Irish business leaders back ‘calm and measured’ response to US tariffs at forum
By Cate McCurry, PA
Business leaders have backed the Government’s calls for a “calm and measured” response to US tariffs, while also calling for a diversification into other markets.
It comes as the Taoiseach led a meeting of the Labour Employer Economic Forum (LEEF), attended by key business and union representatives, on Friday.
Micheál Martin met with business leaders and heard the concerns of those representing industries, businesses and workers following the announcement of tariffs by the US this week.
The economic and trade developments topped the agenda of the meeting at Government Buildings on Friday.
The LEEF meeting included representatives from IBEC, CIF (Construction Industry Federation), Chambers Ireland, ICTU, SIPTU, Forsa and the INMO (Irish Nurses & Midwives Organisation).
Government leaders including Tánaiste Simon Harris, Minister for Public Expenditure Jack Chambers, Minister for Finance Pashcal Donohoe and Minister Peter Burke also attended the meeting.
General secretary of the Irish Congress of Trade Unions Owen Reidy said the meeting was “timely”.
“I think there are three things to think of. The first thing is, we protect jobs and as many jobs as possible,” Mr Reid said.
“We need a bespoke, specific pay related unemployment benefit for these sectors that will be disproportionately affected.
“Second thing, I think, is this is going to affect our fiscal area, tax base and public services.
“I think you need a rule out tax cuts over the next period.”
He said Ireland needed to “wean our disproportionate” reliance on the US and look at a new economic model.
“We have proposals that we’re working on with the Netherlands Economic Research Institute, which we’ll bring to the Government in June, which says, we need to diversify, use the opportunity,” he added.
“I’ll also say, I think this is a marathon, not a sprint. We’re not going to see the ramifications of this for some time.”
Chief executive of Chambers Ireland Ian Talbot also said there was a need for a “calm and muted response”.
“I mean clearly we are living with great uncertainty and unpredictability,” he said ahead of the meeting.
“What that’s going to mean is companies are going to be very reluctant to invest while this uncertainty is going on. So we do need a resolution, obviously, to our trade relationship with the US, but we also need to be looking at other markets.
“87 per cent of trade doesn’t involve the US, but let’s look at some of our traditional markets, the UK, making more of the [EU] single market and making more of our free trade agreements as well.”
Mr Martin said the forum would discuss the tariffs and its implications.
“There also will be with the other issues on the agenda that were there before President Trump’s announcement,” he added.
“It’s an important forum where we maintain dialogue with the social partners, and I’m looking forward to the engagement.”
