Aston Martin to cut 20 per cent of workforce over US tariffs
London — British luxury car manufacturer Aston Martin Lagonda Global Holdings Plc announced on Wednesday that it plans to cut its workforce by up to 20 per cent as part of a cost-reduction programme, citing mounting external pressures including increased US tariffs.
In its Full-Year Results Statement for 2025, the company stated that the restructuring programme could impact up to one-fifth of its approximately 3,000 employees and is estimated to generate annual savings of around £40 million, with one-off costs associated with the restructuring reaching approximately £15 million.
The proposed workforce reduction is significantly deeper than the previous restructuring effort announced a year ago, when the carmaker targeted a reduction of around 5 per cent of its workforce.
CEO Adrian Hallmark stated that the company is working to reduce costs and improve efficiency in its efforts to overcome years of losses and reduce its debt burden. He noted that the implementation of higher US tariffs, delayed product launches, quality issues, and weakening demand in major overseas markets have complicated the recovery efforts of the luxury carmaker, whose largest market is the United States.
“I do not want to blame President Donald Trump for all our difficulties, but he is clearly a large part of the problem we faced last year,” Hallmark said in a media interview, referencing the impact of tariff implementation on the company’s performance.
According to the report, Aston Martin recorded a pre-tax loss of £363.9 million in 2025, whilst its revenue plummeted 21 per cent year-on-year to £1.26 billion. The company ended 2025 with net debt of approximately £1.38 billion and cash holdings of around £250 million.
The automotive manufacturer stated that it anticipates free cash outflow will improve in 2026, but does not expect to record positive cash flow during that year. Vehicle deliveries in 2026 are projected to be relatively in line with the 5,448 units delivered in 2025.
Aston Martin stated that increased deliveries of higher-priced models, including the Valhalla hybrid supercar, are expected to support financial performance in the coming year.