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The automaker has attributed an earnings downgrade to Donald Trump's tariffs, as it calling on the UK government for more active assistance.

The company, which builds its vehicles in factories across England and Wales, lowered its profit outlook on Monday, marking the another downgrade in the current year. The firm expects a larger loss than the previously projected £110 million deficit.

Seeking Government Backing

The carmaker expressed frustration with the UK government, telling shareholders that despite having communicated with officials from both the UK and US, it had productive talks with the US administration but needed more proactive support from British officials.

It urged British authorities to protect the needs of small-volume manufacturers like Aston Martin, which provide numerous employment opportunities and add value to local economies and the broader UK automotive supply chain.

International Commerce Effects

The US President has shaken the global economy with a tariff conflict 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% levy.

In May, the US president and Keir Starmer reached a deal to cap tariffs on one hundred thousand UK-built vehicles per year to 10 percent. This rate came into force on 30th June, aligning with the last day of the company's second financial quarter.

Agreement Criticism

However, Aston Martin expressed reservations about the trade deal, arguing that the implementation of a American duty quota system introduces additional complications and limits the group's ability to accurately forecast earnings for the current fiscal year-end and possibly each quarter starting in 2026.

Additional Challenges

Aston Martin also pointed to weaker demand partially because of increased potential for logistical challenges, particularly following a recent digital attack at a major UK automotive manufacturer.

The British car industry has been shaken this year by a cyber-attack on the country's largest automotive employer, which led to a manufacturing halt.

Market Response

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

Aston Martin sold 1,430 vehicles in its third quarter, falling short of earlier projections of being broadly similar to the 1,641 cars delivered in the equivalent quarter last year.

Future Plans

The wobble in demand comes as the manufacturer gears up to release its flagship hypercar, a rear-engine hypercar priced at around $1 million, which it hopes will increase profits. Deliveries of the car are expected to begin in the final quarter of its financial year, though a projection of about 150 deliveries in those three months was below previous expectations, due to technical setbacks.

The brand, well-known for its roles in the 007 movie series, has started a evaluation of its future cost and spending plans, which it said would likely lead to reduced capital investment in R&D versus previous guidance of about £2bn between its 2025 to 2029 financial years.

Aston Martin also informed investors that it does not anticipate to achieve profitable cash generation for the second half of its present fiscal year.

UK authorities was approached for comment.