could influence investment and bilateral trade dynamics.
Other major automakers, including Mercedes-Benz and Stellantis, have also withheld profit outlooks. US-based Ford projects that tariffs will cost the company around $1.5 billion in 2025 alone. Beyond the auto sector, consumer brands such as Adidas, Mattel, and Procter & Gamble are warning of rising prices as a result of shifting trade costs.
Jaguar’s decision sends a clear signal: in an era of fragmented global trade, maintaining strategic consistency may outweigh the perceived benefits of reactive localization. For ASEAN economies reliant on export-import equilibrium, this underlines the need for clearer, cooperative trade frameworks to safeguard long-term regional competitiveness.
