Donald Trump’s tariffs continue to pile on the pain for the global auto industry.
Aston Martin shares plunged as much as 11% on Monday after the British luxury carmaker slashed its guidance, citing the impact of US tariffs.
The company warned investors that it expects sales this year to decline compared to 2025, and said that its adjusted loss for the year would likely be more than £110 million, the lower end of analyst forecasts.
The Vanquish-maker said it also faced additional macroeconomic speed bumps, including slowing demand in China’s luxury car market and potential supply chain disruptions after its rival, Jaguar Land Rover, was hit by a major cyberattack.
Aston Martin told investors that it was engaging with the US and UK governments to secure greater clarity on the tariffs and called for more “proactive support” from the British government.
The company’s second tariff-related profit warning in six months comes as the global auto industry continues to grapple with Trump’s import levies.
Although the impact of the tariffs has not yet been reflected in US inflation data, it is having an impact on carmakers’ balance sheets.
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Major carmakers, including Toyota, VW, and Stellantis, have all incurred significant tariff-related costs since Trump first announced the US would tax imported vehicles in April.
British luxury brands, such as Aston Martin and Jaguar Land Rover, which have no production sites in the US, are particularly vulnerable.
Jaguar Land Rover temporarily suspended shipments to the US in April after Trump introduced a 25% tariff on imported cars. The trade deal struck between the US and UK earlier this year cuts that to 10%, but only for a quota of 100,000 cars.
Aston Martin said in its trading update that the quota adds a “further degree of complexity” for UK automakers and would make it harder for the company to accurately forecast for the remainder of the financial year — and potentially beyond.
The tariffs, which also include car parts, have also hit predominantly US-based automakers like Ford and General Motors. The two Detroit giants said in July that the import levies would likely cost them billions this year.
