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USA drops 25% tariff on shortbread


By Alistair Whitfield

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The United States has dropped its 25% tariffs against shortbread – but not against whisky or cashmere.

Walkers Shortbread factory in Aberlour. Picture: Daniel Forsyth.
Walkers Shortbread factory in Aberlour. Picture: Daniel Forsyth.

Moray's MSP Richard Lochhead stated that the remaining tariffs pose a serious threat to jobs in Moray and Speyside.

He said: "Confirmation that the 25% tariff on Scotch Whisky exports to the US are set to remain in place will come as a huge blow to the sector, and will have a disproportionate effect on Speyside.

"Since the tariffs came into force last October, we know that Scotch Whisky exports have dropped significantly, meaning big losses to companies, which is made worse by the impact of covid-19.

"Sadly for Moray, it’s not just our whisky industry that’s affected, with tariffs also still in place for cashmere products.

"For Johnstons of Elgin, one of Elgin’s largest employers, this will continue to present huge challenges.

"The only good news for Moray is the removal on tariffs for shortbread which brings some desperately needed relief for local companies like Walkers and Macleans."

Mr Lochhead added: "It’s clear that the UK Government has been slow to act.

"As the Scotch Whisky Association point out, it took six months after the UK left the EU for UK Ministers to start tackling these tariffs.

"It seems that for UK Government Ministers, this has been a case of out of sight out mind.

"I can’t help but think if this was something risking jobs in the City of London, then it would have been seen as a much bigger priority.

"We now need more than rhetoric or flying visits from a Prime Minister who should be supporting all our industries in their hour of need."

Inside the Johnstons of Elgin factory. Picture: Daniel Forsyth..
Inside the Johnstons of Elgin factory. Picture: Daniel Forsyth..

Moray's MP Douglas Ross stated the US tariffs had originally been applied in retaliation for similar tariffs applied by the EU on aircraft parts.

Welcomed the lifting of tariffs from Scottish shortbread, he said: "This is a positive step which I know will be widely welcomed by manufacturers in Moray including Walkers of Aberlour.

"It's also a good starting point for getting tariffs lifted from other iconic Scottish produce such as cashmere and Scotch Whisky.

"It's something I have been working towards at Westminster, having held a series of meetings with ministers from the Department of International Trade, raising the issue at every opportunity and most recently seeking to secure a debate on the matter.

"At a time when we are working towards getting the economy back up and running, these tariffs have a severe impact on these industries, which are crucial to the Scottish economy.

"I’m pleased the UK Government is working towards having them removed from our produce, and this is the first step towards this happening.

"I know this issue will continue to be raised by the UK during trade talks with the USA.

"Moray has really borne the brunt in this trade dispute so removing these tariffs is a top priority for me as the local MP and for the Government."

Benromach Distillery in Forres
Benromach Distillery in Forres

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