After the US and Europe had agreed to drop a raft tit-for–tat duties a day earlier, Bourbon producers demanded that the UK remove its 25% tariff on imported American whiskeys.
They urged President Biden and Boris Johnson to raise the issue during their visit to Scotland to the COP26 climate summit.
The Bourbon Alliance, which represents many of the most well-known brands such as Makers Mark and Jim Beam, as well British bars and importers, said that they urge President Biden and the prime minister to discuss this issue in person in Scotland next week.
“The EU’s announcement sets a precedent and we urgently need to see the UK remove the tariff and support the hospitality sector, which is now being neglected.”
Biden will fly to Edinburgh Monday morning.
In 2018, the’rebalancing duty” on bourbon was introduced. It is a distinction between Washington and European over Steel and Aluminum.
American bourbon producers and the hospitality industry on both ends of the Atlantic want President Biden push Prime Minister Johnson to increase tariffs
As part of its retaliatory measures against Trump’s administration. Europe imposed 25 percent tariffs on American whiskey imports. They were dropped by the EU on Saturday. It does not affect UK tariffs as it is no more part of the bloc.
The Distilled Spirits Council of America claims that the tariffs led to a drop of Bourbon imports to the UK of 53 per cent.
American whiskeys were collateral damage.
Trump’s administration placed taxes on EU-sourced steel and aluminum in 2018, claiming they were a security threat to the United States.
Europe responded with countertariffs for everything, from U.S.-made motorbikes and peanut butter to jeans and whiskey.
Officials from the United States announced on Saturday that the dispute was resolved.
They said that while controls on steel and aluminum would not be completely lifted but that a small amount would be allowed into America without any tariffs.
Europe responded by announcing that it would lift its retaliatory tariffs.
This leaves the U.K. It was an E.U. member. It was part of the E.U. at the time the tariffs were imposed but it is no longer part the trade bloc following Brexit.
Martha Dalton, cofounder of the Bourbon Alliance welcomed the Europe deal.
She stated that the UK should now work with US colleagues to find a similar solution.
‘When the UK left the Customs Union, we were promised the freedom to establish an independent trade policy – the time has come to realise the opportunities of Brexit and to cut the tariff for good.’
Insiders report that Johnson and Biden have a warm working relationship ever since Biden was sworn-in earlier this year.
The alliance stated that the hospitality industry on both sides of Atlantic was still struggling from the financial impact of the pandemic, which has left venues and staff in huge financial difficulty.
It stated that venues would be able to restock their bars fully after the removal of the tariff on American whiskey imports, which was in effect since 2018, when the dispute began.
Miles Beale, CEO of Wine and Spirits Trade Association, said that it was a welcome development that the US and EU had made significant progress in the steel and aluminium dispute and removed US whiskey producers from the tariffs firing line.
“The UK must capitalize on this momentum immediately, suspend the tariffs and work quickly with the US to solve the dispute.
“At an economic time when the economy has begun to recover from continued lockdown, it’s vital that we support our UK spirits exporters and the hard-hit hotel industry at a rapid pace.”