Aston Martin Limits Shipments To U.S. In Response To Tariffs
Aston Martin is scaling back shipments of its luxury cars to the U.S. in response to steep tariffs introduced by former President Donald Trump. Instead of flooding the market, the British carmaker is leaning on existing dealer inventory while waiting to see how trade negotiations play out. “We are not going to pass on full effect or absorb the full effect (of tariffs). It's going to be a mix,” CEO Adrian Hallmark told analysts, adding that updates to the company’s pricing strategy will be shared in mid to late May.
The U.S. market makes up about a third of Aston Martin’s revenue, but the company doesn’t manufacture any of its cars stateside—leaving it particularly vulnerable to the 25% tariffs on imported vehicles. Ahead of the policy shift, the carmaker rushed deliveries to the U.S. and is now monitoring how competitors respond before making further moves. Hallmark said the existing stock should hold until mid-June, at which point shipments may resume.
Despite a 13% drop in quarterly revenue and a pre-tax loss of £79.6 million, Aston Martin reaffirmed its full-year guidance, aiming for a return to profitability. Investor confidence is being bolstered by new funding from chairman Lawrence Stroll and the planned sale of the company’s stake in its Formula 1 team. Meanwhile, average vehicle prices have dropped due to fewer high-end specials being sold, though core models are seeing higher prices.
