Britain is hoping to an end to damaging American tariffs on Scotch whisky by offering a post-Brexit olive-branch to the United States, it was announced last night.
UK trade chiefs hope to win over President-elect Joe Biden by lifting levies on American goods such as tractors, ketchup and orange juice when the Brexit transition period ends this month.
They hope the move will encourage the United States to scrap the 25 per cent duty it imposed on Scotch whisky in October last year – which has led to a huge drop in exports to America.
The tariffs were imposed as part of a longstanding trade conflicts between the European Union and the US over aerospace subsidies.
Speaking about the announcement last night, International Trade Secretary Liz Truss said: ‘As an independent trading nation once again, we finally have the ability to shape these tariffs to our interests and our economy, and to stand up for UK business.

Britain will attempt to put an end to damaging American tariffs on Scotch Whisky exports with a post-Brexit trade olive-branch to the United States, it was announced last night


Speaking about the announcement last night, International Trade Secretary Liz Truss (pictured left) said Britain will ‘finally have the ability to shape these tariffs to our interests and our economy’ after the Brexit transition period was over. The move has been described by one source to the Times as Britain ‘showing a bit of leg’ to the US. Pictured right: US President-elect Joe Biden
‘Ultimately, we want to de-escalate the conflict and come to a negotiated settlement so we can deepen our trading relationship with the US and draw a line under all this.’
However Britain will maintain tariffs on goods such as bourbon, motorcycles and jeans, which were imposed after President Trump put duties on foreign steel and aluminium.
‘We are protecting our steel industry against illegal and unfair tariffs – and will continue to do so – but are also showing the US we are serious about ending a dispute that benefits neither country,’ Ms Truss added.
These tariffs will continue from January 1 , when the UK becomes an independent trading nation once again, the Department for International Trade said.
The department said it will launch a consultation to ensure these tariffs are shaped to UK interests and tailored to the UK economy.
But it said it will suspend tariffs first imposed following a dispute involving US and EU aerospace firms.
The 16-year dispute – involving Airbus and Boeing – began after the EU was found last year to have illegally subsidised Airbus.
As a result of last year’s findings, the World Trade Organisation (WTO) allowed the Trump administration impose tariffs on EU goods – including single malt Scotch whisky.
The tariffs, worth £5.6billion, were met with retaliation tariffs from the EU, worth £3billion, on American exports such as aircraft and farm produce.
Those tariffs are the ones that will now be dropped by the UK in January, in a move described by one source to the Times as Britain ‘showing a bit of leg’ to the US.

The 16-year dispute – involving Airbus and Boeing -began after the EU was found last year to have illegally subsidised Airbus
It is hoped the move will convince the United States to drop their tariffs for UK experts such as Scotch whisky.
Since the tariffs were introduced in October last year, exports of the alcohol – the world’s most internationally traded spirit – to the US have plunged by 30 per cent.
Speaking to the Times, Karen Betts, of the Scotch Whisky Association, welcomed a ‘very encouraging step’ by the UK.
She said: ‘We hope that this marks the beginning of the end of trade tensions with the US.’
The ‘initial step’ was also welcomed by Andy Burwell, director of international trade at the Confederation of British Industry.