LONDON — Starting Monday, March 8, the U.S. is suspending millions of dollars’ worth of tariffs on U.K. exports including Scotch whisky as part of an effort to resolve a long-running trans-Atlantic trade dispute over aerospace subsidies.
Washington will suspend tariffs for four months on a range of goods. It's a fresh move to de-escalate trade tensions centered around aid for Boeing and Airbus.
The goods' tariffs had been put in place in 2019 in response to similar tariffs that had been placed on Boeing parts being shipped to Britain. British officials suspended those tariffs in December as a goodwill gesture.
In response to the March 4 decision to suspend the tariffs, British Prime Minister Boris Johnson tweeted it will "benefit businesses right across the UK."
"Fantastic news as we strengthen the UK-US trading relationship and work to build back better from the pandemic," he tweeted.
From Scotch whisky distillers to Stilton-makers, the US decision to suspend tariffs on some UK exports today will benefit businesses right across the UK.— Boris Johnson (@BorisJohnson) March 4, 2021
Fantastic news as we strengthen the UK-US trading relationship and work to build back better from the pandemic. https://t.co/p5XO8RTA9T
Scotch whisky distillers cheered the news that the 25% tariff would be cut to zero. Around 50,000 people in Scotland work in the Scotch industry, and it's reportedlythe United Kingdom's largest food and drink export.
Scottish cashmere producers, pig farmers, and Stilton cheese makers will also benefit from the suspension of tariffs.