Mon, 06 Oct 2025

Mon, 06 Oct 2025 Aston Martin warns of losses amid US tariffs

The luxury car manufacturer saw shares tumble 11% at one point on Monday after its announcement.
Aston Martin Lagonda has issued a second profit warning in two months, citing increased losses due to US tariffs and supply chain pressures stemming from Jaguar Land Rover's cyber-attack. The luxury carmaker now expects underlying losses to be greater than £110 million, up from its previous estimate. Shares plummeted by as much as 11% on Monday as the company attributed weaker performance to a "heightened global macroeconomic environment" and US tariffs. The firm has launched an immediate review of costs and spending amid tougher trading conditions, which have seen wholesale volumes drop in North America and Asia. Aston Martin also highlighted supply chain pressures following Jaguar Land Rover's cyber-attack, warning that the UK industry faces uncertainties over economic impacts from US tariffs and quota mechanisms. Aston Martin had previously limited shipments to the US due to 25% tariff on car imports, but resumed sales in June with a lower 10% tariff for the first 100,000 vehicles. The company expects profitability and free cash flow to improve in 2025-26 as it cuts costs and ramps up production of its Valhalla model. The announcement marks the second profit warning since early July, with shares coming under pressure due to concerns over Donald Trump's tariff war. Aston Martin had cut 170 jobs in February after seeing losses widen by a fifth last year and debts pile up.
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