Donald Trump has announced he will remove all tariffs and restrictions on whisky imports in honour of King Charles and Queen Camilla’s state visit to the US.
The former US president stated he would lift restrictions on Scotland’s ability to collaborate with the state of Kentucky on whisky and bourbon.
The UK government confirmed that this applies to all whisky tariffs, including those on Irish whiskey.
Industry representatives expressed that distillers would be able to “breathe a little easier during a period of significant pressure on the sector.”
Trump remarked that the Royal visit “got me to do something that nobody else was able to do, without hardly even asking.”
The King and Queen spent four days in the US on a state visit hosted by Trump, during which they visited Washington DC, New York, and Virginia before departing on Thursday.
In response to the news, a spokesperson for Buckingham Palace conveyed the King’s “sincere gratitude” to Trump, adding that he “will be raising a dram to the President’s thoughtfulness.”
Scotland’s First Minister John Swinney hailed it as “tremendous news for Scotland” and expressed gratitude to the King for his pivotal role.
Swinney further noted: “Millions of pounds were being lost every month from the Scottish economy.”
Wonderful Honour
In a post on his Truth Social account, Trump stated the move was “in honour of the King and Queen of the United Kingdom, who have just left the White House, soon headed back to their wonderful country.”
He explained that the tariffs and restrictions were related to “Scotland’s ability to work with the Commonwealth of Kentucky on Whiskey and Bourbon, two very important industries within Scotland and Kentucky,” and highlighted the connection between the two areas through the use of wooden barrels.
The primary customer for Kentucky’s used bourbon barrels is the Scotch industry, which has been importing approximately £200m worth each year.
“A wonderful honour to have them both in the USA.”
At a press conference later on Thursday, Trump added: “I just took all the restrictions off, so Scotland and Kentucky can start dealing again.”
“And I did it in honour of the King and Queen who just left.”
Royal Sparkle
Both the Scottish and UK governments had lobbied for the current 10% tariff rate to be reduced or removed, arguing it would benefit both Scottish and US distillers.
Tariffs on exports to the US, originally introduced under the Trump administration and adding 10% to importers’ costs, significantly impacted sales in Scotland’s whisky industry, its largest export market.
American tariffs on single malts, which were suspended four years ago, were set to return this spring with an additional 25% charge, unless a deal could be reached with the Trump administration.
Single malts, which command premium prices, constitute a particularly important segment of exports to the US.
Graeme Littlejohn, director of strategy for the Scotch Whisky Association, expressed their “delight.”
“The industry has been losing around £4m a week in lost exports to the United States – £150m over the course of the last year while tariffs have been in place,” he informed BBC Scotland News.
“This is a real boost for the industry, and distillers will breathe a sigh of relief now that these tariffs are off.”
“It’s really thanks to the huge amount of negotiation that’s been going on over many months, at a very senior level.”
He added: “Perhaps the state visit has been the catalyst for getting this over the line, and the King’s added that little bit of royal sparkle to make the deal work.”
UK business and trade secretary Peter Kyle commented: “This is great news for our Scotch whisky industry, which is worth almost £1bn in exports and supports thousands of jobs across the UK.”
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