🔗 Share this article Aston Martin Releases Earnings Alert Due to US Tariff Pressures and Requests Government Assistance The automaker has blamed an earnings downgrade to Donald Trump's trade duties, as it urging the British authorities for greater active assistance. This manufacturer, producing its vehicles in Warwickshire and south Wales, revised its profit outlook on Monday, representing the second such downgrade this year. It now anticipates deeper losses than the previously projected £110 million shortfall. Seeking Government Backing Aston Martin voiced concerns with the British leadership, informing investors that despite having engaged with officials from both the UK and US, it had productive talks with the American government but required more proactive support from UK ministers. It urged UK officials to protect the needs of niche automakers like Aston Martin, which provide numerous employment opportunities and contribute to regional finances and the wider British car industry network. International Commerce Effects Trump has shaken the global economy with a trade war this year, heavily impacting the automotive industry through the imposition of a 25 percent duty on 3rd April, on top of an previous 2.5% levy. In May, American and British leaders agreed to a agreement to cap tariffs on one hundred thousand British-made vehicles annually to 10 percent. This tariff level took effect on 30th June, aligning with the last day of Aston Martin's second financial quarter. Trade Deal Concerns Nonetheless, Aston Martin expressed reservations about the bilateral agreement, arguing that the introduction of a US tariff quota mechanism introduces further complexity and limits the company's ability to precisely predict financial performance for this financial year end and potentially quarterly from 2026 onwards. Additional Challenges The carmaker also pointed to reduced sales partially because of greater likelihood for logistical challenges, particularly after a recent cyber incident at a leading British car producer. UK automotive sector has been shaken this year by a digital breach on Jaguar Land Rover, which led to a production freeze. Market Response Shares in Aston Martin, traded on the London Stock Exchange, fell by over 11 percent as trading opened on Monday morning before partially rebounding to stand down 7%. The group sold 1,430 vehicles in its third quarter, missing earlier projections of being roughly equal to the one thousand six hundred forty-one vehicles delivered in the equivalent quarter the previous year. Future Plans The wobble in demand coincides with the manufacturer prepares to launch its Valhalla, a rear-engine hypercar priced at around $1 million, which it expects will increase profits. Shipments of the vehicle are scheduled to begin in the last quarter of its fiscal year, although a projection of about 150 deliveries in those final quarter was below earlier estimates, due to engineering delays. Aston Martin, famous for its roles in James Bond films, has started a evaluation of its future cost and investment strategy, which it indicated would likely result in reduced capital investment in engineering and development versus previous guidance of approximately £2 billion between its 2025 and 2029 fiscal years. Aston Martin also told investors that it no longer expects to achieve positive free cash flow for the second half of its present fiscal year. UK authorities was approached for a statement.