Chambers Ireland says new round of US tariffs shows 'uncertainty' facing exporters

Business representative body says EU must continue to develop other trade partners

US president Donald Trump imposed new tariffs of 10% and 12.5% on goods from 60 trading partners, including the EU. Picture: AP Photo/Manuel Balce Ceneta

Chambers Ireland and International Chamber of Commerce Ireland have expressed concern at the latest US decision to impose new tariffs on imports from trading partners including the EU.

The United States on Friday imposed new tariffs of 10% and 12.5% on goods from 60 trading partners, including the EU and China, alleging those countries failed to curb imports made by forced labour, just as a temporary 10% global tariff expired.

The move is the White House's first step in efforts to rebuild US president Donald Trump's near-global tariff wall after the US supreme court in February struck down his "reciprocal" duties of 10% to 50% imposed last year under a national emergencies law to try to shrink the US trade deficit.

The EU was assigned rates that, combined with pre-existing most-favoured-nation tariff rates, totaled 10% or 12.5%, and does not breach a trade agreement struck between the EU and the US.

Nevertheless, Chambers Ireland said the announcement was another reminder that Irish businesses are operating in an increasingly uncertain trading environment.

"The United States remains Ireland's largest export market. With almost half of our goods exports destined for the United States, businesses need confidence that trading conditions will remain stable and predictable over the long term," said Chambers Ireland chief executive Ian Talbot. 

"The response from Ireland and the European Union must be to maintain strong trading relationships while expanding access to new markets and reducing reliance on any single destination.

"This development should provide renewed impetus for the EU to conclude and implement trade agreements with key partners. Progress on Free Trade Agreements, alongside negotiations with India, Indonesia and other growing economies, would expand market access for Irish businesses and help them build more resilient supply chains."

Mr Talbot said with Ireland currently holding the EU presidency, there is a significant opportunity to unlock the potential of the Single Market by reducing trade barriers. 

“Irish businesses are among the most internationally connected in Europe, and their ability to compete globally has a direct impact across the economy. Reducing the cost of business must remain a priority and open markets, rules-based trade and access to a broad range of export destinations are essential to achieving that. Expanding those opportunities will strengthen competitiveness and benefit businesses and consumers alike.”