British trade minister pledges to fight 'unfair' U.S. tariffs - The Telegraph

[webfact]

British trade minister pledges to fight 'unfair' U.S. tariffs - The Telegraph

 

FILE PHOTO: Britain's Secretary of State of International Trade and Minister for Women and Equalities Liz Truss is seen outside Downing Street, as the spread of the coronavirus disease (COVID-19) continues, in London, Britain March 17, 2020. REUTERS/Henry Nicholls

 

(Reuters) - British Trade Secretary Liz Truss pledged to fight U.S tariffs on Scotch whisky, calling them "unacceptable and unfair" in an op-ed in the Telegraph on Sunday.

 

"I will fight to consign these unfair tariffs to the bin of history", she wrote (https://bit.ly/31YQqDr), while accusing the European Union of failing to protect British and Scottish interests.

 

The U.S. government said last week it would maintain 15% tariffs on Airbus <AIR.PA> aircraft and 25% tariffs on other European goods as part of a long-running trade dispute, although it held off adding some extra tariffs as it had threatened.

 

Britain had said it would step up demands for the United States to drop tariffs on goods such as single malt Scotch whisky after the industry warned a decision by Washington to retain the levy was putting its future at risk.

 

"U.S. tariffs on Scotch whisky are unacceptable and unfair. I cannot be clearer about that," Truss wrote. "Whisky-making is one of our great industries and a jewel in our national crown."

 

Truss said she would meet with her U.S. counterpart, Robert Lighthizer, in the coming weeks, as round four of U.S. negotiations begin, where she will address the existing tariffs on single malt Scotch and a host of other products.

 

"On Japan, we have consensus on the major elements of a deal that will go beyond the agreement the EU has with Japan", she added, reaffirming earlier reports that both countries seek to agree on a trade deal by the end of August.

 

Britain, which left the European Union in January, is seeking to clinch a trade agreement with Japan based on the 2019 EU-Japan agreement by the end of the year, when Britain's no-change transition arrangement with the EU will expire.

 

"I firmly believe free and fair trade remains the best way forward for the world and for Britain", she said, adding that talks with the United States, Japan, Australia and New Zealand to strike new free trade agreements were progressing well.

 

(Reporting by Rebekah Mathew in Bengaluru; Editing by Peter Cooney)

 

-- © Copyright Reuters 2020-08-17

 

- Whatever you're going through, the Samaritans are here for you

- Follow Thaivisa on LINE for breaking COVID-19 updates

[Emdog]

"U.S. tariffs on Scotch whisky are unacceptable and unfair. I cannot be clearer about that,"

I dunno.... maybe has something to do with Scottish independence movement, something to sway a few voters up north? You tell me. I'm just a dumb yank, so whadda I know?

[Enzian]

This needs more detail or even a long article. Is the problem with single malt or with blended and single grain Scotch as well? One of my hobbies this horrible year has been learning about Scotch; it started when traveling around the world I realized the deals I could sometimes get at airport duty free stores. 90% of the Scotch sold world-wide is blended, so part of the higher price for single malts is the lower production as well as the snob value. I've had to continue the hobby here in LOS where the prices are driven up (probably more than in the US) by the import taxes, though the rates seem less than with foreign wine. It would be interesting to know how the rates are calculated here for different things. Thailand has various low cost domestic whiskys (leaving out the things which are actually rum) "in the Scottish style" though I don't know of any with a reputation for quality. 

I always thought the US has some of the lowest import taxes in the world. I can buy Italian wines at TJs for little more than they cost at the supermarkets in Italy. And hard liquor of all sorts seems insanely cheap in the US compared to here in Bangkok.

[Katipo]

IMHO, like many of the tariffs, this is pure protectionism. The US was the biggest market (still could be) for Scotch, getting these drinkers to switch over to local whiskey and bourbons would appear to be inline with other policies of Trump's. The big US players have started putting out more high end versions of their product, but they can't compete with the appeal of good single malt for most.

If you can't beat 'em, slap taxes on 'em so that they are unaffordable. Let's see how this strategy works in the long term.

[Katipo]

8 minutes ago, Enzian said:

I always thought the US has some of the lowest import taxes in the world. I can buy Italian wines at TJs for little more than they cost at the supermarkets in Italy. And hard liquor of all sorts seems insanely cheap in the US compared to here in Bangkok.

The US has never been completely free trade. This is in spite of extolling its virtues. The cheaper prices are more to do with bulk buying, fixed duration contracts covering minimum quantities, and trade agreements with specific products. Also, many countries apply large "sin" taxes on alcohol (which is not an import tax), plus you've got the level of VAT/GST.

[Bluespunk]

5 hours ago, webfact said:

Britain, which left the European Union in January, is seeking to clinch a trade agreement with Japan based on the 2019 EU-Japan agreement

Ah huh..,

[evadgib]

The article seems to contradict another seen yesterday but TBH I wasn't paying attention to fine detail.

 

This link from HMG was published this morning:

 

Whisky goes green thanks to UK government funding

 

Quote

Whisky and spirit lovers the world over will soon be able to enjoy their favourite tipple in the knowledge that they are helping to cut carbon emissions and support new green jobs, thanks to a new UK government scheme which opened today (17 August 2020).

Kwasi Kwarteng, Minister for Energy and Clean Growth, today announced the opening of the £10 million fund, which is being made available to kick-start green innovation across Scotland’s iconic distillery industry. The move gives backing to distilleries across the UK to harness energy sources such as low-carbon hydrogen, biomass and repurposed waste to power their operations.

The funding will help prevent pollution equivalent to emissions from 100,000 cars from entering the atmosphere, contributing towards the UK’s legally-binding target to reach net zero carbon emissions by 2050....

 

Edited August 17, 2020 by evadgib

[Enzian]

1 hour ago, Katipo said:

The US has never been completely free trade. This is in spite of extolling its virtues. The cheaper prices are more to do with bulk buying, fixed duration contracts covering minimum quantities, and trade agreements with specific products. Also, many countries apply large "sin" taxes on alcohol (which is not an import tax), plus you've got the level of VAT/GST.

And this reminds me that in the US we don't think sometimes of the almost 10% CA sales tax as part of the cost, because it's not included on the shelf price the way the VAT etc. is in Europe, but of course it is part of the cost.

 

 

 

 

 

 

 

[pegman]

The UK needs to keep in mind that trade agreements with Trump aren't worth the paper they are written on. Ink wasn't dry on New NAFTA and he was hitting Canada/Mexico with additional tariffs. No deal with this man cañ be trusted. Just ask all the contractors and lenders he has stiffed over decades. 

[Surelynot]

'We' may as well bend backwards over a sherry cask and rodger ourselves...........it'll save the yanks from having to do it.

 

No trade deal will be worth the paper it is written on.......at best 0.16% of GDP.....pathetic.

 

[dunroaming]

1 hour ago, pegman said:

The UK needs to keep in mind that trade agreements with Trump aren't worth the paper they are written on. Ink wasn't dry on New NAFTA and he was hitting Canada/Mexico with additional tariffs. No deal with this man cañ be trusted. Just ask all the contractors and lenders he has stiffed over decades. 

True enough Trump is completely nuts and cannot be trusted on anything he says. Just tread water until November and the Americans get rid of this moron.  Then let's see if we get someone with half a brain..... Yes I know it will be Biden but even he is a thousand times better than the orange buffoon!

[Orac]

Were these tariffs not instituted after the US won its case against UK/EU for breaking WTO rules on state funding for Airbus?

[candide]

19 minutes ago, Orac said:

Were these tariffs not instituted after the US won its case against UK/EU for breaking WTO rules on state funding for Airbus?

Right! I can imagine discussions between UK and the US: "tax French wine and German cars, but not British Whisky! ????

[RayC]

38 minutes ago, Orac said:

Were these tariffs not instituted after the US won its case against UK/EU for breaking WTO rules on state funding for Airbus?

This is the reason and it has been ongoing for years.

 

"Last Wednesday (12/8) the US said it would maintain 15% tariffs on Airbus aircraft and 25% tariffs on more than 100 European products, despite EU efforts to resolve a 16-year-old dispute over aircraft subsidies. However, the Trump administration did not add any new tariffs despite threats to the contrary." (Source: https://www.google.com/amp/s/amp.dw.com/en/us-tariffs-eu-products/a-54548656)

[bannork]

Does Liz Truss realise that after Jan 1st 2021 UK companies lose their EU protected designated of origin (PDO) status, and from that date on any country in the world can produce Scottish whisky?

[rickudon]

13 hours ago, webfact said:

"I will fight to consign these unfair tariffs to the bin of history", she wrote (https://bit.ly/31YQqDr), while accusing the European Union of failing to protect British and Scottish interests.

And why should the EU care after Brexit ........

 

The only logical reply is slap tariffs on Bourbon, and any other USA products we do not actually need (cheese, wine, etc.). THEN go and negotiate.

 

Of course, there is still another WTO case against Boeing by the EU for unfair subsidies as well, but that could be months or even years before 'judgement'. Tit for tat.

Edited August 17, 2020 by rickudon
more comment

[Enzian]

16 hours ago, bannork said:

Does Liz Truss realise that after Jan 1st 2021 UK companies lose their EU protected designated of origin (PDO) status, and from that date on any country in the world can produce Scottish whisky?

But will they be able to call it Scotch? Japan and others produce good to very good equivalent whisky, but they don't call it Scotch.

[Surelynot]

Interesting! The UK's chief Brexit negotiator seems to be a bit of turncoat.

[Chomper Higgot]

The British Minister for Trade will do exactly as she’s told.

 

This isn’t a negotiation, it’s a weakened minor nation begging for a deal from ‘America First’.

 

Enjoy.

[7by7]

On 8/16/2020 at 11:11 PM, webfact said:

"I will fight to consign these unfair tariffs to the bin of history", she wrote (https://bit.ly/31YQqDr), while accusing the European Union of failing to protect British and Scottish interests.

 It seems that Ms Truss has failed to notice a little thing called Brexit!

 

Or has Cummings convinced her of his 2016 lie that leaving the EU meant we could still enjoy all the benefits of membership?

 

That could explain what changed her from being a Remainer to being a Brexiteer.

Edited August 18, 2020 by 7by7
typos