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

The company, producing its cars in Warwickshire and south Wales, revised its earnings forecast on Monday, marking the another revision in the current year. The firm expects deeper losses than the previously projected £110 million shortfall.

Requesting Official Support

Aston Martin voiced concerns with the UK government, telling shareholders that while it has engaged with officials on both sides, it had positive discussions with the American government but needed greater initiative from UK ministers.

It urged UK officials to protect the needs of small-volume manufacturers like Aston Martin, which create thousands of jobs and contribute to regional finances and the broader UK automotive supply chain.

International Commerce Impact

Trump has shaken the global economy with a trade war this year, heavily impacting the automotive industry through the introduction of a 25 percent duty on April 3, in addition to an existing 2.5 percent charge.

In May, American and British leaders agreed to a agreement to cap tariffs on 100,000 British-made vehicles per year to 10 percent. This tariff level came into force on 30th June, coinciding with the final day of the company's second financial quarter.

Trade Deal Criticism

Nonetheless, the manufacturer criticised the trade deal, stating that the introduction of a US tariff quota mechanism introduces further complexity and restricts the company's ability to accurately forecast earnings for this financial year end and possibly each quarter starting in 2026.

Other Factors

The carmaker also cited reduced sales partially because of increased potential for logistical challenges, especially after a recent digital attack at a leading British car producer.

UK automotive sector has been rattled this year by a digital breach on the country's largest automotive employer, which led to a production freeze.

Market Response

Shares in the company, listed on the LSE, dropped by more than 11% as markets opened on Monday at the start of the week before partially rebounding to be 7 percent lower.

The group delivered one thousand four hundred thirty cars in its Q3, falling short of previous guidance of being roughly equal to the 1,641 vehicles delivered in the equivalent quarter last year.

Future Initiatives

Decline in sales coincides with the manufacturer prepares to launch its Valhalla, a rear-engine supercar costing approximately £743,000, which it expects will boost earnings. Deliveries of the car are scheduled to start in the last quarter of its financial year, although a forecast of about 150 deliveries in those final quarter was below previous expectations, reflecting engineering delays.

The brand, well-known for its appearances in James Bond films, has started a review of its future cost and investment strategy, which it indicated would probably lead to reduced spending in R&D compared with previous guidance of about £2bn between its 2025 to 2029 financial years.

Aston Martin also told shareholders that it no longer expects to achieve positive free cash flow for the latter six months of its current year.

The government was approached for a statement.