Aston Martin to axe hundreds of jobs as profit plummets
Aston Martin is poised to cull its workforce by around a fifth after the firm’s bottom line took a beating from President Donald Trump’s erratic tariff agenda.
The British manufacturer said on Wednesday it had recognised a provision of £18.7m in relation to expected restructuring costs as it consults on chopping 20 per cent of its global staff as part of a review into operations.
In its last annual report, the luxury carmaker, famed for its association with the James Bond film series, had just under 3,000 staff, implying cuts of more than 500 workers.
Aarin Chiekrie, equity analyst at Hargreaves Lansdown, said cutting staff was “only part of the puzzle, as these initiatives can only be taken so far.”
“Long-term success will rely on reversing the group’s declining sales volumes and benefitting from the improved efficiencies that a greater output would bring,” he added.
“Cutting the workforce so drastically makes a significant ramp-up in volumes hard to achieve, and the road ahead remains a difficult one to navigate for Aston Martin.”
Pressure has ramped up on the carmarker amid tensions in international trade. In the last year, the group’s wholesale volumes tumbled 10 per cent to 5,448 units.
Meanwhile revenue slumped 21 per cent to £1.3bn, dragging down profit 37 per cent to £370m.
Adrian Hallmark, Aston Martin chief executive, said: “In 2025, we navigated a highly challenging trading environment whilst delivering on critical operational milestones.
“An unprecedented backdrop of geopolitical uncertainties and macroeconomic pressures, including heightened tariffs in the US and China, weighed on our performance and ability to execute our plans effectively.”
Trump tariffs hit carmakers
Last May, UK car production plunged to its lowest level since 1949 as firms felt the brunt of the US’ trade policy.
After Trump imposed steep tariffs on foreign-made cars, British firms like Aston Martin and Jaguar Land Rover were forced suspend US-bound shipments from April.
In October, the manufacturer blamed a combination of economic challenges and the ongoing impact of tariffs as it warned sales will fall year on year.
Aston Martin is pencilling in a “material improvement” for the year ahead, with around 500 deliveries of its limited-edition hybird supercar Valhalla and the benefits of its transformation strategy.
Hallmark described the commencement of Valhalla as the “highlight of the year”.
“Looking ahead, I remain confident that our strategy and upcoming products will position us strongly for future success. In 2026, we expect to deliver a material improvement in financial performance and continue delivering year-on-year improvements over the short-mid-term with a focus on margin expansion and cash flow generation,” he added.