Tariff uncertainty ‘problematic' for fiscal planning, Taoiseach says
US president Donald Trump has said that he will implement a 30 per cent tariff on EU goods from August 1st if a new trading deal with the bloc is not agreed by that deadline.
Advertisement
Mr Trump has also threatened to ramp up tariffs on pharmaceuticals from the end of the month, raising concerns on a key sector for the Irish economy.
Negotiations between the US and the EU continue as the Government prepares to announce its Summer Economic Statement next week.
The Government is also due to provide an update on its five-year fiscal stability plan to the EU.
Speaking to reporters on Wednesday, Mr Martin said: 'We're keeping everything under review, but in context of this year, we have fair ideas to where revenue will land and where expenditure will land.
Advertisement
'But certainly we're waiting in terms of the midterm framework, the five year programme that has to be submitted to Europe, it is problematic.
'We can't abolish the Budgetary process, we still have to go and prepare the budget, and we have to prepare estimates, and there has to be negotiations and so on.
'And there are very significant downside risks given what's happening and in terms of the tariff threat.
'Potentially, if we've got it resolved it could be an upside, we'll have to wait and see.'
Advertisement
He added: 'There are real issues in endeavouring to project into the future but we do have capital at our disposal.
'We do need to transform our infrastructure.
'We do need to put sufficiency of money aside for water and for housing and for energy.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
ITV News
15 minutes ago
- ITV News
Plymouth votes against directly elected mayor model in historic referendum
Plymouth has voted against moving to a directly elected mayor model following an historic referendum. The city will continue to be run by a council leader and cabinet, after narrowly voting to maintain the status quo. Turnout in the referendum was 19.1 per cent. A total of 19,840 people voted in favour of the 'leader' model; 18,044 opted for the mayor choice. Charlotte Holloway, who led the 'Plymouth Knows Better' campaign, said: 'This was a rejection of the failed city mayor model. Today Plymothians have shown that it won't work here. 'This was always a pointless referendum, it cost £410,000, that's money we all want to see spent on children in care, on filling our potholes. 'Plymouth is a marginal city. I don't see this as a movement or a momentum or a swelling of discontent. I would describe this more as a murmur. 'We've got to look forward, we're a city on the up, the hard work continues.' 'Democracy has been trampled on' The Government plans to introduce legislation which would stop the creation of new city mayors, while accepting the continuation of 13 existing mayors. Angus Forbes, who led the pro-mayor campaign, said: 'We accept the result, we trust the process. But democracy has been trampled on over the past few months. 'We came up against the full might of the Labour party, local MPs and Westminster. Our team worked extremely hard. There is a desire for change and change is coming. This is the first step. 'Janners are great people, they are resilient people and they want change.' 'Dead end' Luke Pollard, Labour MP for Plymouth Sutton and Devonport, said: 'This referendum was always a dead end, and I'm pleased Plymouth has rejected this costly, failed experiment. It was clear from the start that it would never lead to a city mayor for Plymouth. 'I told Mr Forbes last year that this model was being scrapped, and yet he pushed ahead regardless. 'At a time when our city needs every penny focused on frontline services - on social care, helping kids in care, and filling our potholes - £410,000 has been wasted on a vote that changes nothing.' Fred Thomas, Labour MP for Plymouth Moor View, said: 'I am really pleased that the people of Plymouth have voted to reject this model that has been tried, tested and failed across the country. We now need to move on and put the division behind us. 'This referendum was a waste of time, money, and energy. The government has already made clear that no new city mayors will be created – the referendum was pointless. 'I know that people want to see change in Plymouth and that is why they may have voted for a Mayor, I want to see change too. But this referendum was never going to deliver it – so let's move on and work together to make our city an even better place to live.'
Belfast Telegraph
15 minutes ago
- Belfast Telegraph
‘I fully support campaign to stop Legacy Act being repealed': ex-NI Veterans Commissioner gives signature to petition
Former Veterans Commissioner Danny Kinahan has revealed he signed a petition to stop the Government repealing the controversial Legacy Act. A protest was held in London earlier this week ahead of a Westminster Hall debate on the issue.
The Independent
15 minutes ago
- The Independent
Trump's tariff pressure pushes Asia toward American LNG, but at the cost of climate goals
Asian countries are offering to buy more U.S. liquefied natural gas in negotiations with the Trump administration as a way to alleviate tensions over U.S. trade deficits and forestall higher tariffs. Analysts warn that strategy could undermine those countries' long-term climate ambitions and energy security. Buying more U.S. LNG has topped the list of concessions Asian countries have offered in talks with Washington over President Donald Trump 's sweeping tariffs on foreign goods. Vietnam's Prime Minister underlined the need to buy more of the super-chilled fuel in a government meeting, and the government signed a deal in May with an American company to develop a gas import hub. JERA, Japan's largest power generator, signed new 20-year contracts last month to purchase up to 5.5 million metric tons of U.S. gas annually starting around 2030. U.S. efforts to sell more LNG to Asia predate the Trump administration, but they've gained momentum with his intense push to win trade deals. Liquefied natural gas, or LNG, is natural gas cooled to a liquid form for easy storage and transport that is used as a fuel for transport, residential cooking and heating and industrial processes. Trump discussed cooperation on a $44 billion Alaska LNG project with South Korea, prompting a visit by officials to the site in June. The U.S. president has promoted the project as a way to supply gas from Alaska's vast North Slope to a liquefication plant at Nikiski in south-central Alaska, with an eye largely on exports to Asian countries while bypassing the Panama Canal Thailand has offered to commit to a long-term deal for American fuel and shown interest in the same Alaska project to build a nearly 810-mile (1,300-kilometer) pipeline that would funnel gas from The Philippines is also considering importing gas from Alaska while India is mulling a plan to scrap import taxes on U.S. energy shipments to help narrow its trade surplus with Washington. 'Trump has put pressure on a seeming plethora of Asian trading partners to buy more U.S. LNG,' said Tim Daiss, at the APAC Energy Consultancy, pointing out that Japan had agreed to buy more despite being so 'awash in the fuel' that it was being forced to cancel projects and contracts to offload the excess to Asia's growing economies. 'Not good for Southeast Asia 's sustainability goals,' he said. LNG deals could derail renewable ambitions Experts say LNG purchasing agreements can slow adoption of renewable energy in Asia. Locking into long-term deals could leave countries with outdated infrastructure as the world shifts rapidly toward cleaner energy sources like solar or wind that offer faster, more affordable ways to meet growing power demand, said Indra Overland, head of the Center for Energy Research at the Norwegian Institute of International Affairs. Building pipelines, terminals, and even household gas stoves creates systems that are expensive and difficult to replace—making it harder to switch to renewables later. 'And you're more likely then to get stuck for longer,' he said. Energy companies that profit from gas or coal are powerful vested interests, swaying policy to favor their business models, he said. LNG burns cleaner than coal, but it's still a fossil fuel that emits greenhouse gases and contributes to climate change. Many LNG contracts include 'take-or-pay' clauses, obliging governments to pay even if they don't use the fuel. Christopher Doleman of the Institute for Energy Economics and Financial Analysis warns that if renewable energy grows fast, reducing the need for LNG, countries may still have to pay for gas they no longer need. Pakistan is an example. Soaring LNG costs drove up electricity prices, pushing consumers to install rooftop solar panels. As demand for power drops and gas supply surges, the country is deferring LNG shipments and trying to resell excess fuel. The LNG math doesn't add up Experts said that although countries are signaling a willingness to import more U.S. LNG, they're unlikely to import enough to have a meaningful impact on U.S. trade deficits. South Korea would need to import 121 million metric tons of LNG in a year — 50% more than the total amount of LNG the U.S. exported globally last year and triple what South Korea imported, said Doleman. Vietnam — with a trade surplus with the U.S. twice the size of Korea's — would need to import 181 million metric tons annually, more than double what the U.S. exported last year. Other obstacles stand in the way. The Alaska LNG project is widely considered uneconomic. Both coal and renewable energy in Asia are so much cheaper that U.S. gas would need to cost less than half its current price to compete. Tariffs on Chinese steel could make building building gas pipelines and LNG terminals more expensive, while longstanding delays to build new gas turbines mean new gas power projects may not come online until 2032. Meanwhile, a global glut in LNG will likely drive prices lower, making it even harder for countries to justify locking into long-term deals with the United States at current higher prices. LNG deals raise energy security concerns Committing to long-term U.S. LNG contracts could impact regional energy security at a time of growing geopolitical and market uncertainties, analysts said. A core concern is over the longterm stability of the U.S. as a trading partner, said Overland. 'The U.S. is not a very predictable entity. And to rely on energy from there is a very risky proposition,' he said. LNG only contributes to energy security when it's available and affordable, says Dario Kenner of Zero Carbon Analytics. 'That's the bit that they leave out ... But it's pretty important,' he said. This was the concern during the recent potential disruptions to fuel shipments through the Strait of Hormuz and earlier during the war in Ukraine, when LNG cargoes originally destined for Asia were rerouted to Europe. Despite having contracts, Asian countries like Bangladesh and Sri Lanka were outbid by European buyers. 'Events in Europe, which can seem very far away, can have an impact on availability and prices in Asia,' Kenner said. Asian countries can improve their energy security and make progress toward cutting carbon emissions by building more renewable energy, he said, noting there is vast room for that given that only about 1% of Southeast Asia's solar and wind potential is being used. 'There are genuine choices to meet rising electricity demand. It is not just having to build LNG,' he said. ___ Jintamas Saksornchai in Bangkok contributed to this report. ___ Associated Press climate and environmental coverage receive support from several private foundations. See more about AP's climate initiative here. The AP is solely responsible for all content.
