DUBLIN (Reuters) -Growth in Ireland’s domestic economy is expected to slow to 2% this year if a 10% tariff on U.S. imports from the European Union remains in place or 2.5% if tariffs are removed, Ireland’s finance ministry forecast on Tuesday.
That compared to a forecast before U.S. President Donald Trump’s election that modified domestic demand (MDD) – officials’ preferred way to measure the economy – would grow by 2.9% in 2025 and similarly in 2026. MDD grew by 2.7% last year.
The finance ministry said MDD growth would slow further to 1.75% next year if the tariffs are still in place or expand by 2.8% without them. It said it truncated its updated forecast horizon to the end of 2026 due to the elevated uncertainty.
(Reporting by Padraic Halpin; Editing by Andrew Cawthorne)
