'US is counting on fragmentation within the EU', Taoiseach says in Brussels meeting

Taoiseach Micheál Martin's meeting with the European Commission president was the first time the Taoiseach had a formal meeting with Ms von der Leyen since being re-elected. File Picture: PA

Europe must stay united as the US is "counting on" a divided EU in its trade war against the continent, Taoiseach Micheál Martin said while in Brussels meeting with European Commission president Ursula von der Leyen.

It was the first time the Taoiseach had a formal meeting with Ms von der Leyen since being re-elected.

The two discussed the EU-US negotiations on tariffs and the EU’s plan to apply tariffs of up to €95bn on US goods if talks fail.

They also discussed Ireland's rotating presidency of the European Council next year, which will involve chairing contentious and highly complex negotiations on the EU's seven-year budget.

"The US is counting on fragmentation within the European Union," Mr Martin told reporters.

The EU doesn’t want to be in this position, so we have to work as a union 

Mr Martin said Ireland will put forward any concerns Dublin has about US goods being targeted by tariffs, which will considerably impact the Irish economy.

“We will be giving feedback on areas of most sensitivity to the Irish economy”, he said.

The Government is particularly concerned about the addition of tariffs on whiskey, bourbon, and the potential for a digital services levy if the trade war escalates.

However, he warned having a "painless" response to a tariff war is impossible. He added that all European economies would be impacted if the EU decides it has no option other than respond to US tariffs.

"We were effective on the last occasion, and we will again give recommendations to the commission and give the feedback on some of the impact of the counter measures," Mr Martin said, referencing the successful lobbying by Ireland, Italy, and France, to avoid tariffs on wine and whiskey.

Foreign drug production

However, "nobody’s aims are going to be completely met in the context of a trade war", he added.

Ireland is also anxious over pharmaceutical tariffs and is awaiting a US investigation into the impact on American national security over the reliance of foreign drug production.

Mr Martin said he had spent the last six weeks to two months meeting with several pharmaceutical companies, who are eager for the situation to stabilise, for them to make investment decisions in European and the US.

He said talks so far are still at early stages, and "there is still some distance to go before there is clarity around an outcome that will satisfy the EU and US interests".

Meanwhile, the Taoiseach said he put forward Ireland’s position that Israel’s war in Gaza has lost its "moral compass".

Earlier in the day, he said that Gaza was “hell on Earth.”

I pointed out that the 50-day blockade of food is beyond any moral compass in my view

So far, the EU has failed to build any consensus on the war in Gaza.

However, the Dutch foreign minister called for the EU-Israel Association Agreement to be reviewed in response to Israel’s latest announcement that it is escalating its onslaught in the enclave.

Meanwhile, the Government will proceed with the Occupied Territories Bill banning goods from illegal Israeli settlements and will ensure that it abides by EU trade law.

“We’ve taken legal advice on the Occupied Territories Bill and we’re satisfied with our position on that," Mr Martin said.