Importing from the UK to the US: Post-Brexit Tariffs, Scotch Duty & 2026 Guide

The UK shipped $90.4 billion in goods to the US in 2025, making America the single biggest destination for British exports — 15.5% of everything the UK sells abroad. Machinery, pharmaceuticals, vehicles, Scotch whisky, and aerospace parts dominate the trade flow.

But here's the thing that catches a lot of importers off guard: the UK has no free trade agreement with the United States. Despite being close allies with a "special relationship" that gets toasted at every state dinner, British goods face the same MFN (Most Favored Nation) tariff rates as goods from countries the US barely trades with. Post-Brexit, the UK lost its ability to ride on EU trade negotiations, and the much-discussed US-UK FTA has never materialized.

That means UK imports pay full Column 1 General rates plus the 10% Section 122 surcharge. No preferential treatment. No tariff reductions. Just the published rate.

Here's what that actually looks like in practice.

Quick check: Calculate duties on your UK products →

By VatCheck Research Team. Sources: UK Office for National Statistics (ONS), US Census Bureau, USITC HTS 2026, UK House of Commons Library (US trade tariffs briefing), CBP import data, TTB Beverage Alcohol Manual.

Current Tariff Rates on UK Goods (May 2026)

Without an FTA, UK goods enter the US under standard Column 1 General (MFN) rates. These rates vary wildly by product — from 0% on many industrial inputs to 48% on certain textile products. On top of that, Section 122 adds 10% across the board.

What You're Paying Today

| Tariff Layer | Rate | Status | |---|---|---| | MFN base rate | Varies by product (0-48%) | Permanent (Column 1 General) | | Section 122 surcharge | 10% of customs value | Struck down May 7, stayed May 12 — still collected. Expires July 24. | | Section 232 | 50% on steel/aluminum, 25% on copper | Indefinite | | Section 301 | None | UK not targeted | | Anti-dumping/CVD | Select products | Case-specific |

The UK is in a better position than China (no Section 301 tariffs) and roughly equivalent to Germany and the rest of the EU. The lack of FTA means the UK doesn't get the preferential access that Australia (AUSFTA), Canada/Mexico (USMCA), South Korea (KORUS), or Japan (framework deal) enjoy.

Product-Specific Duty Rates

Here are the actual rates for the UK's top export categories to the US:

| Product | HTS Chapter | MFN Rate | + Section 122 | Total Effective | |---|---|---|---|---| | Gas turbines / power generators | Ch. 84 | 0-2.5% | 10% | 10-12.5% | | Pharmaceutical preparations | Ch. 30 | 0% | 10% | 10% | | Passenger vehicles | Ch. 87 | 2.5% | 10% | 12.5% | | Aircraft engines & parts | Ch. 84 | 0% | 10% | 10% | | Scotch whisky (bourbon cask, bulk) | Ch. 22 | $0/proof gallon | 10% | 10% | | Scotch whisky (bottled, ≤ 2L) | Ch. 22 | $0/proof gallon | 10% | 10% | | Crude petroleum | Ch. 27 | 5.25¢/barrel | 10% | ~10% | | Medical instruments | Ch. 90 | 0-6.6% | 10% | 10-16.6% | | Steel products | Ch. 72 | Varies | 10% | 60% | | Aluminum (unwrought) | Ch. 76 | Varies | 10% | 60% | | Cashmere sweaters | Ch. 61 | 16% | 10% | 26% | | Ceramic tableware | Ch. 69 | 0-9% | 10% | 10-19% |

A few things to notice. Most of the UK's top exports to the US are industrial goods and pharmaceuticals with low MFN rates (0-2.5%), so the total duty is often just the 10% Section 122 plus a small MFN component. The pain points are steel/aluminum (Section 232 pushes to 60%), textiles (high MFN rates), and certain specialty products.

For your exact product, look up the HTS code and calculate the total duty.

Scotch Whisky: The Duty That Vanished (and Came Back)

Scotch is one of the UK's signature exports to the US, worth over $1.5 billion annually. The tariff history on Scotch whisky is one of the more dramatic arcs in recent trade policy.

The Timeline

• Pre-2019: Scotch entered the US at $0 per proof gallon (duty-free under MFN)
• October 2019: Trump administration imposed 25% tariffs on single-malt Scotch as part of the Airbus-Boeing WTO dispute
• March 2021: Tariff suspended under Biden agreement
• June 2022: Tariff formally resolved — Scotch returned to $0
• February 2026: Section 122 surcharge adds 10% to everything, including Scotch

So right now, Scotch whisky pays no specific duty per proof gallon, but the 10% Section 122 applies to the customs value. On a $50 bottle of single-malt, that's about $5 in Section 122 surcharge at the wholesale level.

What Scotch Importers Should Know

The specific duty rate ($0/proof gallon) means the MFN component is effectively zero. Your main cost is the 10% Section 122 on customs value. If Section 122 expires on July 24, Scotch goes back to truly duty-free — making the UK the only major whisky-producing country with 0% total duty on US imports.

For importers carrying significant Scotch inventory, a bonded warehouse can defer the Section 122 payment until after July 24, potentially eliminating it entirely.

TTB Import Requirements

Alcohol imports require permits beyond standard customs documentation:

• Federal Basic Permit (27 CFR Part 1) — required for all alcohol importers
• Certificate of Label Approval (COLA) — each label must be approved by TTB before the product can be sold
• Certificate of Age and Origin — required for Scotch whisky destined for retail
• State-level import permits — vary by state, some require additional licensing

Processing time for a COLA is typically 7-14 days, but can extend to 30+ days during peak periods. Submit well before your shipment arrives.

Pharmaceuticals: The UK's Quiet Export Powerhouse

The UK pharmaceutical sector exported $38.7 billion globally in 2025, with the US as a top destination. AstraZeneca, GSK, and dozens of specialty pharma companies ship substantial volumes to the US market.

Most pharmaceutical preparations enter at 0% MFN duty — making Section 122 (10%) the only tariff cost. But the pharmaceutical tariff under Section 232 adds major complexity starting July 31, 2026:

• Patented drugs from 17 named companies — 100% tariff (includes AstraZeneca, GSK)
• Generics — exempt from the pharmaceutical tariff
• UK-based manufacturing with onshoring commitment — reduced rate of 20%
• UK-sourced active pharmaceutical ingredients — 15% rate under MFN pricing agreements

For pharma importers, July 31 is the date to watch. UK pharmaceutical companies with US manufacturing commitments (like AstraZeneca's new facilities) may qualify for the lower 20% onshoring tier. Pure UK-manufactured imports from named companies face the full 100%.

Post-Brexit: What Changed for US Importers

Before January 31, 2020, the UK was part of the EU. Goods could be manufactured anywhere in the EU single market and qualify as "EU origin." For US importers, this mostly didn't matter — the EU doesn't have an FTA with the US either, so the same MFN rates applied.

But Brexit created several practical complications:

1. Rules of Origin Got Complicated

A product manufactured in the UK using EU-sourced components is now "UK origin" for customs purposes, but the EU components don't receive preferential treatment since neither the UK nor the EU has an FTA with the US. The practical impact is minimal for US tariff rates (MFN either way), but country-of-origin marking requirements changed.

Products must be marked "Made in United Kingdom" or "Made in Great Britain" — not "Made in EU" or "Made in England, EU." CBP enforces country-of-origin marking under 19 CFR Part 134, and incorrect marking can result in marking duties (10% of customs value) on top of regular duties.

2. UKCA vs. CE Marking

Products with CE marking (EU conformity assessment) may also need UKCA marking for the UK market, and vice versa. For US importers, this matters if you're buying products designed for both markets — ensure the version you're importing meets US regulatory requirements (FDA, CPSC, EPA) regardless of UK or EU markings.

3. Northern Ireland Protocol

Goods manufactured in Northern Ireland can technically claim both UK and EU origin under the Windsor Framework. For US importers, this creates a quirk: a product made in Belfast with EU-sourced inputs might qualify differently for customs purposes than the same product made in Manchester. In practice, this rarely matters for US tariff rates (both get MFN), but it can affect classification and documentation.

4. Currency Conversion

UK invoices are typically in GBP (British pounds). CBP requires customs value to be declared in USD, converted at the CBP-published exchange rate for the date of export. As of May 2026, GBP/USD fluctuates around 1.26-1.30.

GBP exchange rate tip: Use the CBP Quarterly Conversion Factors (published on cbp.gov) for your entry. Don't use the spot rate from your bank — CBP has its own published rates, and using the wrong one triggers adjustments and delays.

Top Import Categories with Worked Examples

Machinery and Power Generators (Chapter 84)

The UK's largest goods export category to the US. Rolls-Royce jet engines, industrial turbines, and specialized machinery dominate.

Example: 1 Rolls-Royce industrial gas turbine component, value £400,000 GBP

| Cost Component | Calculation | Amount | |---|---|---| | Product cost (GBP) | £400,000 | | | USD conversion (@ 1.28) | £400,000 × 1.28 | $512,000 | | Air freight (UK → US) | Heavy machinery express | $15,000 | | Insurance (0.4%) | $527,000 × 0.004 | $2,108 | | CIF value | | $529,108 | | MFN duty (0%) | Turbine parts: free | $0 | | Section 122 (10%) | $529,108 × 0.10 | $52,911 | | MPF (0.3464%) | $529,108 × 0.003464 | $1,833 | | Customs broker | Complex entry | $500 | | Total landed cost | | $584,352 | | Effective duty rate | | 10.4% |

The good news: most industrial machinery carries 0% MFN, so you're only paying the Section 122 surcharge. If Section 122 expires July 24, this import drops to near-zero duty.

Scotch Whisky (Chapter 22)

Example: 1 pallet (120 cases) of single-malt Scotch, FOB Glasgow at £1,800/case

| Cost Component | Calculation | Amount | |---|---|---| | Product cost (GBP) | 120 × £1,800 | £216,000 | | USD conversion (@ 1.28) | | $276,480 | | Ocean freight (Glasgow → Newark) | | $3,200 | | Insurance | | $1,399 | | CIF value | | $281,079 | | MFN duty ($0/proof gallon) | | $0 | | Section 122 (10%) | $281,079 × 0.10 | $28,108 | | Federal excise tax | $13.50/proof gallon × est. 480 gal | $6,480 | | MPF (0.3464%) | | $974 | | TTB processing | | $150 | | Customs broker | | $300 | | Total landed cost | | $317,491 | | Per case landed | $317,491 ÷ 120 | $2,646 |

The $28,108 in Section 122 surcharge is the entire tariff cost. If this expires July 24, the duty component drops to zero. Consider a bonded warehouse for Scotch inventory arriving between now and July to potentially avoid the surcharge entirely.

Vehicles (Chapter 87)

The UK exports Jaguar, Land Rover, MINI, Bentley, McLaren, and Rolls-Royce vehicles to the US. The 2.5% MFN rate for passenger vehicles is one of the lowest in the automotive world (EU charges 10%, China charges 25%+).

With Section 122: 2.5% + 10% = 12.5% total. On a $100,000 Bentley, that's $12,500 in duties. On a $35,000 MINI, it's $4,375.

Note: the 25% "chicken tax" on light trucks still applies to UK-made commercial vehicles. Land Rover Defenders configured as commercial vehicles may face this rate.

UK vs. EU vs. Australia: Sourcing Comparison

For many product categories, importers choosing between the UK, EU, and other sources need to understand the tariff differences:

| Factor | UK | EU (Germany, France, etc.) | Australia | |---|---|---|---| | FTA with US | No | No | Yes (AUSFTA) | | Base MFN rate | Column 1 General | Column 1 General | AUSFTA (0% most goods) | | Section 122 | 10% | 10% | 10% | | Section 301 | None | None (excess capacity investigation pending) | None | | Section 232 (metals) | 50% | 50% | 50% | | Total on machinery | ~10-12.5% | ~10-12.5% | ~10% | | Total on pharma | 10% (but watch July 31 S.232) | 10% (same July 31 risk) | 10% | | Total on beef | 36.4% (26.4% MFN + 10%) | 36.4% | 10% (AUSFTA) | | Transit to US East Coast | 7-10 days | 8-12 days | 25-30 days | | Currency | GBP (volatile) | EUR (more stable) | AUD |

When the UK Wins

• Speed. 7-10 days ocean freight to the US East Coast, with daily departures from Southampton, Felixstowe, and Liverpool. For time-sensitive orders, that's hard to beat from anywhere outside Canada/Mexico.
• Language and legal alignment. English-language contracts, common-law legal frameworks, and similar business practices reduce transaction costs.
• Specialty manufacturing. UK excels in aerospace components, pharmaceuticals, spirits, and luxury vehicles — categories where quality justifies the tariff premium.
• IP protection. Strong intellectual property enforcement compared to many sourcing countries.

When the UK Loses

• No preferential tariff treatment. Every other major US trading partner on this list (Australia, Canada, Mexico, Japan, South Korea) has some form of FTA or framework deal. The UK is paying full MFN rates, which can be 10-26 percentage points higher than preferential rates on the same product.
• Brexit-related complexity. Rules of origin, dual marking requirements, and regulatory divergence from the EU add compliance overhead.
• Cost competitiveness. British wages are high, the pound fluctuates, and energy costs have risen. For price-sensitive products, the UK can't compete with Asian sourcing.
• Metals. Section 232 at 50% makes UK steel and aluminum uncompetitive. Before 2022, the EU had a Section 232 exclusion arrangement; post-Brexit, the UK was supposed to get a similar deal but negotiations stalled.

Documentation and Compliance

Every Shipment Needs

• Commercial invoice in GBP or USD (CBP converts at published rates)
• Packing list with weights and dimensions
• Bill of lading (ocean) or air waybill
• Customs bond — required for all commercial imports over $2,500
• ISF (Importer Security Filing) — filed 24 hours before vessel departure for ocean
• Country-of-origin marking compliant with 19 CFR Part 134

Product-Specific Documentation

Alcohol (Scotch whisky, gin, beer):

• TTB Federal Basic Permit
• Certificate of Label Approval (COLA) per label
• Certificate of Age and Origin for aged spirits
• State import licenses as required

Pharmaceuticals:

• FDA prior notice and drug registration
• Drug listing with FDA
• Compliance with cGMP requirements
• Import Alert status check (some UK facilities may be on alert)

Vehicles:

• EPA emissions certificate or exemption
• DOT/NHTSA safety compliance declaration (HS-7)
• Bond for nonconforming vehicles (if importing for modification)

Food products:

• FDA prior notice (Food Facility Registration)
• USDA/APHIS phytosanitary certificate for plant products
• FSIS permit for meat products
• Bioterrorism Act registration

Textiles and apparel:

• Fiber content labels (accurate percentage composition)
• Country-of-origin labels ("Made in United Kingdom")
• Care instruction labels per FTC rules

FAQ

What tariff rate does the US charge on UK goods? UK goods pay Column 1 General (MFN) rates, which range from 0% to 48% depending on the product, plus a 10% Section 122 surcharge. There is no US-UK free trade agreement providing preferential rates. Steel and aluminum face an additional 50% under Section 232.

Why doesn't the UK have a trade deal with the US? Despite years of discussion — accelerated after Brexit — a comprehensive US-UK FTA has never been completed. The main sticking points have been agricultural standards (US chlorinated chicken, hormone-treated beef), pharmaceutical pricing, and digital services regulation. Both countries have expressed interest, but no formal agreement has been reached as of May 2026.

How does Brexit affect importing from the UK? For US importers, the main practical changes are: country-of-origin marking must say "United Kingdom" or "Great Britain" (not "EU"), products may need UKCA marking alongside CE marking, and UK-manufactured goods using EU components require separate origin determination. Tariff rates didn't change (MFN applied before and after Brexit).

What's the cheapest way to import Scotch whisky? Scotch whisky has a $0/proof gallon MFN duty rate, so the only tariff cost is the 10% Section 122 surcharge. Consider using a bonded warehouse to defer Section 122 payment until after the July 24 expiration. Also factor in federal excise tax ($13.50/proof gallon) and state-level taxes, which can be significant.

Is it cheaper to import from the UK or the EU? For most products, the tariff rates are identical — both pay MFN + Section 122. The UK advantage is faster transit to the US East Coast (7-10 days vs 8-12 days from Northern European ports) and simpler English-language documentation. The EU advantage is a larger manufacturing base and slightly lower Section 301 risk. Neither has an FTA advantage.

How do I handle GBP to USD conversion for customs? Use CBP's published exchange rates (Quarterly Conversion Factors), not your bank's spot rate. CBP publishes certified rates on cbp.gov. If your invoice is in GBP, convert using the rate applicable to the export date. Using the wrong rate can trigger post-entry adjustments.