Working hard to make the best of world trading relationships
World markets are in turmoil, fears of trade wars are widespread and a global recession seems increasingly likely, followings the announcement of global tariffs by US President Donald Trump.
Trilions of dollars have been wiped from international stock markets, US consumers effectively face the biggest tax-rises since 1968 and the world holds its breath as countries prepare to announce retaliatory tariffs.
Scotland has been caught by the US tariffs like almost every other country and we are right to be concerned about the negative impact of trade barriers on the Scottish economy.
That will clearly have an impact on many Scottish businesses for which the United States is an important export market. Nearly a billion pounds of Scottish Whisky makes its way to the US annually. Of total UK food and drink exports, whisky accounts for about a quarter.
The United States and all parties must come together and work towards mutually beneficial resolutions. Meanwhile, it is right to still greatly value the strong social, cultural and economic ties that Scotland shares with the United States, and we must work to ensure that those continue to flourish.
That’s why First Minister John Swinney has been in the United States to celebrate Tartan Week. Timed to coincide with the April 6 anniversary of Scotland’s declaration of independence, events are held to mark the historic, cultural and economic connections between the old country and the new.
In recognition of the important role of the US as a key investment and trading partner, the First Minister met a number of high profile current and potential investors to promote the economic opportunities.
In Scotland, more than 700 US-owned enterprises provide employment to more than 115,000 people. In 2023, exports of Scottish goods to the US were worth £4 billion. Scotland is open for business and is one of the best places in the world to invest.
We have a reputation as a world-class entrepreneurial nation, with the number of start-ups, spin-outs, and scale-up companies growing at pace. We also have the potential to become a strategic hub for future renewable energy investments, specifically by developing and scaling projects in offshore wind, green hydrogen, and energy storage.
In the screen sector, US company Halon Entertainment, known for its work on The Batman, the Planet of the Apes franchise, and The Mandalorian, has announced plans to open a new £28 million animation studio in Glasgow. This investment will create up to 250 jobs over the next three years, delivering a significant boost to Scotland’s creative industries and underlining the growing international reputation of our skilled workforce and world-class academic institutions.
Halon’s decision to expand to Glasgow reflects Scotland’s strong position as a centre of creative and digital excellence. The company, which has also worked on major projects like Fortnite, highlighted the strength of our local talent as a key factor in its choice.
President Chris Ferriter rightly pointed out that expanding studios on both sides of the Atlantic will allow Halon to support productions worldwide with top-tier services and expertise. That Scotland has been chosen as a base for this expansion is a testament to the skills, innovation and reputation we have built across the creative sector.
The Scottish Government will continue to work hard at making the most out of trading relationships and be successful at gaining investment from abroad, regardless of globally difficult circumstances.