Trump’s Tariff Tango: Little Change for Ireland as US Extends Trade Levies

The Trump administration has swapped in a fresh set of tariffs, replacing temporary levies that were set to expire. For Irish exporters, it means little has changed. The 15 percent ceiling on most goods remains, and exemptions for key products like pharmaceuticals stay in place.

This move comes as the US juggles its commitment to taxing imports with pushback from the courts. The US Supreme Court struck down parts of the tariff regime last February, leading to around $80 billion (€70 billion) in refunds. But President Trump has used his remaining powers to keep tariffs as a central economic policy.

For Ireland and the rest of the EU, the practical impact is minimal. The baseline 10 percent tariff on a large volume of goods continues. Exempt products, including cork, diamonds, aircraft, and generic drugs, remain outside the regime. Cheese, for instance, will be taxed at 14.9 percent, EU officials confirmed.

The EU has made clear it disagrees with the legal justification for the tariffs, which cite claims of child labour in supply chains. A senior European Commission official said the bloc has made its position clear to US counterparts.

Last year, the EU agreed to a 15 percent tariff on many exports after high-profile talks between EU Commission president Ursula von der Leyen and Donald Trump at his Turnberry resort in Scotland. The latest US move keeps that deal ticking over.

Brussels noted the new rate complies with the bilateral trade deal but suggested room to remove additional product categories. EU officials are already seeking tariff relief on around €155 billion worth of European goods, including medical devices, whiskey, wine, spirits, beer, olive oil, speciality cheeses, machinery, and electrical equipment.

Many non-EU exporters face higher levies. Japan, Switzerland, and South Korea see caps at 12.5 percent. Some Asian countries are hit with additional duties. New Zealand trade minister Todd McClay called the decision disappointing but not unexpected. Australia labelled the action unjustified. Singapore’s foreign minister Vivian Balakrishnan said there was no economic justification.

For the EU, there is no practical change for now. But the US move is a reminder that the Trump White House remains committed to tariffs as its signature economic policy.

What does this mean for Irish exporters?

For Irish exporters, the new tariffs mean little change. The 15 percent ceiling on most goods stays, and exemptions for key products like pharmaceuticals remain. Some goods could benefit from a lower 10 percent tariff. The EU is continuing to push for further exemptions.

Why is the US imposing these tariffs?

The US is imposing these tariffs based on justifications including claims of child labour in supply chains. This legal basis complies with laws restricting the US president’s powers over trade, unless he acts to address specific issues.

How has the EU responded?

The EU has said it does not agree with the finding and has made that clear to US counterparts. Brussels noted the new rate complies with the bilateral trade deal but suggested room to remove additional product categories. EU officials are seeking tariff relief on around €155 billion worth of European goods.