72% of Irish businesses had not taken steps to mitigate the potential impact of trade tariffs from the US, new research from professional accountancy body ACCA has found.
The survey was conducted before US President Donald Trump's 90-day tariff pause.
It found that only 15% of businesses had undertaken a risk analysis, while 7% had started to look at new markets as a result of the potential tariffs.
The ACCA said the majority of businesses were confident that the initial tariff posed by the Trump administration would not proceed as planned, with 60% of Irish businesses believing that President Trump would seek to negotiate with the EU.
Almost 70% of businesses said they did not want immediate responsive tariffs but instead they wanted the EU to engage and negotiate a deal with the US.
While the tariffs have been delayed for now, 36% of those surveyed thought that Government supports would be required if there were to proceed, with 43% seeking clearer guidance and advice from Government and 38% of businesses seeking assistance to explore new markets.
Meanwhile, the potential impact of the tariffs has created uncertainty with just 41% of businesses believing that the Irish economy will grow over the next 12 months.
Stephen Noonan, Head of ACCA Ireland said, its findings not only underline the vulnerability of many Irish businesses to the impact and uncertainty that could be caused by potential US tariffs on exports, they also shine a light on the need for businesses to scenario plan to support operational continuity and growth.
"President’s Trump’s 90 day pause provides businesses with some breathing space to consider their options and plan for a range of scenarios with government, trade and professional bodies playing an important role to help them plot their specific course," Mr Noonan said.
"On the international stage with a dip in economic confidence globally, it is vital that there are calm heads both in Government and within the EU ensuring that we can safely navigate this period of deep uncertainty," he added.
