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Aston Martin cuts 20% of staff amid US tariffs, weak China demand
Reuters· 2026-02-25 07:21
Core Viewpoint - Aston Martin is cutting 20% of its workforce due to worse-than-expected annual profits, driven by weak demand and tariff pressures [1][2]. Group 1: Workforce Reduction - The company announced a second round of job cuts, confirming a challenging year impacted by a U.S. quota-based tariff system and subdued demand in China [2]. - The workforce reduction will amount to 20%, reflecting ongoing struggles in the luxury car market [1]. Group 2: Financial Performance - Aston Martin has been facing difficulties in generating cash and managing a significant debt of £1.38 billion ($1.87 billion), which has negatively affected its performance despite capital injections [3]. - The company anticipates further cash outflows in 2026 but expects improvements in subsequent years [3].