Embarrassed American got rid of bottles in the morning (7)
I believe the answer is:
ashamed
'embarrassed' is the definition.
('ashamed' can be similar in meaning to 'embarrassed')
'american got rid of bottles in the morning' is the wordplay.
'american' becomes 'a' (common abbreviation - e.g. in organisation names).
'got rid of' becomes 'shed'.
'bottles' is an insertion indicator ('bottle' can mean to contain).
'in the morning' becomes 'am'.
'shed' going around 'am' is 'shamed'.
'a'+'shamed'='ASHAMED'
(Other definitions for ashamed that I've seen before include "He's Adam (anag.)" , "Mortified, humbled" , "Contrite or embrassed" , "Feeling guilt or embarrassment" , "Overcome by remorse or guilt" .)