‘Time is of the essence’ to find US tariff resolution

“Time is of the essence” to find a resolution to US tariffs on European Union goods, the Director of the Irish Whiskey Association has warned.

US President Donald Trump announced a 20% tariff on all imports from the European Union, as part of a series of measures imposed on goods from countries across the globe.

It means Irish goods on US supermarket shelves will rise in price significantly.

Eoin Ó Catháin said there is “no easy solution” to alleviate the levies.

Speaking on RTÉ’s The Business, Mr Ó Catháin noted that “40% of our exports head to the US, it is by far and away our biggest market, where we make our most sales”.

“But also it’s the engine that has kept the Irish whiskey sector going and growing,” he added.

His comments come as the initial 10% “baseline” tariff from many countries took effect at US ports, airports and customs warehouses.

“It remains to be seen what exactly will be the impact of this 20% tariff on the consumer, on the economy overall, and indeed on our sector,” Mr Ó Catháin said.

He said that there are “a lot of unknowns” following US President Donald Trump’s announcement earlier this week, adding “there’s been chaos and turmoil in the global economy”.

Mr Ó Catháin said the Irish Whiskey Association is “analysing to see what the final impact” on the price on the US shelf will be and the effect on domestic businesses.

“I suppose smaller and craft sales would always be more exposed to any changes in this and there are a number of distilleries who depend an awful lot on the on the US market, not only for their sales, but also for to for funding to enhance their operations in other new emerging markets.

“All of that I think is put at risk,” he said.

Mr Ó Catháin said there is a need to ensure engagement with the Government and the European Commission “to see what the response will be, to see what supports are available”.

“I think when it comes to this kind of situation where you have tariffs, tit for tat, going over and across the Atlantic, this is a situation that we ultimately want to avoid,” he said.

“There are no winners in a trade war and that’s what we need to focus on when we look towards engaging and trying to find a solution,” Mr Ó Catháin added.

Meanwhile, Tánaiste Simon Harris will travel to the US next week for a meeting with the Secretary of Commerce Howard Lutnick.

It is understood the meeting will take place on Wednesday.

The two men have already spoken on the telephone in recent days when they discussed the two-way nature of the trading relationship between the countries.