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Aston Martin has blamed a profit warning to US-imposed trade duties, while simultaneously urging the UK government for more active assistance.

The company, which builds its cars in factories across England and Wales, lowered its profit outlook on Monday, representing the second such revision in the current year. It now anticipates deeper losses than the earlier estimated £110m deficit.

Seeking Government Support

Aston Martin voiced concerns with the British leadership, informing shareholders that while it has communicated with officials on both sides, it had positive discussions with the American government but needed more proactive support from UK ministers.

The company called on UK officials to protect the interests of niche automakers such as itself, which provide numerous employment opportunities and add value to regional finances and the wider British car industry network.

International Commerce Impact

Trump has disrupted the worldwide markets with a trade war this year, significantly affecting the automotive industry through the introduction of a 25% tariff on April 3, on top of an existing 2.5% levy.

In May, American and British leaders reached a agreement to cap tariffs on one hundred thousand British-made cars per year to 10 percent. This rate took effect on June 30, coinciding with the last day of the company's second financial quarter.

Agreement Criticism

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

Additional Factors

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

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

Financial Reaction

Shares in the company, traded on the London Stock Exchange, fell by more than 11% as trading opened on Monday morning before partially rebounding to be 7 percent lower.

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

Upcoming Plans

The wobble in sales comes as the manufacturer gears up to release its Valhalla, a mid-engine hypercar priced at around $1 million, which it hopes will boost profits. Deliveries of the car are scheduled to start in the last quarter of its fiscal year, although a projection of about 150 deliveries in those final quarter was below earlier estimates, due to technical setbacks.

The brand, famous for its roles in the 007 movie series, has initiated a review of its future cost and investment strategy, which it indicated would probably result in lower capital investment in engineering and development compared with previous guidance of about £2bn between its 2025 and 2029 fiscal years.

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

The government was approached for comment.