Scotland to benefit from recent trade deals
Trade deals with India, US and the EU slashing tariffs on key industries and opening markets are set to help drive growth in Scotland and put money in Scots’ pockets.
- Prime Minister to meet with the First Minister of Scotland to discuss recent trade deals and the boon for Scotland.
- Comes as we’ve nailed three trade deals in as many weeks to deliver growth that is a priority for the Plan for Change.
- Iconic Scottish produce such as Salmon, Whisky, Gin and Irn Bru boosted by easier access to international markets.
Trade deals with India, US and the EU slashing tariffs on key industries and opening markets are set to help drive growth in Scotland and put money in Scots’ pockets.
These deals represent tangible benefits for communities throughout Scotland, supporting jobs, reducing costs, expanding export opportunities for iconic Scottish products and making it easier to go on holiday.
This means stronger economic growth for firms across Scotland – delivering on our Plan for Change.
Prime Minister Keir Starmer said:
These trade deals deliver long term security for people in Scotland. They will create opportunities for more seamless trade and attract inward investment to grow the economy, making a difference to people’s lives.
These changes will be felt everywhere, whether it’s lower food prices at the checkout, more choice for consumers and higher living standards that will improve livelihoods across Scotland.
The new agreement with the European Union, the UK’s largest trading market, will directly address challenges faced by Scottish exporters since 2019. The Scottish salmon industry has estimated that between 2019 and 2023, Scottish Salmon export values experienced a net loss of around £75 million. Our deal makes it significantly easier to sell Scottish goods to European markets. We’ve also unlocked a new salmon market through our deal with India, with tariffs dropping from 33% to 0%.
Tavish Scott, chief executive of Salmon Scotland, said:
We welcome the UK Government’s efforts in moving at pace to secure trade deals that will grow and strengthen market opportunities for our farmers.
Ministers rightly recognise salmon as the jewel in the crown of our world-class produce and its vital role in the economy of coastal communities and across the UK.
Securing frictionless access to key markets such as the EU, along with expanding opportunities in India, is crucial to protect our producers from unnecessary barriers like tariffs and red tape.
Scottish salmon’s high standards of quality and sustainability set it apart globally, helping to drive investment and support 12,500 jobs across the Highlands and Islands and beyond.
We look forward to continuing to work with government to build on this momentum, including further progress with the US, and to ensure Scotland’s salmon sector continues to thrive on the world stage.
The landmark deal with India has slashed tariffs on Scotland’s most iconic products. Scottish distillers will immediately see these halved from 150% to 75% and eventually to just 40% over the next decade.
Other industries boosted by the deal include soft drinks and food that will ramp up Scotland’s export economy, supporting jobs and increasing prosperity across the country.
Secretary of State for Scotland Ian Murray said:
Our trio of trade deals shows we are championing Scottish products and businesses on the global stage. From our world-renowned whisky distilleries to our cutting-edge green energy sector, Scotland has so much to offer international markets. But more importantly as part of our Plan for Change this means more money in people’s pockets.
By securing better access to the European Union, United States and India, we’re creating real opportunities for Scottish businesses to grow, supporting jobs in communities from the Highlands to the Borders.
The Prime Minister will tell the English Mayors and the Leaders from the Devolved Governments at a meeting of the Council of Nations and Regions in London today (Friday 23 May) that his trade deals with India, the United States and the EU will deliver economic growth that will improve people’s lives at home.
He will challenge those in attendance to drive economic growth in their local areas to deliver for working people.
Business and Trade Secretary Jonathan Reynolds said:
The three landmark deals secured this month with the US, India, and the EU have shown this government is serious about striking the deals that our businesses want and need.
We are delivering billions for the UK economy and wages every year as part of our Plan for Change. For Scottish businesses, these deals will mean stability and jobs protected as they seize new opportunities to sell to some of our biggest trading partners.
In the US Tariffs on British steel and aluminium will be removed. In addition to vital assurances for life science, there are reductions for the automotive industry with US tariffs cut from 27.5% to 10% for 100,000 vehicles every year and Indian tariffs dropping from 110% to 10% under a quota.
New reciprocal market access has also been agreed on beef – with UK farmers given a tariff free quota for 13,000 metric tonnes without compromising the sector’s high standards.
At today’s meeting of the Council of Nations and Regions the Prime Minister will also lead discussions about spreading AI to help working people access the services that they need in their local areas.