Luxury carmaker blames US tariffs and slashes investment plans by £300m
Carmaker forced to rethink its future amid falling sales
- Luxury car manufacturer Aston Martin has significantly reduced its five-year investment plans from £2 billion to £1.7 billion due to mounting losses and challenging market conditions.
- The company's quarterly operating loss more than doubled to £56.1 million, with revenues plummeting by 27 per cent to £285.2 million for the period ending 30 September.
- This downturn was primarily driven by a 13 per cent fall in wholesale volumes, selling only 1,430 vehicles, and a 32 per cent drop in UK sales.
- Aston Martin attributed the weakness to global macroeconomic headwinds, including sustained US tariffs and subdued demand in the Chinese market.
- In response, the British firm is undertaking a comprehensive review of costs and capital expenditure, and re-evaluating its strategy for upcoming models to optimise investment.