Scotch Whisky Sales Plummet Globally: Industry Grapples with Fading Demand, Shifting Tastes

• Scotch whisky sales fell 2.5% in H1 2025, marking the third consecutive annual decline after years of consistent growth.
• Distilleries are scaling back production, reassessing capital expenditure, and investing in additional storage capacity as inventories build up.
• External pressures like trade tensions and higher living costs are pushing up retail prices and reducing discretionary spending on premium spirits.
• Key markets such as China show fatigue due to slower economic growth, cautious consumer sentiment, and a pullback in luxury spending.
• Younger consumers are drinking less alcohol, driven by health awareness and non-alcoholic alternatives, indicating a structural shift in behavior.

Why It Matters: Scotch whisky faces a critical challenge to redefine its relevance amid declining sales and changing consumer habits.