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Aston Martin has blamed a profit warning to US-imposed tariffs, as it urging the British authorities for more proactive support.

This manufacturer, producing its vehicles in factories across England and Wales, lowered its earnings forecast on Monday, marking the second such revision this year. The firm expects a larger loss than the earlier estimated £110m deficit.

Requesting Official Backing

The carmaker expressed frustration with the British leadership, informing shareholders that despite having engaged with representatives on both sides, it had positive discussions directly with the American government 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 provide numerous employment opportunities and contribute to regional finances and the wider British car industry network.

International Commerce Impact

Trump has shaken the worldwide markets with a trade war this year, heavily impacting the car sector through the imposition of a 25% tariff on April 3, on top of an previous 2.5 percent charge.

During May, the US president and Keir Starmer agreed to a agreement to limit duties on 100,000 British-made vehicles annually to 10%. This rate took effect on June 30, coinciding with the last day of the company's Q2.

Trade Deal Criticism

However, Aston Martin criticised the trade deal, arguing that the introduction of a American duty quota system introduces further complexity and restricts the group's ability to precisely predict earnings for this financial year end and potentially quarterly from 2026 onwards.

Other Challenges

The carmaker also cited reduced sales partly due to increased potential for logistical challenges, especially after a recent cyber incident at a leading British car producer.

UK automotive sector has been rattled this year by a digital breach on Jaguar Land Rover, which prompted a production freeze.

Market Reaction

Shares in Aston Martin, traded on the LSE, fell by more than 11% as trading opened on Monday morning before partially rebounding to be 7 percent lower.

Aston Martin sold one thousand four hundred thirty cars in its Q3, missing earlier projections 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 comes as Aston Martin gears up to release its flagship hypercar, a mid-engine supercar priced at around $1 million, which it hopes will increase earnings. Shipments of the vehicle are expected to begin in the last quarter of its fiscal year, although a forecast of approximately one hundred fifty deliveries in those three months was below previous expectations, due to technical setbacks.

Aston Martin, famous for its roles in the 007 movie series, has initiated a review of its future cost and spending plans, which it indicated would likely result in lower spending in engineering and development compared with previous guidance of approximately £2 billion between its 2025 and 2029 fiscal years.

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

The government was approached for a statement.