Drinks Ireland warned Taoiseach that alcohol health labelling plans seen as ‘trade barrier’ by US

Cabinet decides to delay introduction of new regime for two years amid concerns over impact

The labelling rules – which are to include cancer warnings – were due to take effect in May 2026. Photograph: Getty Images
The labelling rules – which are to include cancer warnings – were due to take effect in May 2026. Photograph: Getty Images

A drinks industry representative organisation warned Taoiseach Micheál Martin that plans for health labels on alcohol have been “identified as a barrier to trade by the US” during a meeting sought to discuss the impact of US president Donald Trump’s threatened tariffs.

The meeting also heard that the industry was seeking a delay in the introduction of the planned labelling regime. The rules – which are to include cancer warnings – were due to take effect in May 2026.

The Government decided on Tuesday to delay the measure for two years amid ongoing trade uncertainty.

A report published by US trade representative Jamieson Greer’s office at the end of March detailed what the United States regards as trade barriers worldwide.

The Irish plans for alcohol health labelling were included in a section on the European Union.

The report notes that the US industry has “raised concerns” that the intended unique labelling requirements in the Republic are in addition to EU-wide regulations and “would be costly and may disrupt US exports within the EU single market”.

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Drinks Ireland – part of business lobby group Ibec – met Mr Martin on April 11th, along with several alcohol producers.

A note of the meeting released by the Department of the Taoiseach under the Freedom of Information Act says that Drinks Ireland highlighted how the labelling requirements were identified as a barrier to trade by the US.

The note also said: “The sector, while open to labelling requirements, was seeking some delay from Government on their introduction.” Mr Martin is said to have “noted the comments of Drinks Ireland in this regard”.

In response to an Irish Times query on the meeting, the department said that 28 of the 31 provisions in the Public Health (Alcohol) Act – which includes the labelling plans – have been started.

These include “major changes on advertising, sponsorship, retail display of alcohol, and alcohol promotions, as well as the introduction of minimum unit pricing.

“The Minister for Health is aligned with the Taoiseach, Tánaiste, and all Ministers on the need for a whole-of-Government response to trade and tariffs.”

A Drinks Ireland statement said it welcomed the “opportunity for ongoing engagement ... to avoid further escalation and to seek a negotiated resolution. The Irish drinks sector is export-focused, with €2 billion in annual exports, and the US market is critical for our members throughout the country.”

The statement added that the sector is “particularly exposed” to US tariffs.

On Tuesday, Minister for Trade Simon Harris updated Cabinet on the ongoing trade talks between the EU and US to reach an agreement in advance of Mr Trump’s August 1st tariff deadline.

As part of this, Ministers were advised that the alcohol health warning labels would be deferred for two years to 2028, following concerns raised about the impact of their implementation in the current global trading environment.

The delay is to allow industry, domestic and international, to prepare for their implementation.

The Cabinet was told the decision follows concerns raised by domestic interests at the Government trade forum around the potential to undermine international competitiveness.

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Cormac McQuinn

Cormac McQuinn

Cormac McQuinn is a Political Correspondent at The Irish Times