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Aston Martin has blamed an earnings downgrade to US-imposed tariffs, while simultaneously urging the British authorities for greater active assistance.

This manufacturer, which builds its cars in Warwickshire and south Wales, lowered its earnings forecast on Monday, representing the second such revision this year. The firm expects deeper losses than the earlier estimated £110m deficit.

Seeking Official Backing

Aston Martin expressed frustration with the British leadership, informing investors that while it has communicated with officials on both sides, it had productive talks directly with the American government but needed more proactive support from British officials.

The company called on British authorities to protect the interests of small-volume manufacturers like Aston Martin, which create thousands of jobs and contribute to regional finances and the wider British car industry network.

Global Trade Impact

Trump has disrupted the worldwide markets with a tariff conflict this year, significantly affecting the automotive industry through the imposition of a 25% tariff on 3rd April, on top of an previous 2.5% levy.

In May, American and British leaders reached a agreement to cap tariffs on one hundred thousand British-made vehicles per year to 10 percent. This tariff level came into force on 30th June, coinciding with the last day of the company's Q2.

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 group's capacity to precisely predict earnings for this financial year end and possibly each quarter starting in 2026.

Additional Factors

Aston Martin also cited reduced sales partially because of increased potential for supply chain pressures, particularly after a recent digital attack at a major UK automotive manufacturer.

UK automotive sector has been shaken this year by a digital breach on the country's largest automotive employer, which led to a manufacturing halt.

Market Response

Shares in Aston Martin, listed on the London Stock Exchange, fell by more than 11% as markets opened on Monday morning before partially rebounding to stand 7 percent lower.

Aston Martin sold one thousand four hundred thirty vehicles in its third quarter, falling short of earlier projections of being broadly similar to the 1,641 cars delivered in the equivalent quarter the previous year.

Upcoming Plans

The wobble in sales comes as the manufacturer prepares to launch its flagship hypercar, a mid-engine supercar priced at approximately $1 million, which it hopes will increase earnings. Shipments of the vehicle are scheduled to begin in the final quarter of its financial year, though a projection of approximately one hundred fifty units in those final quarter was lower than earlier estimates, due to engineering delays.

Aston Martin, famous for its appearances in James Bond films, has started a review of its future cost and investment strategy, which it said would probably lead to lower spending in R&D versus earlier forecasts of approximately £2 billion between its 2025 and 2029 financial years.

The company also told investors that it no longer expects to generate positive free cash flow for the second half of its present fiscal year.

UK authorities was contacted for a statement.