Irish Prime Minister Warns “Tariffs Are Harmful” During Trump Trade Standoff

Washington — Irish Taoiseach Micheál Martin expressed his hopes for dialogue to resolve the ongoing trade conflict between the U.S. and the European Union, following President Trump’s recent threat on Thursday to impose 200% retaliatory tariffs on wines and alcoholic beverages from Europe.

The proposed tariffs are in retaliation to the European Union’s counter-tariffs against President Trump’s earlier steel and aluminum tariffs.

“Currently, we are facing a lot of uncertainty,” Martin remarked in an interview with CBS News on Thursday. “In general, tariffs harm trade and businesses, and they also hurt consumers by driving up prices. I don’t see that as beneficial. We hope that, over time, these matters will be resolved through trade negotiations that will lead to an agreement that everyone can find acceptable.”

Martin noted that President Trump is “well aware of the goods surplus that Ireland has, mainly due to the pharmaceutical sector.”

“However, when considering services, Ireland actually faces a deficit,” he added.

Martin characterized the economic relationship between the U.S. and Ireland as a “two-way street” and emphasized his country’s significant investments in the U.S., including over 700 Irish firms that he claimed have generated more than 50,000 jobs in the U.S. He also pointed out that the Irish airline, Ryanair, recently ordered over 400 Boeing aircraft.

When combined with AerCap’s purchase of 150 Boeing aircraft the previous year, Irish-owned businesses have become “the largest purchasers of Boeing aircraft outside the United States,” he said.

“In a worst-case scenario, such as a 25% tariff increase across the board in retaliation from both sides — a Boeing 787’s price could rise by $40 million,” said AerCap’s CEO Aengus Kelly during a CNBC interview on Wednesday. “No one is going to want to pay that.”

Kelly added that European companies would likely shift their purchases to Airbus, a European manufacturer, should President Trump’s tariffs take effect.

When asked about his meetings with the president on Wednesday at the White House, Martin described them as “positive discussions” that honored the “historic connections between the two nations.” He referred to Mr. Trump as a “gracious host” with a “fondness for Ireland.”

“He appreciates Ireland. He has investments there,” Martin noted, adding that President Trump, being from New York, displayed “a strong understanding of the Irish-Americans.”