Aston Martin to cut up to 20% of its workforce as tariff and China pain rocks automakers
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- British supercar maker Aston Martin said it's cutting up to 20% of its workforce.
- Like the rest of the industry, the company is facing a major headache over US tariffs.
- President Donald Trump announced a new 15% global tariff on Saturday after a Supreme Court defeat.
British automaker Aston Martin said it's cutting up to 20% of its workforce as it battles supply chain chaos caused by President Donald Trump's shifting tariff policy.
The company, which is known for its sleek supercars favored by James Bond, said in its Wednesday earnings report that it expects operating expenditure and capex savings of about £40 million ($54 million) from the cuts.
Trump imposed a 25% tariff on car imports last April, adding export costs to the supercars hand-made in Aston Martin's UK factory.
While a subsequent US-UK agreement in May provided some relief for British automakers, there has been fresh uncertainty after Trump introduced a 10% global tariff on exports to the US in response to the Supreme Court ruling against his expansive tariff policy. Trump said last weekend that the levy would rise to 15%.
The auto industry, which relies on carefully choreographed global supply chains, has been hit hard by tariff volatility. Major carmakers, including Toyota, GM, and Ford, have said keeping up with the changes in trade policy has cost them billions of dollars.
Aston Martin reported a £493 million ($666 million) loss for 2025 in earnings on Wednesday, with revenue and vehicle sales both dropping.
The Vantage maker didn't break out the specific tariff costs, but CEO Adrian Hallmark said in the company's earnings report that "heightened tariffs in the US and China" weighed on its performance.
Aston Martin is also grappling with another industry-wide challenge: the collapse of the Chinese market for Western luxury vehicles.
The company's sales in the Asia-Pacific region fell by 21% last year, the largest drop of any market. The likes of Porsche and Mercedes have also seen their China sales plunge, as consumers increasingly turn to vehicles made by local brands, many of them electric.