The overwhelming majority of US businesses in Ireland plan to increase or maintain their employment levels in Ireland despite the global uncertainty, and deliberate efforts by US president Donald Trump to bring more manufacturing back to the States.
Marking the July 4 Independence Day celebrations, the American Chamber of Commerce (AmCham) released the results of a survey conducted of its members, where 92.5% said they planned to increase or maintain their current level of employment in Ireland.
Of those, 60% said they planned to increase employee numbers, while a third said they would maintain their current number.
Nine in 10 survey respondents also said their corporate headquarters had a positive view of Ireland as an investment location, and 68% said their corporate headquarters already had plans to invest in Ireland over the next five years.
US multinationals have formed a key part of the modern Irish economy, employing large numbers of workers in key sectors such as pharmaceuticals and technology.
However, the Trump administration is engaged in an ongoing tariff war with much of the world, as he demands US companies operating abroad bring more of their operations back home.
American Chamber chief executive Paul Sweetman said: “Almost 7.5% of Ireland’s entire population is employed — directly or indirectly — by US multinationals. Ireland is a strategic hub for innovation and global decision-makers in major American corporations.
“On the flip side, Ireland is the sixth largest source of FDI into the US, and Irish companies are employing almost as many people in the US as US companies are employing in Ireland. It truly is a genuine two-way economic relationship.
“Against the geopolitical backdrop of trade, tariffs and uncertainty — which are unquestionably causing challenges for our members — we see a real and emerging optimism that the business community is ready to get moving through accelerating innovative projects and strategic investments.”
The survey also found a third of US businesses here said housing was the most important challenge for Ireland to overcome for their company to invest and expand here.
Other challenges include cost competitiveness, a skills shortage, the complexity of the planning process, supply chain disruption and the need to enhance R&D tax incentives.
When asked about the biggest risk is to continued FDI in Ireland over the next five years, housing was cited as the biggest risk (31%), ahead of public infrastructure, trade tariffs, labour costs and availability of skilled talent.
On investment in AI and new technologies, 92.5% of respondents said they had increased or maintained AI investment this year, while 65% said they planned to increase investment in AI, automation or data analytics initiatives.
When asked how they expect the AI transformation to affect their organisation over the next five years, 82.5% said they expected it to result in either increased or maintained investment.
“In the long term, Ireland has a significant opportunity — built on a pedigree of delivery and a can-do attitude — to win new investments and grow.