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The automaker has blamed an earnings downgrade to Donald Trump's trade duties, while simultaneously calling on the British authorities for greater active assistance.

This manufacturer, producing its vehicles in factories across England and Wales, revised its profit outlook on Monday, marking the second such revision in the current year. It now anticipates a larger loss than the previously projected £110 million deficit.

Seeking Government Backing

The carmaker voiced concerns with the UK government, telling investors that while it has communicated with representatives on both sides, it had positive discussions with the US administration but needed more proactive support from UK ministers.

The company called on UK officials to protect the needs of niche automakers like Aston Martin, which provide thousands of jobs and add value to local economies and the broader UK automotive supply chain.

International Commerce Impact

The US President has disrupted the worldwide markets with a tariff conflict this year, significantly affecting the car sector through the introduction of a 25 percent duty on April 3, in addition to an previous 2.5% levy.

During May, the US president and Keir Starmer agreed to a deal to cap duties on 100,000 UK-built vehicles per year to 10%. This rate came into force on 30th June, aligning with the final day of Aston Martin's Q2.

Agreement Concerns

Nonetheless, the manufacturer expressed reservations about the bilateral agreement, arguing that the implementation of a US tariff quota mechanism adds additional complications and limits the group's ability to precisely predict earnings for this financial year end and potentially quarterly from 2026 onwards.

Other Challenges

The carmaker also pointed to reduced sales partially because of increased potential for supply chain pressures, particularly following 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 manufacturing halt.

Market Response

Stock in the company, listed on the LSE, dropped by more than 11% as markets opened on Monday at the start of the week before recovering some ground to stand down 7%.

Aston Martin delivered 1,430 cars in its Q3, missing earlier projections of being roughly equal to the 1,641 cars sold in the equivalent quarter last year.

Upcoming Plans

Decline in demand comes as Aston Martin prepares to launch its Valhalla, a mid-engine hypercar costing around $1 million, which it hopes will increase profits. Deliveries of the vehicle are scheduled to begin in the last quarter of its financial year, although a projection of approximately one hundred fifty deliveries in those final quarter was lower than previous expectations, reflecting engineering delays.

Aston Martin, well-known for its roles in James Bond films, has started a review of its upcoming expenditure and investment strategy, which it said would probably lead to reduced spending in engineering and development versus previous guidance of approximately £2 billion between its 2025 and 2029 fiscal years.

The company also informed shareholders that it does not anticipate to generate positive free cash flow for the latter six months of its current year.

UK authorities was approached for comment.