Why Ireland
It is an understatement to proclaim that the liberal economic order of the past eight years is under strain. Indeed, the world economy is becoming more closed than open, more fractured than integrated, and more bound than unbound. Globalization is in remission, while its opposite, isolationism, is being rekindled by nationalists around the world, the US included.
Most at risk in this new world of isolationism are open, trade-dependent economies across Europe, Asia and much of the emerging market universe. In this new world, the most nimble and adaptable nations will survive and thrive, and within the European Union, Ireland remains better positioned than most other nations.
The transatlantic economy itself remains the largest and wealthiest in the world and a source of prosperity and development for its citizens. And within this framework, Irish-US linkages remain solid. In a world of unrelenting change and frequent shocks, one constant is the depth and durability of Irish-US commercial relations. Both parties are deeply embedded in each other’s economy, creating mutual benefits for all stakeholders on both sides of the Atlantic. Even with the aftershocks of this decade, the partnership not only endures but continues to thrive.
Ireland is well positioned to serve as a transatlantic hub linking the world’s largest economies.
The structural underpins of Irish-US commerce remain thick and deep—supporting economic growth, earnings, jobs, incomes and a host of other benefits. The digitalization of the global economy, in addition to the coming revolution in artificial intelligence, portend even deeper integration between Ireland’s tech savvy economy and US technology leaders. Against this backdrop, US foreign direct investment stock in Ireland totaled $491 billion in 2023, well above comparable numbers for Germany ($193 billion), France ($100 billion) and Asia’s twin giants, China ($127 billion) and India ($50 billion). At last count, there were nearly 1,000 US foreign affiliates operating in Ireland, generating some $550 billion in affiliate sales, $120 billion in output, while employing some 165,000 Irish workers.
The numbers speak for themselves: Irish-US bonds are quite strong, and are expected to grow stronger in the years ahead.
In part this reflects the following: One, that despite pressures to “Make it in America”, US multinationals remain among the most globally-minded entities in the world; they go where there are opportunities for growth. Two, the European Union will remain one of the most attractive markets in the world for US firms. The region’s attractions are often underrated but the EU remains large, wealthy, and richly endowed with human capital, respect for the rule of law, political stability, and other business-friendly policies. And three, at the heart of US corporate interests in Europe will be Ireland. Given multiple attributes that make the nation among the most attractive in the world for foreign direct investment, Ireland is well placed to remain the critical link not only between the United States and Europe but also the United States and the world.
Ireland is well positioned to serve as a transatlantic hub linking the world’s largest economies. Over the past few decades, the nation has been transformed into a full-fledged global partner of Corporate America—a critical link in the global success of some of the world’s most dynamic and innovative firms. Irish-US linkages are among the deepest in the world, a depth that will survive our times of tumult and uncertainty.
