Aston Martin Profit Warning Highlights Impact of U.S. Trade Costs

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Aston Martin2
Aston Martin

Aston Martin has cautioned that its profits for 2025 are set to come in below previous expectations, attributing the shortfall in part to the ongoing impact of US tariffs.

The British manufacturer has faced declining sales over the past year, as additional trade measures introduced under Donald Trump increased the cost of exporting vehicles to the United States.

The US remains the company’s largest market, making the tariff burden particularly significant. The update coincided with the announcement that the luxury marque has agreed to sell the naming rights of its Aston Martin F1 team to a related party in an effort to strengthen its financial position.

London-listed Aston Martin Lagonda has been working to improve performance under the leadership of Canadian billionaire Lawrence Stroll.

However, the latest trading update underscores the scale of the challenges confronting the company.

In a statement to shareholders issued today (Feb 20), the manufacturer said gross profit margins and adjusted earnings before interest and tax are expected to be ‘slightly below’ the lower end of analyst forecasts.

As a result, Aston Martin now anticipates reporting earnings of less than £184 million for 2025.

Aston Martin
Aston Martin

Company executives stated that the revision follows what they described as ‘a highly challenging trading environment’ throughout the year.

While management indicated that progress has been made in advancing the firm’s transformation strategy, this progress has been tempered by increased US tariffs and a decline in deliveries of higher-margin Special model vehicles.

Total wholesale volumes fell to 5,448 units in 2025, down from 6,030 the previous year, according to the company’s figures.

The US market was subjected to a 10% tariff last year, reduced from an originally proposed 27.5%, but the levy has still weighed on profitability and export dynamics.

In response to financial pressures, Aston Martin has already taken steps to bolster its balance sheet, including scaling back investment plans announced last October.

On Friday, the company disclosed a £50 million agreement to transfer the naming rights of its Aston Martin F1 Team to related party AMR GP Holdings.

Under the terms of the arrangement, AMR will retain use of the Aston Martin name in Formula 1 through 2055.

Management indicated that the transaction is intended to enhance the company’s liquidity position as it navigates ongoing market and trade headwinds.

Maria Byrd

By Maria Byrd

Maria Byrd blends automotive journalism with a lifestyle lens, focusing on the intersection of design, comfort, and culture in today’s vehicles. At Dax Street, she covers luxury interiors, cutting-edge features, and the evolving role of cars in daily life. With a background in design and consumer trends, Maria’s work highlights the finer details—from the stitching on a leather seat to the UX of a next-gen infotainment system.

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