Scotch whisky industry welcomes US tariff removal

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The Scotch Whisky Association has welcomed the announced removal of US tariffs on Scotch Whisky, describing the move as a “significant boost” for the sector in its most valuable export market.

President Trump made the announcement on Truth Social, stating, “In Honor of the King and Queen of the United Kingdom, who have just left the White House, soon headed back to their wonderful Country, I will be removing the Tariffs and Restrictions on Whiskey having to do with Scotland’s ability to work with the Commonwealth of Kentucky on Whiskey and Bourbon, two very important Industries within Scotland and Kentucky. People have wanted to do this for a long time, in that there had been great Inter-Country Trade, especially having to do with the Wooden Barrels used. The King and Queen got me to do something that nobody else was able to do, without hardly even asking! A wonderful Honor to have them both in the U.S.A.”

The Kentucky reference appears to relate to the close trading relationship between Scotch Whisky and bourbon, particularly around casks, with Scotch producers relying heavily on ex-bourbon casks for maturation. However, the decision is being treated by industry and government as a wider move on whisky entering the US market, with US Trade Representative Jamieson Greer confirming “preferential duty access for UK-produced whisky”. Reports have also said the change would benefit other UK-produced whisky categories, including Irish whiskey made in Northern Ireland.

Commenting on the announcement, SWA Chief Executive Mark Kent said, “This deal is a significant boost for the Scotch Whisky industry in our most valuable export market. Distillers can breathe a little easier during a period of significant pressure on the sector.

“We are hugely grateful for the sustained efforts on both sides of the Atlantic. For months, many have worked tirelessly to return zero-for-zero tariff trade for whisky and bourbon. The special relationship that the Scotch Whisky and American Whiskey industries share will be reinvigorated by this announcement.

“While challenges in our sector remain, we can now redouble our efforts to boost the benefits our two great industries bring to communities across Scotland and the US.”

Michelle Ferguson, CBI Scotland Director, said, “With hundreds of millions of pounds worth of exports to the US each year, Scotch Whisky is the jewel in the crown of Scotland’s successful food and drinks sector, and the removal of US export tariffs will boost a sector that has been badly impacted by recent trade tariff decisions.

“The industry and wider business community have been clear; there are no winners in a trade war. They are worried about rising uncertainty, fragmented supply chains and growing protectionism. Looking outward and being open is a strength for local distilleries and other manufacturers of our national drink, particularly with Scotch Whisky supporting tens of thousands of jobs directly and indirectly across Scotland and the rest of the UK.

“As one of our largest trading partners, a strengthened relationship with the US is a priority for Scottish business to bolster our mutual competitiveness and kickstart growth.”

The move comes after months of pressure on the Scotch Whisky sector, with the SWA previously warning that US tariffs were having a direct impact on exports. In February, the SWA reported that exports to the US fell by 4% in value to £933m in 2025, while volumes dropped by 9.2% to the equivalent of 120m bottles. Between May and December 2025, following the introduction of the 10% tariff, export value fell by 7% and volume by 15%.

Scotch Whisky remains the UK’s largest food and drink export, accounting for 21% of total UK food and drink exports.

Category: News, Whisky
Tags: scotch whisky association, whisky tariffs