EU/US trade statement provides some clarity for Ireland
Last week’s EU/US statement on the trade deal agreed in July provided a little more clarity, but left many questions unanswered. Crucially for Ireland, US pharmaceutical tariffs remain at zero, with the US accepting the 15% ‘all-inclusive’ rate on EU exports will apply as a ceiling, if tariffs are imposed following the current Department of Commerce Section 232 investigation. So, at face value, Irish pharmaceutical exporters will not be exposed to President Trump’s threats of tariffs of up to 250% on the sector. Furthermore, generic drugs will remain exempt. However, sectoral carve-outs for spirits (e.g. whiskey) have not yet been agreed. It’s also worth remembering there is little legal basis for the agreement, so its continuation relies on President Trump honouring the terms.
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