Taoiseach Warns of Rising Threats to Transatlantic Trade but Looks Forward to Dialogue with Trump
Taoiseach Simon Harris has indicated that the chances of a transatlantic trade disruption are on the rise, but he characterized the US president-elect, Donald Trump, as “transactional” and expressed confidence that he would recognize the mutual nature of US-EU trade.
Harris made these comments upon his arrival at the European Political Community summit in Budapest, which includes leaders from 47 European nations, among them the 27 members of the European Union.
This gathering comes at a critical moment, as Trump’s recent electoral victory has sparked concerns in Ukraine regarding the US’s ongoing commitment to support the country amidst the Russian invasion.
Ukraine’s President, Volodymyr Zelensky, is also in attendance at the summit.
“Mr. Trump has decisively won the election in the United States, and it is clear that both the European Union and Ireland will now need to cooperate with the democratically elected president,” Harris told the press.
“Europe and Ireland have prior experience working with President Trump during his previous term,” he continued. “In the forthcoming days, weeks, and months, it’s crucial to evaluate what policies President Trump may pursue compared to those he has proposed.”
He elaborated, stating, “Trump is a businessman with a transactional approach; he will likely grasp that trade relationships are reciprocal. While countless jobs in Ireland arise from US foreign investment, there are also numerous Irish jobs stemming from Irish businesses operating across all states in the USA.”
During the summit, European leaders convened to discuss ongoing support for Moldova.
Additionally, Harris mentioned that the Irish government has wisely allocated budget surpluses into sovereign wealth funds to safeguard the national economy against potential transatlantic or European shocks in the years to come.
“We must acknowledge the legitimate risk of a transatlantic trade shock has indeed increased,” he asserted. “That’s simply a fact.”
“However, it’s essential that we navigate these challenges and engage with the new administration at a European level,” he added. “Trade operates at the EU level, and companies choose locations for various reasons, extending beyond mere tax incentives. Ultimately, Trump, with his business background, will recognize this too.”
“The European Union presents itself as a significant market and a prime opportunity for the US to foster business ties, just as it does for the EU.”
“Ireland stands out not only for its competitive tax offerings but has also contributed at a global level in addressing tax rate discussions. More importantly, we’ve got talent and have positioned ourselves as an accessible bridge between the US and EU.”
Meanwhile, British Prime Minister Keir Starmer met with Ukrainian President Zelensky during the summit.
When prompted about whether Ireland should bolster its defense efforts to support Ukraine in light of a potential reduction in military backing from Trump, Harris reaffirmed that Ireland’s stance on military neutrality is “not up for discussion.”
Nevertheless, he emphasized that Ireland cannot overlook the escalating threats facing Europe, including those posed by cyber warfare.
Leaders from 47 European nations, including all 27 EU members, gathered in Budapest for this important summit.
Consequently, an increase in defense spending might be necessary, Harris suggested. “Just because we’re militarily neutral, doesn’t make us immune to those risks,” he remarked.
As for Ukraine’s situation, he stated, “I eagerly anticipate my conversation with President Zelensky today. Europe must stand unwaveringly with Ukraine for as long as it takes. We cannot allow a situation where a nation can, through aggression and unlawful war, annex territories.”
European Commission President Ursula von der Leyen expressed her eagerness to collaborate with Trump again to fortify the transatlantic alliance. Speaking from Budapest, she said, “My past experience working with President Trump carries weight. It’s imperative that we analyze our shared interests and strategize accordingly.”
Hungarian Prime Minister Viktor Orbán, a pronounced supporter of Trump, has expressed skepticism regarding US aid to Ukraine and the overall European financial support for Ukraine’s efforts, as well as the sanctions imposed on Russia following the invasion.
Orbán, hosting the summit due to Hungary holding the EU presidency, faced significant backlash within the EU for meeting with Russian President Vladimir Putin shortly after engaging with Zelensky in Kyiv. His relationship with the Ukrainian president has been strained, with Orbán referring to Zelensky as an “opponent” and critiquing a proposed “victory plan” that calls for heightened Western assistance.
The discussions at today’s summit are likely to be overshadowed by the recent instability within the German coalition government, raising questions about Europe’s resilience moving forward. German Chancellor Olaf Scholz is scheduled to undergo a confidence vote in mid-January, potentially leading to new elections by March.
This intricate political landscape poses both challenges and opportunities for Europe as it adapts to the shifting dynamics created by recent developments.
Additional reporting by AFP/Reuters
Edited by: Ali Musa
alimusa@axadletimes.com
Axadle international–Monitoring
