The prospect has caused significant concern within Scotland’s whisky industry, for which the US market is paramount, generating approximately £1 billion in annual exports.

Industry figures recall the damaging impact of previous tariffs – a 25% levy on single malts imposed in 2019 cost the sector an estimated £600 million in lost sales over 18 months.

Anthony Wills of Kilchoman distillery told the BBC the potential tariffs are a “huge blow,” particularly amid current economic challenges. He anticipates that, like last time, his business may need to absorb some of the cost increase alongside its US importer to maintain stable consumer prices.   

A spokesperson for the Scotch Whisky Association stated: “The industry is disappointed that Scotch Whisky could be impacted by these tariffs.

“We welcome the intensive efforts by the UK government to reach a deal with the US administration, and we continue to support this measured and pragmatic approach towards a mutually beneficial resolution.”

Experts like Ryan Fazackerley from Whisky 1901 highlight the potential for market volatility. While tariffs could depress prices short-term by making Scotch less competitive, they might also drive up the value of rare bottles and investment casks as buyers seek tangible assets amid trade uncertainty. Mr Fazackerley advises that diversification into other markets and building resilience are crucial strategies for producers and investors facing global trade tensions.