Tariffs drag Scotch exports to US down by 15%
Global Scotch whisky exports declined by 0.6% in value and 4.3% in volume in 2025, with a 15% drop in bottles shipped to the US since the 10% tariff was implemented, according to the Scotch Whisky Association (SWA).
Scotch whisky exports were valued at £5.36 billion (US$7.3bn) in 2025, which is equivalent to 1.34bn 700ml bottles exported worldwide – about 43 bottles every second. It marks a 0.6% decrease on the previous year when exports amounted to £5.4bn (US$7.35bn).
Both the volume and value of Scotch whisky exports have fallen amid significant challenges across markets. According to the SWA, major factors contributing to this decline include international tariffs, higher costs of doing business in the UK, and reduced consumer demand, all of which have affected producers and the supply chain.
The SWA pointed out that the category saw its volumes plunge by 15% to its biggest market, the US, between May and December 2025. The trade body said this was caused by the implementation of a 10% US tariff in April 2025. Value-wise, Scotch exports to the US fell by 7% over the eight-month period.
The Scotch whisky trade body is urging the UK government to finalise a deal with the US to restore zero-tariff trade. This matter has been addressed directly with US president Donald Trump by both UK prime minister Keir Starmer and Scotland’s first minister, John Swinney.
Scotch whisky exports to the US declined by 4% in value in 2025, totalling £933 million (US$1.27bn), while volumes were down by 9.2% year over year to 120m bottles.
The tariff pressures facing the Scotch whisky industry are becoming increasingly pronounced, particularly with the potential increase to 35% in the US in July 2026. This situation comes as the sector approaches the end of a five-year suspension of the 25% single malt tariff, which resulted in more than £600m (US$817m) in lost exports for Scotch whisky producers between 2019 and 2021 due to the Boeing-Airbus dispute.
Meanwhile, the bottled blended Scotch whisky market was valued at £3.2bn (US$4.36bn) in 2025, up by 0.8% from 2024. In contrast, the single malt Scotch whisky market fell to £1.6bn (US$2.18bn) – a 6% decline.
Rising concerns
The SWA has raised concerns that the potential benefits of recent tariff reductions in India and China will not be realised due to increasing domestic tax and regulatory burdens that have reached unsustainable levels.
As some distilleries have begun to halt or reduce production, job losses have spread across the industry and its supply chain. The industry warns that, without clear support measures from both Westminster and Holyrood, more businesses may permanently close by 2026.
In February, BTG data confirmed the concerns, showing that 19% of distilleries in Scotland are in financial distress, with 69 distilleries reportedly under pressure.
According to Mark Kent, chief executive of the SWA, the international trading environment remains challenging for Scotch whisky producers, with tariffs and geopolitical tensions creating significant turmoil in key markets.
In the UK, the industry is grappling with rising costs, including annual duty increases and new packaging taxes.
Member companies of the SWA have told the SWA that they are experiencing pressures not felt in decades and have emphasised that “support is vital to weather the storm”, Kent noted.
“While global volatility has become the norm, it has now been joined by an increasingly uncompetitive domestic tax and regulatory environment,” Kent said. “The spirits duty increase earlier this month, totalling more than 17% in three years, has clearly impacted jobs, investment potential and economic growth.
“It’s said that form is temporary, but class is permanent. Scotch whisky is an iconic product that appeals around the world, and the industry’s resilience means our long-term potential for continued growth is clear.
Kent also called for a freeze on tax increases in the UK.
The SWA has highlighted opportunities for Scotch whisky growth in key markets such as Thailand, Indonesia, Mercosur, and the Gulf Cooperation Council (GCC), where the UK could benefit from free trade agreements in the future.
Largest export markets by value
After the US, the largest markets for Scotch whisky in value in 2025, in descending order, were: France, India, Singapore, Turkey, Taiwan, Spain, Germany, China, and the United Arab Emirates (UAE).
France, the second-largest export market for Scotch, was valued at £404m (US$550m) and declined by 3.6% in 2025 compared to the previous year.
The category’s fourth largest market, Singapore, with a £274m (US$373m) market value, also declined 11.6% year on year.
Taiwan’s export market saw its value plunge by 22% to £233m (US$317m), while China’s market was valued at £161m (US$219m), a 0.3% drop.
However, not all markets declined between 2024 and 2025.
India, Scotch whisky’s third-largest market, saw a 15% increase in value to £286m (US$389m).
Turkey, valued at £255m, soared by 43%, while Spain saw a 6% surge to £208m (US$283m).
Germany increased its Scotch whisky imports by 4.6% to £177m (US$241m), while the UAE rose by 7% to £155m (US$211m).
Asia Pacific (APAC), once the most valuable region for Scotch whisky, declined by 8.3% in value over the past year.
The EU remains the largest region for Scotch whisky by volume and has regained its status as the biggest by value. In 2025, exports totalled £1.5bn (US$2bn), a 1.8% decrease from 2024. Additionally, 444m 700ml bottles were exported, a 9% decline from the previous year.
Biggest export countries by volume
Between 2024 and 2025, the largest markets for Scotch whisky exports by volume (measured in 700ml bottles) were, in descending order: India, France, the US, Germany, Brazil, Japan, Spain, Turkey, Poland, and China.
India recorded the largest increase in bottle shipments, totalling 220m bottles, which represents a 15% rise.
Following India, China saw the next-largest increase, with a 14% rise to 34m bottles. Turkey also saw a significant boost, with a 13% increase to 53m bottles.
Other growing markets year over year included Germany (59m bottles, up 5.8%) and Brazil (54m bottles, up 3.3%).
The most significant decline was in Japan, which fell by 27%, bringing exports to 54m bottles. Following Japan, exports of Scotch whisky to France decreased by 14% to 152m bottles, while exports to Poland dropped by 10.3% to 43m bottles.
Spain declined by 8.4%, bringing the market size to 54m bottles in 2025.
Related news
Archie Rose unveils first age statement whisky
