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Aston Martin has attributed a profit warning to US-imposed tariffs, while simultaneously calling on the UK government for more active assistance.

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

Requesting Government Support

The carmaker expressed frustration with the British leadership, telling investors that while it has communicated with representatives from both the UK and US, it had positive discussions with the US administration but needed greater initiative from British officials.

It urged British authorities to safeguard the interests of niche automakers such as itself, which provide thousands of jobs and contribute to local economies and the broader UK automotive supply chain.

Global Trade Effects

Trump has shaken the worldwide markets with a trade war this year, heavily impacting the automotive industry through the introduction of a 25 percent duty on 3rd April, in addition to an existing 2.5% levy.

During May, American and British leaders agreed to a agreement to limit tariffs on 100,000 British-made vehicles annually to 10%. This tariff level came into force on 30th June, aligning with the last day of the company's second financial quarter.

Agreement Criticism

However, the manufacturer expressed reservations about the trade deal, stating that the introduction of a US tariff quota mechanism adds additional complications and limits the company's capacity to accurately forecast earnings for the current fiscal year-end and possibly each quarter starting in 2026.

Additional Factors

Aston Martin also cited reduced sales partially because of greater likelihood for supply chain pressures, especially following a recent digital attack at a leading British car producer.

UK automotive sector has been rattled this year by a cyber-attack on Jaguar Land Rover, which led to a manufacturing halt.

Market Reaction

Shares in the company, listed on the LSE, fell by over 11 percent as trading opened on Monday morning before recovering some ground to stand 7 percent lower.

The group sold 1,430 vehicles in its third quarter, missing previous guidance of being roughly equal to the one thousand six hundred forty-one vehicles sold in the same period the previous year.

Upcoming Initiatives

The wobble in sales coincides with Aston Martin gears up to release its Valhalla, a mid-engine hypercar priced at approximately £743,000, which it expects will increase profits. Deliveries of the car are expected to start in the final quarter of its fiscal year, although a forecast of approximately one hundred fifty units in those final quarter was below previous expectations, reflecting engineering delays.

Aston Martin, famous for its roles in the 007 movie series, has started a evaluation of its upcoming expenditure and spending plans, which it said would probably result in lower spending in engineering and development versus earlier forecasts of approximately £2 billion between its 2025 and 2029 financial years.

Aston Martin also informed investors that it no longer expects to generate positive free cash flow for the second half of its present fiscal year.

The government was contacted for a statement.