JOHN Swinney has said he is “very concerned” about the possibility of tariffs being imposed by Donald Trump’s US Government on the Scottish whisky trade.
Scotch whisky bosses had urged US politicians in the run-up to the presidential election “to speak up for the industry” over growing fears tariffs could be reintroduced on the country’s national drink.
As part of a wider trade dispute with the EU, the previous Trump administration imposed a 25% tariff on imports of single malt Scotch whisky – one of Scotland’s most valuable industries.
Scotland’s distilleries reported a loss of roughly a million pounds a day when the tax was introduced. It was suspended in 2021, but only for five years.
The tariffs lasted between October 2019 and March 2021, with the Scotch Whisky Association saying they lost £600 million in exports and describing them as “hugely damaging”.
They are next due to be reviewed in June 2026.
However, during his election campaign, Trump raised the prospect of introducing a new levy on almost every import to America in a bid to raise funds for a series of tax cuts.
He told Time magazine he wanted a “ring around the country” and would impose a 10% tariff on all imports and a 60% tax on goods coming from China.
While visiting the Scotch Whisky Experience visitor attraction in Edinburgh today, the First Minister expressed his concerns over the potential of the tax coming back into force for the industry.
When asked how concerned he was around potential tariffs being reimposed by the UK, Swinney said: “I am very concerned at the possibility of tariffs being applied against Scotch whisky.
“Obviously, we have seen that in the past, we are going through a period of rest bite from that just now.
“But the threat is very real in the years to come looking at the comments made by President Trump in the course of the election campaign.
“Obviously, we want to avoid that.
“So, we engage very directly with the United Kingdom Government and also with the government of the United States to assert the interests of this industry and wider industries within Scotland because export markets to the United States are very, very, important for the Scottish economy.
“And I want to be doing everything I can to enhance and support and to strengthen the foundations of the Scottish economy.”
The First Minister also defended his endorsement of Kamala Harris during the election campaign, saying it is important that politicians “set out their views”.
He has congratulated Trump on his victory in the US election, which was confirmed on Wednesday morning, saying he would welcome the president-elect if he decides to come to Scotland.
The SNP have also challenged Scottish Labour MPs to vote against Scotch Whisky tax hikes on Wednesday evenings crunch vote at Westminster.
Labour raised whisky tax in last week's UK Budget announcement, which the Scottish Whisky Association said was a “hammer blow” to the industry and broke Labour’s previous promises.
The call by the SNP for Scottish Labour MPs to rebel against the vote follows Swinney’s concerns over the potential of the US imposing tariffs on the industry.
Ian Murray, the Secretary of State for Scotland, accused the Tories of breaking their “promise to the Scottish Whisky Industry” following a 10.1% duty hike last year.
SNP MP for Moray West, Nairn and Strathspey Graham Leadbitter said: “After Trump’s victory, Scottish Labour MPs are faced with a simple choice this evening.
“They can either break the whip and vote against Labour’s raid on Scottish Whisky or they can break their promise to the Scottish communities this industry supports in the face of steep tariffs coming down the track.
“The Labour Government has our whisky industry over a barrel with a tax regime that is costing the UK £300m in lost revenues and we know when Trump was last in office, our world class whisky faced 25% tariffs – this is no time for meek Scottish Labour MPs unwilling to put Scotland’s interests first.
“SNP MPs will vote against this raid on Scotland’s national drink and Scottish voters will be watching to see if Scottish Labour MPs are prepared to break Keir Starmer’s whip instead of breaking another election promise.”
