Scotch whisky caught in the crossfire again: why new US tariffs could cost Scotland dearly

2 April 2025, 15:59

By William Wemyss

The last time Scotch whisky got caught in a trade war, it cost the industry £600 million in just 18 months.

Now, with the return of US tariff talk, those of us who make our living crafting and selling Scotch whisky are bracing for the fallout. Again.

Scotch was never the intended target. In 2019, it became collateral damage in a transatlantic dispute over aircraft subsidies. But the result was the same: lost sales, delayed investment, and smaller producers like ours left scrambling to protect margins and staff.

We're operating in a fundamentally more challenging environment now, with even more economic hurdles, generously provided by the compounding impacts of Brexit, Covid and the war between Ukraine and Russia.

Our industry also supports over 41,000 jobs across Scotland, many in rural communities where alternative employment opportunities are limited.

Distilleries are now navigating a fine balance between consolidating presence in established markets, while exploring new opportunities to build market resilience.

Fresh tariffs don’t just threaten our export plans. They risk undermining the entire ecosystem around Scotch whisky, including tourism.

Our distillery is the closest single malt site to the Home of Golf in St Andrews, and we welcome thousands of American visitors each year.

If inflation rises and consumer spending tightens in the US, we could see a drop-off in golf holidays, and in the visitors who come to experience the culture, craft, and hospitality that Scotland is so proud of.

That’s why we’re urging both the UK and US governments to do everything they can to keep Scotch whisky out of the firing line.

The United States is the industry's largest export market approaching £1 billion in annual sales and represents 10% of our own business, a percentage we've steadily grown by investing in people, partnerships, and long-term infrastructure.

Tariff-free access to the US gives businesses like ours the confidence to invest, create jobs, and share Scotland's story with the world. Take that away, and everyone, from rural distilleries to city hotels, starts to feel the pinch.

Of course, diversification is key. We're looking to emerging markets in Asia and keeping a close eye on negotiations around a UK-India Free Trade Agreement, which could open huge doors. But that doesn't lessen the need to protect what we've already built.

At Wemyss Family Spirits, we remain committed to our craft, making single malt at Kingsbarns Distillery and blending small-batch whiskies under our Wemyss Malts label. We represent just one story among hundreds of Scottish producers whose futures hang in the balance of these trade decisions.

Scotch whisky isn't just a product. It's part of the UK's global identity and one of Scotland's greatest gifts to the world. It embodies our commitment to excellence, our respect for tradition, and our ability to innovate. We cannot allow it to become a political bargaining chip.

The stakes for our communities, our heritage, and our future are simply too high.

William Wemyss is the Founder and Chairman of Wemyss Family Spirits

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