Irish exports drop marginally as impact of Iran war 'beginning to filter through'

Exports to the US dropped by almost 70% annually following a year of trade volatility and stockpiling by Irish-based companies

Exports of medical and pharmaceutical products, which skyrocketed last year, decreased by just under 60% to €6.4bn in February compared to the same month in 2025. Picture: David Creedon

Irish exports dropped marginally in February compared to the previous month, falling by under 1% to €16.2bn.

New figures released by the Central Statistics Office (CSO) on Wednesday show significant annual drops following a year of notable trade volatility, with February exports falling by more than 36% compared to the same period last year. 

Early 2025 saw significant stockpiling by Irish-based companies in the US as part of efforts to avoid incoming tariff measures by US President Donald Trump, leading to a surge in exports. 

However, compared to February 2024, Irish exports remain largely stable, falling by just 0.3%. 

"There were exceptionally high export volumes in 2025, and looking over a longer period of time, we can see exports declined less than 1% in February 2026 when compared with February 2024," said CSO statistician Jane Burmanje.

Exports to the US decreased significantly on an annual basis, falling by almost 70% to €3.9bn. Ms Burmanje noted that despite exports of goods to the US falling by more than two-thirds in February, the US remained Ireland’s top import and export goods partner, followed by the Netherlands.

Meanwhile, exports to Great Britain increased by 23% to €1.4bn in February compared to the same month last year.  

Exports of medical and pharmaceutical products, which also skyrocketed last year, decreased by just under 60% to €6.4bn in February compared to the same month in 2025. 

On the other side, seasonally adjusted goods imports grew by over 1% to €12.2bn in February 2026 when compared with the previous month. On an annual basis, however, unadjusted goods imports were down by over 6% to €11.3bn in February compared with the same month last year.

Speaking on Ireland's latest trade figures, senior client portfolio manager at Ebury (Ireland), Robert Purdue, said that despite moderate falls once last year's spikes are considered, the CSO's data “still points to a more challenging environment for exporters."

"The impact of the Iran conflict is beginning to filter through, increasing global energy and fuel prices and adding volatility to trade conditions. This is already feeding into higher input costs for businesses and increasing pressure on margins.

“The conflict is also raising the prospect of tighter financial conditions, with inflation fears potentially prompting ECB rate hikes and higher borrowing costs for firms."