Scotland’s largest exporters to the United States are reeling after former President Donald Trump announced new tariffs, imposing a 10% levy on key products like whisky and salmon. The decision, revealed at the White House, has sparked concerns across industries that rely heavily on the U.S. market.
The Scotch Whisky Association and other industry groups have called the move a setback, urging the UK government to continue negotiations to minimize the impact. Trump, in his statement, dubbed the tariff rollout “liberation day,” insisting it would boost domestic production.
Whisky Industry Braces for Financial Hit
America remains the most lucrative market for Scotch whisky, with exports reaching £971 million in 2024. The new tariff is set to cut into those profits, forcing distillers to either absorb costs or pass them on to consumers.
Anthony Wills, owner of the Kilchoman distillery on Islay, said the tariff would have “a big impact” on his business.
- The U.S. accounts for 10% of his sales.
- Past tariffs have already cost the industry hundreds of millions.
- Many distilleries may have to share the cost with importers to maintain consumer prices.
Whisky producers previously endured a 25% tariff in 2019 during a trade dispute between the U.S. and EU over aircraft subsidies. That levy, which lasted two years, drained an estimated £600 million from the sector before its repeal in 2021.
Scottish Salmon Sector Adopts Cautious Optimism
Scotland’s salmon industry, another major target of the tariffs, is also assessing its next steps. In 2024, the U.S. was the second-largest buyer of Scottish salmon, with exports worth £225 million.
Despite the setback, Tavish Scott, chief executive of Salmon Scotland, remains confident that American consumers will continue to seek out Scottish seafood.
“Salmon producers want a business-like and stable trade relationship with the USA, so we support the UK government’s efforts to achieve that outcome through a calm and measured approach,” Scott stated.
Political Response: Scottish Officials Push for Talks
Deputy First Minister Kate Forbes voiced concern over the new tariffs, warning that trade restrictions could negatively impact Scotland’s economy. She stressed the importance of ongoing diplomatic engagement.
“We do not believe unilateral measures by the U.S. are the answer and we are concerned about the negative impact of trade barriers on the Scottish economy. We urge the U.S. and all parties to come together and work towards mutually beneficial resolutions,” Forbes stated.
First Minister John Swinney had previously expressed hope that Trump’s Scottish heritage might play a role in trade discussions. Swinney spoke with Trump in December 2024, shortly after the former president’s election victory over Kamala Harris.
The Economic Fallout and Next Steps
With tariffs now in effect, businesses must make tough decisions about pricing and market strategy. Some may absorb the costs, while others could shift focus to alternative markets. However, if trade negotiations do not yield relief, the economic toll on Scotland’s key export sectors could be significant.
