Shares in luxury car manufacturer Aston Martin surged ahead of President Donald Trump's expected trade deal announcement with the º£½ÇÊÓƵ.
By early Thursday afternoon, the FTSE 250 listed firm saw its stock rise by ten percent following suggestions that the US could ease car tariffs on º£½ÇÊÓƵ imports, as reported by .
In April, Trump’s imposition of a 25 percent levy on steel and car imports had delivered a significant hit to the automotive sector.
Reacting to the tariff uncertainty, Aston Martin cut back its US exports at the end of April.
However, the President has signalled a softening of his stance, announcing a reduction of the automaker tariffs to ten percent for 100,000 cars.
Following this news, Aston Martin's shares climbed further and ended up closing nearly 13 percent higher.
Tariffs were a blow to Aston Martin stock
The introduction of hefty tariffs previously weighed heavily on the Aston Martin share price.
Prior to the escalation of the White House trade actions, Aston Martin's shares were trading at 119p.
After the administration's 'Liberation Day', which imposed wide-ranging tariffs on various US trade partners, the company's shares plummeted to just 59.9p.
While other companies managed to recoup losses after Trump retreated on the tariffs, Aston Martin struggled, ending up at 70p per share on Wednesday.
Cyril Aboujaoude, co-founder of Tioopo Capital, commented: "This deal has the potential to mark a positive shift in º£½ÇÊÓƵ-US industrial trade, but its long-term value will depend on more than short-term quota relief.
"Long-term visibility is essential – not just for the major automotive manufacturers, but for the mid-sized, high-spec engineering firms that represent the future of º£½ÇÊÓƵ innovation. These companies are crucial to advancing electric vehicles, lightweight materials, and performance technologies – and their success will help define the º£½ÇÊÓƵ's role as a global automotive leader."
Defensive stocks also saw a boost following the announcement of a trade deal.
Rolls-Royce experienced a near four per cent increase, while Melrose surged by over five per cent.
Aston Martin is based in Gaydon, Warwickshire, with a manufacturing plant in St Athan, South Wales.
