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In Crisis, Aston Martin Sacrifices Jobs and Monetizes F1

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Aston Martin

Strained by U.S. tariffs and the weakness of the Chinese market, the British manufacturer is embarking on a massive restructuring.

The austerity measures are harsh. Aston Martin will cut up to 20% of its workforce, amounting to about 600 jobs out of a total of 3,000 employees. The clear objective is to save £40 million annually by 2026 in an attempt to rectify a critically deteriorating financial situation.

The manufacturer points to the new tariffs imposed by the United States, which are deemed “extremely disruptive,” as well as an “extremely sluggish” demand in China. Two strategic markets are faltering at a time when the brand must contend with a debt of £1.38 billion and an operational loss of £259.2 million in 2025.

To preserve its cash flow, the group is also scaling back its five-year investment plan from £2 billion to £1.7 billion. Part of the spending related to electrification has been postponed, a delicate choice as the transition to electric vehicles accelerates in the luxury segment.

Formula 1 as a Safe Haven

But the most symbolic decision concerns Formula 1. Aston Martin has reached a £50 million agreement with AMR GP Holdings Limited to sell the perpetual rights to use its name and brand identity in the Formula 1 team. Practically, the team will be able to continue calling itself Aston Martin F1 Team in the long term, regardless of the manufacturer’s capital evolution. Knowing that Lawrence Stroll is a shareholder in both entities, one could easily think that a golden parachute is being prepared… Only time will tell.

Because this is not just a seasonal sponsorship, but a permanent license on the name, including the branding of the chassis. A way for the manufacturer to convert an intangible asset into immediate cash.

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Supported financially by its chairman, Canadian billionaire Lawrence Stroll, the brand is hoping for a “net recovery” in 2026, particularly thanks to deliveries of the hybrid supercar Aston Martin Valhalla.

On the stock market, shares rebounded nearly 5% after nine sessions of decline. An encouraging but fragile signal. For Aston Martin, the year 2026 will be decisive.

ALSO READ: Aston Martin and Breitling: a partnership between speed and heritage

This page is translated from the original post "En crise, Aston Martin sacrifie des emplois et monétise la F1" in French.

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