Trump victory should be catalyst for fresh look at Ireland’s market position | Deloitte Ireland | About Deloitte has been added to your bookmarks.
Trump victory should be catalyst for fresh look at Ireland’s market position and FDI strategy
2016 US Election
Commenting on the potential business impact of the US presidential election outcome, Brendan Jennings, Managing Partner, Deloitte said:
“The stated tax and trade positions of Donald Trump include a proposal to lower the US Federal Corporate tax rate from 35% to 15% and to pursue ‘An America – First’ trade policy. These could have a significant impact on our small open economy if carried through - tax will become less of a deciding factor for US multinationals when deciding on optimum locations. The potential impacts of these policies should now act as a catalyst to take a fresh look at Ireland’s market position and FDI strategy to ensure they will continue to work well for us in the changed US political landscape.
“Ireland made a bold move in 1996 to move to a 12.5% tax rate on a graduated basis by 2003. Is now the time to look at the next bold move? Another option that must now be looked at is seeking a more flexible application of EU fiscal rules which currently limit capital investment in infrastructure. We must also focus on non-tax factors such as political and economic stability, our regulatory regime, labour availability, operating costs and market access in order to retain our FDI companies.
“Today’s result, similar to the UK referendum on Brexit in the summer, reinforces the extent external developments can have on our open economy. This highlights the need for us to ensure a better balance in our economy, and so, Ireland must redouble its efforts to support the re-emerging indigenous sector over the medium term to help achieve this.”
Notes to Editors
For further information please contact
01 498 0346
Corporate Communications Manager
01 417 2356
At Deloitte, we make an impact that matters for our clients, our people, our profession, and in the wider society by delivering the solutions and insights they need to address their most complex business challenges.
As one of the largest global professional services and consulting networks, with over 220,000 professionals in more than 150 countries, we bring world-class capabilities and high-quality services to our clients.
In Ireland, Deloitte has over 2,000 people providing audit, tax, consulting, and corporate finance services to public and private clients spanning multiple industries. Our people have the leadership capabilities, experience, and insight to collaborate with clients so they can move forward with confidence.