The regiment was raised in Glasgow by Major-General Sir Archibald Campbell for service in India as the 74th (Highland) Regiment of Foot in October 1787. In accordance with the Declaratory Act 1788 the cost of raising the regiment was recharged to East India Company on the basis that the act required that expenses "should be defrayed out of the revenues" arising there. The regiment embarked for India in February 1789 and took part in the Siege of Bangalore in February 1791 and the Siege of Seringapatam in February 1792 during the Third Anglo-Mysore War.
The regiment embarked for Portugal in January 1810 for service in the Peninsular War. It saw action at the Battle of Bussaco in September 1810, the Battle of Fuentes de Oñoro in May 1811 and the Battle of El Bodón in September 1811, before further combat at the Siege of Ciudad Rodrigo in January 1812, the Siege of Badajoz in March 1812 and the Battle of Salamanca in July 1812. It also fought at the Siege of Burgos in September 1812 and the Battle of Vitoria in June 1813. It then pursued the French army into France and saw action at the Battle of the Pyrenees in July 1813, the Battle of Nivelle in November 1813 and the Battle of the Nive in December 1813. After that it fought at the Battle of Orthez in February 1814 and the Battle of Toulouse in April 1814 before embarking for Ireland in June 1814.