Irish people are fully aware of the extent to which Ireland has succeeded in attracting US foreign direct investment. Since the early days of IBM opening a three-person office here in the 1950s, the Republic has today become home to nine of the top 10 US technology companies, including Apple, Microsoft, Meta and Alphabet.
It is a major hub for US pharmaceutical companies such as Pfizer, Johnson & Johnson, and Merck; medical devices giants such as Medtronic, Boston Scientific, Abbott, and Stryker; and a global financial hub that includes top US companies such as JP Morgan, Citi and State Street.
US-owned companies employ 245,000 people in Ireland, an increase of more than 16 per cent since 2024. Employment by US multinationals in the State represents 8.75 per cent of total employment.
But what is less well known is that the traffic flows both ways. The Republic is now a major foreign direct investor in the United States, the fifth-largest source of FDI into the US after Japan, Canada, Germany and the UK. Irish companies directly employ more than 200,000 people across all 50 US states.
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That includes enormous home-grown success stories such as CRH, Glanbia, Kerry, Ardagh, Kingspan and Ornua.
But the almost 800 Irish-owned companies that have operations of one kind or another in the US include hundreds of smaller success stories too, from skincare business Holos to pet-product maker Hemp Heros.
“The US is one of the biggest markets and Irish companies have made significant headway in sales, with both the EU and US often level pegging in terms of export sales,” says Carol Lynch, partner in BDO’s Customs and International Trade Services department.
“In 2024, for example, sales into the US were over €72 billion, a 34 per cent increase on 2023. Sales into Europe were a little over €88 billion, a 9 per cent increase on 2023. When we look at sales to date for 2025, up to August 2025, sales to the US had already grown to a little over €84 billion. While this can be taken to be related to stock piling in advance of US tariffs, we can still see the significant value of our export market to the US.”
While the biggest proportion by far of these exports is in the pharmaceutical and chemical area, Irish exporters also have large sales in food products, beverages and machinery, along with other manufactured items.
“This sector is hit hardest by the new US tariffs, with a typical average 15 per cent tariff being applied and potentially a 50 per cent tariff on the steel and aluminium content,” Lynch points out.
“We are seeing Irish exporters proactively focus on the impact of these rates and engage in duty planning to look to reduce the negative impact and ensure their US sales continue to grow. The complexity of the tariffs, along with the ongoing changes, have meant it can be incredibly difficult for Irish companies to apply the additional costs to their products, translate these into increased pricing for customers, or absorb them, while looking to determine the long-term impact.”
It’s why Irish companies are now increasingly looking at establishing subsidiary operations in the US, “to allow for more proactive intercompany pricing within the scope of transfer pricing and customs valuation rules”, she explains.
“With the supply chain being increasingly complicated, and the impact of geopolitics on trade playing out in relation to export sales, Irish companies are increasingly having to understand and develop a global strategy.”
This involves complex analysis, which is why Lynch welcomes support from Enterprise Ireland in the form of two new grants for EI client companies, launched in August.
The Market Research Grant offers funding of up to €35,000 for companies to assess the full impact of tariffs, gain market insights and develop mitigation strategies. The New Markets Validation Grant offers funding of up to €150,000 for companies to develop market entry strategies for new markets or new products.
For its part, BDO has established a Global Trade and Strategic Advisory service, bringing a range of experts together in a hub at its Dublin office, advising Irish companies on the best way to continue making a splash in the US.
“It includes experts in international tax, transfer pricing, financial planning and funding requirements, along with international trade and supply chain strategy,” says Lynch.
