The Irish Exporters Association has warned that Ireland risks being "collateral" damage in the escalating trade tensions between the EU and the US as President Donald Trump steps up his pursuit of Greenland.
The CEO of the association Simon McKeever said that "we are part of the European Union".
"So even though we are not directly targeted at the moment, if the EU - US trade deal that was done last July, was cancelled, then who knows what Donald Trump would levy on the whole of the EU, including Ireland."
Mr McKeever has also called on the Government to reconvene a trade forum, which met a number of times last year during the height of the tariff crisis. The forum is made up of businesses, State bodies and ministers.
Over the weekend, President Trump threatened tariffs on six EU countries and Norway and the UK because they opposed his ambitions to take over Greenland.
The EU trades as a bloc and it is likely if additional tariffs were imposed it would be on all EU member states, including Ireland.
Last year, after months of negotiations, Mr Trump and European Commission President Ursula von der Leyen agreed a deal which limited tariffs at 15% on EU goods entering the US.
While some Irish goods are covered by the tariffs two of Ireland's largest exports – pharmaceutical goods and computer chips have no duties imposed on them.
This afternoon stock markets across Europe closed down following concerns about the escalating trade tensions.
Shares in Frankfurt were down 1.3%, stocks in Paris fell 1.7% markets in Dublin and London were down around half a percent.
Earlier, Tánaiste and Minister for Finance Simon Harris said that while the European Union should try to use the "brief window" open to resolve the US tariffs crisis, member states must be ready for "all eventualities".
Speaking in Brussels, where he is attending the Eurogroup and Ecofin meetings today and tomorrow, the Tánaiste acknowledged the seriousness of the evolving situation.
However, despite saying there is a need for "cool heads" over the coming days and weeks, Mr Harris said the "potentially enormous" impact of what is happening means the EU and Ireland must "prepare for all eventualities".
"It's President Trump who has decided in recent days to threaten Europe with additional tariffs, ones that have very significant destabilising effect," he said.
"The destabilising effect could potentially be enormous, the cascading effect could be very, very significant.
"So now is a time for cool heads, we have worked in good faith with the US administration to put a trade agreement in place, we want to see that agreement implemented in full, we don't wish to see any deviation from that agreement.
"And it's very important now that we use the brief window available between now and 1 February to seek dialogue and a way forward. And a way forward that will always see Europe stand with Greenland and stand with the Kingdom of Denmark, but also prepare for all eventualities."
Opposition parties called for the Government and the EU to hit back at US President Donald Trump's latest tariffs threats by unfreezing €93bn worth of reciprocal tariffs and cancelling plans for MEPs to sign off on implementing last year's EU-US tariffs deal.
Read more:
Timeline: Major developments in Donald Trump's trade war
EU says 'priority is to engage not escalate' after Trump tariff threat
Speaking to RTÉ News, Sinn Féin's foreign affairs spokesperson Donnchadh Ó Laoghaire said the unpausing of the reciprocal tariffs should be "considered".
"US President Trump's proposal to impose tariffs against European countries that oppose his threats and bullying of Greenland’s sovereignty is scandalous.
"European countries should be prepared to respond with resolve and face down these threats. This is not the way for any country to do business.
"Sinn Féin is abundantly clear, the future of Greenland and its sovereignty must only be decided by the people of Greenland. Individual countries and peoples have the right to determine their own future. That is no different for the people of Greenland," Mr Ó Laoghaire said.
In a separate statement, Social Democrats deputy leader Cian O’Callaghan said plans for MEPs to ratify and vote to implement last year's EU-US tariffs deal should now be put on hold due to the latest threats from the White House.
Mr O’Callaghan said: "The latest threats from Trump are incredibly worrying and risk unravelling the trade deal, between the United States and the EU, which would have very serious consequences for this country.
"The EU needs a strong, cohesive response to make clear that any trade war would be deeply damaging, to both the EU and the United States, and underlining that Danish and Greenlandic sovereignty is not a bargaining chip in these trade negotiations.
"The trade deal cannot be ratified in circumstances where Trump is making threats to unravel it.
"We would like to avoid a trade war and the imposition of tariffs, which would be incredibly damaging, but the United States must be under no illusions but that the EU will take a strong stance if necessary."
Labour's enterprise spokesperson George Lawlor was equally critical of what is happening, saying
"There is no doubt the EU must proceed with caution with regards to a reaction to Donald Trump's latest pronouncement.
"However, we have clearly seen that the US president has no ability to stick to a deal.
"The uncertainty created by his almost regular threatening outbursts is leading to nothing but instability. The EU must use its position of trading strength to say that once and for all we will not be bounced around by Trump's antics."
Ireland open to unfreezing €93bn worth of reciprocal tariffs, Govt meeting hears
An internal Government meeting on the Greenland-US tariffs crisis has heard that while Ireland is in favour of dialogue as a first step, it is open to the option of unfreezing €93bn worth of reciprocal tariffs against the US if diplomacy fails.
RTÉ News understands the reciprocal tariffs option was discussed during the meeting on what options could be on the table for Ireland and the EU in a worst-case scenario.
The meeting, which took place at Government Buildings this afternoon, included Taoiseach Micheál Martin, Minister for European Affairs Thomas Byrne and Independent TD and Minister of State Seán Canney, as well as the Secretary General of the Department of Finance and other senior finance officials.
Sources stressed any decision will be made by EU leaders at what is expected to be a lengthy extraordinary meeting on Thursday evening in Brussels, which was called for yesterday evening by European Council President António Costa.
However, at the meeting, Government sources said that while Ireland is strongly in favour of dialogue as a first port of call, if that fails then other options are available.
One senior source said it is clear "lines have been drawn in the sand" in relation to Greenland, and that if President Trump tries to impose tariffs on eight European nations on 1 February then Ireland would be open to the EU unfreezing €93bn in reciprocal tariffs paused last summer.
While it was accepted by those at the meeting such a turn of events would damage both the EU and the US, and is not being sought at this stage, those present said it would be a quicker and clearer EU response than the potential use of the anti-coercion instrument which could take months to introduce.
Instead, it was suggested that, while unpalatable, the unfreezing of the reciprocal tariffs could take place as a "first step" while initial moves on the anti-coercion instrument take place.
No decisions will be made until the meeting of European leaders in Brussels on Thursday evening, which is due to be attended by the Taoiseach.
