Irish exports to the US, Ireland’s goods exports to the United States jumped by 34% in 2025, reaching €72.6 billion (£60.4 billion), while imports from the US fell slightly to €22.5 billion (£18.7 billion). This surge has given Ireland a goods-trade surplus of over €50 billion (£41.6 billion) with the US, according to data from Ireland’s Central Statistics Office (CSO).
The increase comes amid shifting trade dynamics and political scrutiny, particularly as former US President Donald Trump re-enters the political arena with his “fair and reciprocal” trade plan. Here’s what you need to know about Ireland’s export boom and its implications.
Why Are Irish Exports to the US Growing?
The surge in Irish exports is largely driven by the pharmaceutical industry, which accounts for nearly half of all goods exported to the US.
- Pharmaceutical Dominance: Medical and pharmaceutical products made up 45% of Ireland’s total goods exports in 2024, rising by 29% to nearly €100 billion (£83.1 billion).
- Key Players: Companies like Eli Lilly, which manufactures its weight-loss drug Zepbound in County Cork, have significantly contributed to this growth.
- Tax Advantages: Ireland’s low corporate tax rate of 12.5% has attracted major US pharmaceutical companies, making it a hub for production and export.
The Political Context: Trump’s Trade Policies
Donald Trump’s return to the US presidency has brought trade imbalances back into focus. His “fair and reciprocal” plan aims to address countries with large trade surpluses, which he views as taking advantage of the US.
- Targeted Countries: Trump has mentioned Canada, Taiwan, India, and the EU as having unfair trade practices.
- Ireland’s Position: While Trump hasn’t singled out Ireland, the country’s €50 billion trade surplus with the US could draw attention.
- EU Trade Policy: As trade negotiations are handled at the EU level, Ireland may face indirect pressure if the EU becomes a target of US tariffs.
What Does This Mean for Ireland?
Ireland’s export boom has economic benefits but also potential risks, especially if US trade policies become more aggressive.
- Economic Growth: The surge in exports supports jobs and investment in Ireland, particularly in the pharmaceutical sector.
- Trade Risks: If the US imposes tariffs on EU goods, Ireland’s exports could be affected, even if the country isn’t directly targeted.
- Tax Scrutiny: US lawmakers have raised concerns about tax avoidance by pharmaceutical companies operating in Ireland, which could lead to tighter regulations.
Irish Exports to the US, Future Outlook
The growth in Irish exports to the US shows no signs of slowing, but the landscape could change depending on political and economic factors.
- Pharmaceutical Demand: Global demand for medical and pharmaceutical products is expected to remain strong, supporting continued export growth.
- Trade Policy Shifts: Changes in US or EU trade policies could impact Ireland’s export-driven economy.
- Corporate Tax Reforms: International efforts to standardize corporate tax rates may affect Ireland’s appeal to US companies.
Final Thoughts
Ireland’s 34% surge in goods exports to the US highlights the country’s strength in the pharmaceutical sector and its appeal to US companies. However, the growing trade surplus and shifting political dynamics could bring challenges.
As global trade policies evolve, Ireland will need to navigate these changes carefully to maintain its economic momentum.
