Ireland warns Trump tariff threat would ‘rip up’ EU-US trade deal, vows strong response
Ireland’s foreign minister said Tuesday that Donald Trump’s threatened tariffs on European allies would “rip up” an EU-US trade deal struck last year and force Brussels to put billions in countermeasures back on the table, as leaders head to the World Economic Forum in Davos.
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Donald Trump has said he will impose 10% tariffs on eight European allies from 1 February unless they agree to his purchase of Greenland, a semi-autonomous Danish territory, and he has refused to rule out using military force to seize the island. The comments have sharpened concern in European capitals about a rapid escalation that could upend transatlantic ties.
Speaking ahead of a Cabinet meeting in Dublin, Foreign Minister Helen McEntee called the threat “deeply regrettable” and said the European Union would need to “respond strongly” if the measures proceed. She said €93 billion in EU countermeasures would be “back on the table,” underscoring the scale of the potential retaliation.
“A threat of tariffs on eight member states is essentially a threat of tariffs on all member states,” McEntee said, adding it would be “hugely regrettable for last year’s deal between the US and the EU to essentially be ripped up.” She stressed it was “really important” to intensify efforts to “engage in dialogue” with Washington in the coming days while preparing “a number of possible options to respond” if the threats materialize.
McEntee said the pressure campaign would not alter “the overall resolve of Europe in support for Greenland.”
Taoiseach Micheál Martin urged restraint, saying he hoped “common sense will prevail.” He warned that a trade war “would be very, very damaging indeed to workers across Europe, workers across the United States and indeed the world,” and said leaders should avoid reacting to “every single statement” as tensions rise.
In Brussels, Tánaiste and Finance Minister Simon Harris said the next several days will be “crucial” for EU-US relations. Speaking after a Eurogroup meeting, he told reporters there was “not an hour to spare” as diplomacy intensified to head off a confrontation.
“It’s absolutely important that intensive diplomatic efforts are put under way to try and de-escalate an extraordinarily dangerous economic situation,” Harris said. “We all know that tariffs are bad for the Irish economy, they’re bad for the European economy, they’re bad for the US economy as well. But this is now deeper than that also. This has the potential to cause a spiral of destabilising actions that could have dire consequences.”
He added: “Cool heads must prevail, and there is not a moment to lose, and the next number of days will be crucial as Europe works to try and stabilise this situation and find a way forward. Because we are always stronger — the EU and the US — when we co-operate, when we collaborate.”
The warnings from Dublin come as Trump and other leaders head to Davos, where the tariff threat is expected to shadow public remarks and private meetings. Any move to levy duties on selected European countries would test the cohesion of the bloc and the durability of last year’s EU-US trade agreement, which was negotiated to reduce friction and stabilize a relationship central to global commerce.
European officials say they will keep lines of communication open with Washington in hopes of averting a tariff spiral while preparing proportionate measures to defend the single market. With the 1 February deadline approaching, the EU’s immediate challenge is to balance pressure for a firm response with a renewed push for dialogue — and to do both quickly.
By Abdiwahab Ahmed
Axadle Times international–Monitoring.
