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Iconic British luxury car manufacturer facing financial crisis.

Aston Martin has announced it will be cutting approximately 600 jobs, about 20% of its workforce. The manufacturer reported that net losses grew by more than half in the last financial year.

The USA is one of Aston Martin's largest export markets. Tariffs imposed by President Trump have significantly increased costs. Because Aston Martin is a relatively small, low-volume producer, it cannot easily absorb these additional costs or relocate manufacturing to the USA.

Aston Martin is also grappling with increased competition from Chinese car manufacturers in the luxury segment. In addition, the shift towards electric vehicles (EVs) and plug-in hybrids requires enormous investment in new technology.

Aston Martin's core product range has changed relatively little over the past three decades. Competition from Bentley, Porsche, Lamborghini, and Ferrari makes the market intensely crowded. One effort to enter the electric vehicle market, Aston’s Rapide E, was cancelled after it compared unfavourably against its main rival.

Nevertheless, the brand retains enormous global recognition and is considered one of the great British luxury names alongside Rolls-Royce, Bentley, and McLaren. The company is considering further collaborations with larger partners such as Mercedes-Benz to access advanced technology, and a renewed focus on the ultra-luxury segment.