US president Donald Trump’s tariff policies have continued with a new wave of these taxes announced on Friday. Fortunately, they are largely designed to replace tariffs already in place and as such the EU is not likely to feel the need to respond. That said, this is a sign that tariffs remain on Trump’s agenda and more trouble could lie ahead. Foe example, Trump is now threatening further tariffs on the EU over fines levied on US tech companies.
The latest tariffs follow on from Trump’s move in April 2025 to impose so-called reciprocal tariffs on the countries with which the US trades. These were subsequently ruled illegal by the US Supreme Court and the Trump administration then reimposed them on a temporary basis.
The latest move is designed to allow these tariffs to remain in place, without having to look for approval from the US Congress. The justification for their imposition is farcical, with the US saying they are based on the poor labour standards of other countries. This is no more than a convenient cover, but Trump knows that legal challenges would take time and would have to be taken on a country by country basis.
There will be little change in the tariffs faced by many Irish exporters to the US and relatively small alterations elsewhere. High-value pharma exports to the US remain excluded. Also, importantly for Ireland, the move does not threaten the EU/US trade agreement, as the tariffs are below the 15 per cent threshold agreed as part of that.
RM Block
There could still be difficulties ahead. The Trump administration is launching investigations into trade practices which could lead to further tariff threats on the EU. The US president has also thrown out threats of targeting particular sectors, such as cars, or countries, such as Spain. And he remains irked by the EU treatment of US digital multinationals, with Google fined $890 million by the European Commission last week for breaching digital rules. These tensions over tech regulation are the most likely area in which Trump’s policies might cause economic problems for Ireland.
