Business

US abolishes tariffs on Scotch whisky

King Charles’ state visit in April has been credited with convincing US President Donald Trump to drop all tariffs on Scotch whisky.

Trump imposed a 10% levy on Scotch whisky in April 2025, which was due to increase earlier this year to 25% for single malts.

Scotch Whisky Association International Director Ian Duddy said: “The return of tariff-free trade for Scotch whisky in the US is welcome news for businesses on both sides of the Atlantic.

“As Scotch whisky’s most valuable global market, worth £933 million in 2025, the removal of tariffs provides greater confidence to invest, grow exports, and support jobs and communities across Scotland and the US. From Kentucky to Speyside, this will not only benefit the Scotch and US whisky sectors, but our wider supply chains of cooperages, farmers, hospitality and retail. 

“This outcome is testament to the strength of the enduring relationship between the UK and the US. On behalf of the Scotch whisky industry, we are grateful to everyone who worked to make this happen, including His Majesty The King during his recent state visit. We look forward to building on this positive momentum and working with partners on both sides of the Atlantic to ensure Scotch whisky continues to thrive.” 

The tariff removal follows a challenging period for Scotch whisky exports. According to the Scotch Whisky Association, global exports of Scotch whisky fell by -1.8% in value, and by -4.3% in volume in 2025.

Exports were valued at £5.3 billion in 2025, with the equivalent of 1.3 billion bottles exported around the world: 43 per second. Exports of Scotch Whisky, which previously totalled £5.4 billion in 2024, have fallen in volume and value as the impact of international tariffs, increased cost of doing business in the UK, and softening consumer demand have hit producers and the supply chain.  

The industry’s most valuable export market, the United States, saw export volume fall by -15% following the implementation of the 10% tariff in April 2025. 

Distilled Spirits Council of the United States President & CEO Chris Swonger said: “We thank President Trump for delivering on his commitment to remove the tariff on Scotch and other UK whiskies and for recognizing the longstanding heritage, craftsmanship and distilling traditions that unite the United States and United Kingdom.

“Lifting this tariff provides much-needed relief for U.S. hospitality businesses and demonstrates the benefits of fair, reciprocal trade. It is a meaningful step toward restoring the zero-for-zero tariff framework that fueled growth, investment and job creation throughout the spirits sector for decades.

“We look forward to working with the administration to build on this progress by extending tariff relief to other imported spirits, particularly those from the European Union, which would help reduce costs for restaurants, bars and other hospitality businesses across the country.”

First Minister of Scotland John Swinney said: “US tariffs on Scotch Whisky are now officially gone. Fantastic news for one of Scotland’s greatest exports, and a big win for businesses, workers and communities on both sides of the Atlantic.

“Massive credit to the His Majesty The King, Scotch Whisky Association and all the other partners in Scotland and the US who helped make this happen. Slàinte!”

Swinney visited Suntory Global Spirits’ Springburn bottling and maturation facility in Glasgow following the news. The whisky sector supports around 20,000 full-time equivalent jobs across Scotland.

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Categories: Business