Scotch exports down £500m due to US tariffs
Exports of Scotch are down by £500m since a 25% tariff was imposed by the US in 2019, according to the latest figures from the Scotch Whisky Association.
As reported by the BBC, according to recent data from the SWA, single malt exports have fallen by over a third since the 25% tariff was introduced.
The tariff was one of the measures imposed by former US President Donald Trump in retaliation against EU subsidies given to aircraft manufacturer Airbus.
The Scotch Whisky Association said the current situation was “unsustainable”, and that distillers were “continuing to pay the price for an aerospace dispute that has nothing to do with them”.
“Since tariffs were put in place, our exports to the US have fallen by 35%, amounting to over half a billion pounds in lost exports.
“This is being borne by large and small producers alike, who are losing sales and market share in what has been for decades the industry’s largest and most valuable market, which they may never now recover,” Karen Betts, chief executive of the SWA, said.
“It’s very hard for Scotch whisky producers to understand why the UK government is so unwilling to address the UK violations of World Trade Organization rules on aerospace subsidies at the root of the tariffs.
“The UK government must act urgently and call for the immediate suspension of all tariffs on unrelated sectors and, at the same time, redouble efforts with the new US administration to resolve the aerospace dispute and lift tariffs permanently,” she added.
As reported by The Guardian, Labour leader Sir Keir Starmer has called on the UK government to negotiate with the US to reverse the tariffs.