Tánaiste warns ‘economic shock’ from US tariffs comes at ‘critical juncture’ for war in Ukraine

TÁNAISTE SIMON HARRIS has warned that the “economic shock” that will come from US tariffs which are due to be imposed next week will amid a “critical juncture” for the war in Ukraine.

US president Donald Trump yesterday announced that he will impose 25% tariffs on all cars and light trucks that are not built on US soil.

Trump said the tariffs will take effect on 2 April, the same date that he is set to announce ”reciprocal tariffs” on EU goods and a date he has described as “liberation day”. 

“Next week, the United States will announce further tariffs on the European Union,” said Harris today.

He cautioned that the EU is now “entering a time of major uncertainty”.

He said that a “worsening trade dispute can only be negative” and will require “intensive” work and engagement both in Ireland and the EU.

“This economic shock will materialise at a critical juncture for Europe with a war on the continent continuing, and our ability to defend ourselves in the face of increased threats posing great challenge,” warned Harris.

He noted that the tariffs will also arise at a time Ireland “continues to face housing shortages and infrastructure deficits”.

Meanwhile, Harris said that the amid these challenges, “it is absolutely critical the Dail can function”.

He said actions in the Dáil on Tuesday and Wednesday in relation to the speaking rights row brought politics into “disrepute”.

“The aggressive behaviour towards the Ceann Comhairle (Verona Murphy) is unacceptable and should not be tolerated,” said Harris.

“Refusing to respect the Chair of the Dáil or the outcome of a vote in the Dáil is not how our democracy works.”

Harris said that the row “has gone on too long” and that “the people deserve better”.

The opposition has issued a motion of no confidence against Murphy after they claim she did not act impartially during a vote to resolve the speaking rights row.

The motion of no confidence against is expected to come before the Dáil next week.

Harris noted that Fine Gael will vote confidence in Murphy and added: “I would encourage all members of the Oireachtas to reflect on their actions over recent days.

“The country needs a functioning Dáil and politicians who are proportionate in their response to disagreement. This week’s scenes have been anything but proportionate.”

Meanwhile, Ireland’s EU Commissioner Michael McGrath has warned “there are only losers when it comes to tit-for-tat tariff wars”.

He described Trump’s tariff announcement as “deeply regrettable” and said tariffs are bad for “businesses, consumers, and workers”.

McGrath, European Commissioner for Democracy, Justice, the Rule of Law and Consumer Protection, said the EU is “ready for further engagement” with Trump’s administration.

“We are expecting that there will be a further announcement by the Trump administration next week and the EU stands ready to respond.

“We are ready to engage and have further dialogue, but if it does not prove successful, then we will need to respond to protect European businesses.”