Global demand for Scotch whisky has slumped, causing distilleries to pause production across Scotland to avoid adding to the glut of supply known as a “whisky loch” – the equivalent of a “wine lake,” according to The Guardian.
There was a 15-year boom in Scotch whisky – made exclusively in the U.K. country of Scotland – that was turbocharged by the COVID-19 pandemic. But now, economic pressures and falling rates of alcohol consumption, especially in the affluent countries that account for the majority of Scotch consumption, has put demand on the rocks.
The Spirits Business reports that the community-owned GlenWyvis Distillery in the Highlands announced on September 23 that financial troubles had led to it appointing administrators after failing to secure funding to continue trading. At Cameronbridge, Diageo’s workers last week began strike action to protest against the company’s plans to cut hundreds of jobs across its operations in Scotland.
Diageo produces about one in three bottles of Scotch globally, including Johnnie Walker. The Guardian says that dozens of Scotland’s 156 active distilleries are rumored to be up for sale.
The Scotch industry was already in trouble before U.S. President Donald Trump pledged to remove tariffs on Scotch exports to the U.S. after the King and Queen’s state visit to the White House in April. According to the Scotch Whisky Association, Trump’s “liberation day” tariffs in April 2025 resulted in a 15% fall in Scotch exports to the U.S.
