The skyline of Westport is dominated by the peak of Croagh Patrick, but its economy is driven by the grey factory units that produce Botox for a US company. Donald Trump’s push to bring pharmaceutical production back to the US is causing concern for the 7,000 residents of Westport, with 1,500 of them employed by AbbVie to manufacture the popular drug.
The US president’s recent criticism of American companies with Irish operations, and his threats to impose tariffs to incentivize reshoring, are causing anxiety in Westport. Ireland has become a key hub for US pharma companies, producing a variety of drugs including Botox, Viagra, and statins. The country has been ramping up its pharmaceutical exports to the US in anticipation of potential tariffs.
Despite Trump’s global tariffs, pharmaceutical goods are currently tariff-free. However, a “Section 232” investigation by the US commerce department could lead to restrictions on imports, potentially resulting in tariffs in the near future. Trump’s comments about Ireland’s hold on the US pharmaceutical industry have raised concerns among industry players in Westport.
AbbVie, the company behind Botox production in Westport, remains confident in its market position despite competition from similar products. The potential imposition of tariffs could impact drug prices for consumers, particularly in the cosmetic application of Botox.
Investments in pharmaceutical production in Westport cannot be easily shifted, as noted by local councilor Peter Flynn. Ireland’s pharmaceutical industry is a significant exporter, supplying not only the US but also the EU and other countries. Trump’s focus on bringing pharmaceutical production back to the US is also impacting countries like Denmark, Switzerland, and Singapore.
In response to Trump’s policies, many drugmakers are announcing investments in the US. The future of pharmaceutical production in Ireland and its impact on Westport remain uncertain as discussions on tariffs and reshoring continue. Johnson & Johnson, Eli Lilly, and Novartis are all committing significant investments in manufacturing and research in the pharmaceutical industry. However, concerns have been raised by pharma bosses to European Commission President Ursula von der Leyen about potential investment losses in Europe due to US tariffs and proposed EU reforms on intellectual property protections.
Ireland, in particular, faces a unique vulnerability as it hosts the European headquarters of US tech giants in addition to major pharmaceutical companies. These industries contribute substantially to corporation tax revenue, leading to budget surpluses. The potential departure of these companies, such as Botox in Westport, would have a significant impact on local economies and communities.
While the transfer of production to the US would require regulatory approval and could result in delays, executives may already be reconsidering future investment plans in Ireland. Local businesses and residents, like pharmacist Philip Heaney, express deep concerns about the potential consequences of these developments.
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