Deal may create 8,000 Irish jobs

A potential trade agreement being negotiated between the EU and US could result in the creation of 8,000 Irish jobs, according to research.

The Transatlantic Trade and Investment Partnership would be more than twice as beneficial to the Irish economy than the EU average and would add 1.1% to the country’s GDP, the study by Copenhagen Economics estimates.

Jobs Minister Richard Bruton said that while the Government was not in a position to stimulate the economy with major spending, job-creation must be led by increased levels of trade and exports.

“At a time of high unemployment, both in Ireland and across the EU, we must grab with both hands any opportunities for job-creation. Major stimulus spending is not an option, and so our focus must be on increased trade and exports,” he said.

“In particular, huge potential is offered by the EU-US trade agreement currently in negotiation — official studies show that a comprehensive trade and investment partnership could create 400,000 extra jobs in the EU,” he added.

Small businesses as well as the life science, manufacturing and information and communications technology sectors would benefit most from any agreement between the two parties, the minister said.

Mr Bruton was involved last year in securing agreement between the 28 EU member states to begin negotiations on the partnership.

The potential partnership aims to make it easier for EU and US businesses to buy and sell goods by removing barriers to trade — with Ireland particularly well positioned to benefit, said the minister.

“Ireland has particularly strong economic links with the US, with over 100,000 people employed in 500 US companies here, and Irish companies exporting over €1bn in goods and services to the US every year. We knew at the time of the presidency last year when the EU mandate was secured, that Ireland stood to benefit disproportionately if an agreement was secured,” he said.

Critics of the potential trade agreement say that it would give businesses too much power through controversial investor-state dispute resolution processes.