Trump Imposes New Tariffs, UK Welcomes Whisky Exemption Amid Broader Trade Shifts
US tariff landscape shifts, impacting EU trade while UK secures zero-tariff deal for Scotch whisky and medical technologies.
Carla Rooney
Donald Trump's administration announced a new round of tariffs late on Thursday, affecting numerous international trading partners, though the UK secured significant exemptions.
John Swinney confirmed the immediate cessation of tariffs, declaring, "From today, there are no tariffs on Scotch whisky going to the United States, which is a significant benefit for the Scotch whisky industry."
Swinney had previously asserted that "The industry was being harmed by the existence of tariffs from the United States."
Ian Duddy of the Scotch Whisky Association affirmed, "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.
Duddy further elaborated on the economic impact, stating, "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."
The United Kingdom's export relationship with the US is substantial; UK exports reached £66 billion in 2024, representing 17% of all UK goods exports to any single country.
Junior housing minister Sally Jameson confirmed that tariffs on specific products, including whisky and medical technologies, have been removed through a previously negotiated deal.
This agreement is a component of the UK's broader economic prosperity deal (EPD), which has already secured preferential rates in the car, pharmaceutical, and aerospace sectors.
A critical factor in the broader tariff landscape involved the US recognizing the steps the UK takes regarding forced labor.
However, Ambassador Jamieson Greer continues to impose charges on Britain and 59 other countries, citing insufficient enforcement of bans on items produced by forced labor.
New tariffs are now being imposed based on a 1974 trade law, with the US president expected to press ahead with a new 10% import tariff on British goods after temporary levies expire on Friday.
These temporary levies were initially introduced by the US president following a Supreme Court defeat.
King Charles III directly intervened during his state visit to Washington in April, successfully convincing President Trump to exempt Scotch whisky from these impending levies.
John Swinney posted a video on X, acknowledging the tariffs' removal and explicitly crediting the monarch for this outcome.
Ian Duddy stated, "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."
The GMB trade union has condemned the new tariffs as ill-judged, potentially catastrophic for business, and likely to utterly fail in their stated aim.
Hints of retaliation are emerging over the EU’s decision to impose an €890 million (£760 million) fine on Google earlier this week, with a threat to impose 100% tariffs on pharma, which would severely impact Ireland, Germany, and Belgium.
Preferential access for UK businesses remains in effect under an existing agreement, ensuring continued trade benefits despite these new developments.
Kentucky bourbon barrels, essential for aging Scotch whisky, will now arrive in the UK without tariffs, further benefiting the industry's supply chain.
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.
Ian Duddy emphasized the widespread positive impact, stating, "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."
John Swinney concluded, "The removal of tariffs will be good for jobs and investment and the economy of Scotland, and I welcome the progress that’s been made."