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Aston Martin has blamed a profit warning to Donald Trump's tariffs, while simultaneously urging the UK government for more proactive support.

The company, producing its vehicles in factories across England and Wales, lowered its earnings forecast on Monday, representing the another revision in the current year. The firm expects a larger loss than the earlier estimated £110 million deficit.

Requesting Official Backing

Aston Martin expressed frustration with the UK government, informing investors that despite having engaged with representatives from both the UK and US, it had productive talks directly with the US administration but required greater initiative from British officials.

The company called on UK officials to safeguard the interests of small-volume manufacturers such as itself, which create thousands of jobs and contribute to regional finances and the wider British car industry network.

Global Trade Impact

The US President has shaken the worldwide markets with a tariff conflict this year, heavily impacting the automotive industry through the imposition of a 25% tariff on 3rd April, on top of an previous 2.5% levy.

During May, the US president and Keir Starmer reached a agreement to cap duties on one hundred thousand British-made vehicles annually to 10 percent. This rate took effect on 30th June, coinciding with the final day of the company's second financial quarter.

Agreement Concerns

Nonetheless, the manufacturer criticised the bilateral agreement, stating that the implementation of a US tariff quota mechanism adds further complexity and restricts the group's capacity to precisely predict earnings for the current fiscal year-end and potentially quarterly from 2026 onwards.

Other Factors

Aston Martin also pointed to reduced sales partly due to greater likelihood for logistical challenges, particularly following a recent cyber incident at a major UK automotive manufacturer.

The British car industry has been shaken this year by a cyber-attack on Jaguar Land Rover, which prompted a production freeze.

Financial Reaction

Shares in Aston Martin, listed on the LSE, dropped by more than 11% as markets opened on Monday morning before recovering some ground to be 7 percent lower.

Aston Martin sold one thousand four hundred thirty vehicles in its Q3, missing previous guidance of being broadly similar to the 1,641 cars delivered in the equivalent quarter the previous year.

Upcoming Initiatives

The wobble in demand coincides with Aston Martin prepares to launch its Valhalla, a rear-engine hypercar priced at around $1 million, which it expects will increase profits. Deliveries of the car are scheduled to begin in the final quarter of its fiscal year, although a forecast of approximately one hundred fifty deliveries in those three months was below earlier estimates, reflecting engineering delays.

Aston Martin, well-known for its appearances in the 007 movie series, has initiated a review of its future cost and investment strategy, which it indicated would likely lead to reduced capital investment in R&D compared with previous guidance of approximately £2 billion between its 2025 to 2029 financial years.

The company also informed shareholders that it no longer expects to achieve profitable cash generation for the latter six months of its current year.

UK authorities was contacted for a statement.