The US Government, has today announced that it is to temporarily suspend tariffs on Scotch whisky.
The 25% tariffs which were introduced during the Trump administration, following a row over government subsidies given to European aerospace firm Airbus and to US plane manufacturer Boeing, will be suspended for four months, to allow for further negotiations to take place.
|The US Government suspends tariffs on Scotch whisky|
Commenting on the news, Karen Betts, Chief Executive of the Scotch Whisky Association, said: “This is fabulous news, and our industry is delighted. The tariff on single malt Scotch whisky exports to the US has been doing real damage to Scotch Whisky in the sixteen months it has been in place, with exports to the US falling by 35%, costing companies over half a billion pounds.”
Karen went onto say: “So today, everyone in our industry – from small companies to large – is breathing a sigh of relief. Suspending these tariffs – stemming from a transatlantic trade dispute that had nothing to do with us – and a return to tariff-free trade with the US means livelihoods and communities across Scotland will be protected. It means that companies can now really focus on recovery – on building back the American market as well as on building back global exports hit by the coronavirus pandemic.”
Karen concluded by saying: “The UK government and the new US administration will now need to work hard on finding a negotiated settlement to this long-running aerospace dispute. We hope too that both governments will be able to find a rapid, pragmatic solution to the steel and aluminium dispute which still impacts US whiskey exports to the UK.”
The move to suspend US tariffs, which also effects other UK made products including cheese, has been led by UK International Trade Secretary Liz Truss.
Posted by Steve Rush