Micheál Martin (Cork South-Central, Fianna Fail) | Oireachtas source

I thank the Deputy for raising the issue. This is without question the most serious issue to face the Irish economy in a long time. It is clear that the scale of these tariffs will be significant in European terms. Ireland does not believe in tariffs. The European Union does not believe in tariffs and does not want tariffs. The European Union has not started this; Ireland has not started this. Ours is a small open economy and, in my view, the economic model we have followed over 50 or 60 years has brought about significant progress and modernity for and led to investment in Ireland and has facilitated the growth of indigenous Irish companies that have interacted with the multinationals in a very effective way.

The bottom line, however, is that, ultimately, to get this into a sustainable landing zone for the future, negotiations are key. The Deputy outlined that part of the approach in designing any countermeasures from the European Union will be the negotiating table. Can we get this to a negotiating table where we could arrive at a reasonable, settled pattern? It will not be the status quo ante. As I said yesterday, the old order is changing. That is regrettable. We are in an era of increased protectionism. That is not good for Ireland or for open economies. We have obviously engaged with the European Union in respect of, first of all, having a cool and calm response and not an immediate response. It is also important that in the design of countermeasures, Europe be strategic and that such measures do not bring more harm on ourselves, on Europeans, as opposed to anybody else. In other words, where we have clear surpluses, it makes sense that we do not invite a doubling of tariffs or further tariffs.

That said, this is a very serious imposition on Europe. There will be some response. There are 27 member states. There are different balances across the EU. The car industry will potentially be very severely hit. Some countries will suffer greatly on that score. Our focus is on agrifood, which is a big concern for Ireland, beverages, spirits, food and dairy products and pharma.

Working within the European Union, we have to make sure that other sectors are not damaged by any potential countermeasures. The Government's strategy is to optimise the protection of Irish jobs. That is the fundamental objective. One of the most fundamental reasons people to continue to invest in Ireland is our membership of the European Union and the Single Market. American companies are global companies. If they are cut off from European markets, they will diminish. They will tell you they cannot survive without a global footprint. Our membership of that European market allows for the free mobility of European citizens. When companies come to Ireland, they can avail of skill sets from across the European Union. The composition of the workforces in Apple, Google or any of the pharmaceutical companies will bear witness to that. We have moved beyond tax as the key incentive in bringing jobs to Ireland. It is now much more than that. Our investment in research and development over the last three decades has been very significant. There was a step change in that area that brought many jobs to Ireland. These jobs would not have come to Ireland if we had not made those investments in research and development in the late 1990s. Is é an rud is tábhachtaí ná go gcaithfimid a bheith socair agus gach aon iarracht a dhéanamh chun jabanna a chaomhnú. Le cúnamh Dé, beidh cainteanna ar siúl idir na Stáit Aontaithe agus an Eoraip. Is é sin an tslí chun é seo a réiteach i gceart.

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