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The automaker has blamed an earnings downgrade to US-imposed tariffs, while simultaneously urging the UK government for more proactive support.

The company, producing its cars in Warwickshire and south Wales, lowered its earnings forecast on Monday, representing the second such revision in the current year. The firm expects deeper losses than the previously projected £110m deficit.

Requesting Government Backing

The carmaker expressed frustration with the UK government, informing shareholders that despite having engaged with officials on both sides, it had positive discussions with the American government but needed more proactive support from UK ministers.

It urged UK officials to protect the interests of small-volume manufacturers such as itself, which provide thousands of jobs and add value to regional finances and the broader UK automotive supply chain.

Global Trade Effects

Trump has disrupted the worldwide markets with a trade war this year, heavily impacting 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 tariffs on one hundred thousand UK-built cars annually to 10 percent. This tariff level came into force on 30th June, aligning with the last day of the company's second financial quarter.

Trade Deal Criticism

Nonetheless, Aston Martin expressed reservations about the trade deal, stating that the introduction of a American duty quota system adds additional complications and limits the group's capacity to precisely predict financial performance for the current fiscal year-end and potentially each quarter starting in 2026.

Additional Factors

The carmaker also cited weaker demand partially because of increased potential for logistical challenges, especially after a recent digital attack at a major UK automotive manufacturer.

UK automotive sector has been shaken this year by a cyber-attack on Jaguar Land Rover, which led to a production freeze.

Financial Response

Stock in the company, listed on the London Stock Exchange, fell by more than 11% as markets opened on Monday morning before recovering some ground to be down 7%.

The group delivered one thousand four hundred thirty vehicles in its Q3, falling short of previous guidance of being roughly equal to the 1,641 cars sold in the equivalent quarter last year.

Upcoming Initiatives

The wobble in demand comes as the manufacturer gears up to release its flagship hypercar, a mid-engine supercar priced at around £743,000, which it expects will increase earnings. Deliveries of the car are expected to begin in the last quarter of its fiscal year, though a forecast of about 150 deliveries in those final quarter was below earlier estimates, reflecting engineering delays.

The brand, famous for its roles in the 007 movie series, has initiated a evaluation of its upcoming expenditure and spending plans, which it indicated would likely lead to lower spending in engineering and development versus previous guidance of approximately £2 billion between its 2025 and 2029 fiscal years.

Aston Martin also told shareholders that it does not anticipate to generate positive free cash flow for the latter six months of its current year.

The government was contacted for comment.