US-imposed Trade Tariffs

Baroness McIntosh of Pickering Excerpts

Monday 7th October 2019 Lords Chamber

[Lord Gardiner of Kimble]

My Lords, as I have said, we are working with the EU. This issue concerns tariffs imposed on the EU, and we are part of the Airbus quad that I have been learning about. We are working very strongly with our EU friends and partners, in working with our American friends and partners, on something that we in this country do not think is beneficial for American trading interests or our own. Whatever our status—whether a member of the EU or not—we are clear that we do not believe that this is right or beneficial. If we have left, we will also be saying that this is not a basis on which we should be working. These tariffs are not beneficial to the EU, the UK or the third party in this, the United States.

[Baroness McIntosh of Pickering (Con)]

My Lords, does my noble friend agree that, according to the figures from the Food and Drink Federation, Scotch whisky is the single most successful export across the world? Is he not as concerned as I am that the US seems to have chosen to pick on UK brands such as Bushmills from Northern Ireland and Scotch whisky? Why has it not been extended to products from another Airbus nation, such as French champagne or brandy? Does the Minister share my concern that this does not augur well for our future trade relations after the UK leaves the EU?

[Lord Gardiner of Kimble]

My Lords, my understanding is that tariffs will be levied on the Airbus nations and the EU. The data shows me that 38% of French trade is directly targeted, compared to 10% of ours. These tariffs will affect the EU as well. My noble friend is right—to repeat it and put it on the record—that Scotch whisky is the UK’s largest agrifood export, at £4.7 billion in 2018. It is the largest contributor to the UK’s balance of trade in goods and, thinking of Scotland, it provides 7,000 rural jobs and 11,000 in total. It is very important to Scotland.