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The automaker has blamed an earnings downgrade to US-imposed trade duties, as it urging the UK government for more active assistance.

The company, which builds its cars in factories across England and Wales, lowered its earnings forecast on Monday, marking the another revision this year. The firm expects deeper losses than the earlier estimated £110m shortfall.

Seeking Official Backing

Aston Martin voiced concerns with the British leadership, telling shareholders that while it has engaged with representatives from both the UK and US, it had positive discussions directly with the American government but needed greater initiative from UK ministers.

It urged British authorities to protect the interests of niche automakers like Aston Martin, which provide thousands of jobs and add value to local economies and the wider British car industry network.

Global Trade Effects

The US President has disrupted the worldwide markets with a trade war this year, heavily impacting the automotive industry through the imposition of a 25% tariff on 3rd April, on top of an previous 2.5 percent charge.

During May, the US president and Keir Starmer reached a agreement to cap tariffs on one hundred thousand UK-built vehicles per year to 10%. This rate came into force on 30th June, coinciding with the final day of Aston Martin's Q2.

Agreement Concerns

Nonetheless, Aston Martin expressed reservations about the trade deal, arguing that the implementation of a American duty quota system adds further complexity and limits the company's ability to accurately forecast earnings for the current fiscal year-end and potentially each quarter starting in 2026.

Other Factors

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

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

Financial Reaction

Shares in the company, listed on the LSE, dropped by over 11 percent as markets opened on Monday morning before partially rebounding to stand 7 percent lower.

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

Upcoming Initiatives

The wobble in demand comes as Aston Martin prepares to launch its Valhalla, a mid-engine hypercar priced at around £743,000, which it expects will increase earnings. Deliveries of the car are scheduled to begin in the final quarter of its financial year, although a projection of approximately one hundred fifty units in those three months was below previous expectations, reflecting engineering delays.

Aston Martin, famous for its roles in James Bond films, has initiated a evaluation of its future cost and spending plans, which it said would likely result in lower capital investment in R&D compared with earlier forecasts of approximately £2 billion between its 2025 to 2029 fiscal years.

Aston Martin also informed shareholders that it does not anticipate to achieve positive free cash flow for the second half of its present fiscal year.

The government was approached for comment.