Tata Motors Shares Slide for Fourth Straight Day Despite US-UK Trade Pact

On Tuesday, June 17, 2025, Tata Motors shares extended their losing streak for a 4th straight day, falling another 1.5%. The fall in Tata Motors shares came even as the United Kingdom (UK) and the United States (US) signed a trade agreement on the sidelines of the G7 summit in Canada.

The stock was among the biggest laggards on the Nifty 50 index, weighed down by a cautious outlook from its UK-based subsidiary, Jaguar Land Rover (JLR), for the ongoing financial year.

US-UK Trade Deal Impact on JLR

As part of the new trade arrangement, tariffs on UK-made automobiles exported to the US will be reduced from 27.5% to 10%, effective at the end of June. However, this lower tariff will apply only to a capped annual quota of 1,00,000 vehicles. Details on additional UK products that will be exempt from the 25% US import duty are yet to be finalised.

Despite the apparent relief, the new tariff structure still exceeds the standard US import duty of 2.5% that existed before the imposition of the earlier punitive tariffs.

Tata Motors had shipped approximately 1,02,000 vehicles from the UK to the US in 2024, effectively maxing out the newly set quota under the revised trade terms.

Also Read: ITC, Swiggy, and Bajaj Auto Among Top Picks for Mutual Funds in May 2025

Tata Motors May 2025 Sales

Tata Motors Limited reported total sales of 70,187 units in May 2025 across domestic and international markets, reflecting a decline from 76,766 units sold in May 2024.

In the Medium and Heavy Commercial Vehicles (MH&ICV) segment, domestic sales—including trucks and buses—stood at 12,406 units in May 2025, slightly down from 12,987 units in the same month last year.

Meanwhile, the combined domestic and international MH&ICV sales for May 2025 reached 13,614 units, showing a marginal increase compared to 13,532 units sold in May 2024.

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