DUBLIN, Ireland: Ireland's pharmaceutical sector saw a major surge in exports in January, bolstering the country's trade surplus as businesses raced to avoid potential U.S. tariffs.

The Central Statistics Office reported this week that Ireland recorded a 12.2 billion euro goods trade surplus at the start of the year, fueled by a sharp rise in medical and pharmaceutical exports. The total value of goods exports jumped 28.2 percent year-on-year to 24.2 billion euros.

Pharmaceuticals played a dominant role, accounting for 61 percent of total exports in January. The sector's exports soared by 68 percent from 8.8 billion euros to 14.8 billion euros compared to the same period last year.

The United States remained Ireland's top trading partner, making up 48.4 percent of total exports and 19.7 percent of goods imports. As concerns mount over President Donald Trump's trade policies, Irish exporters have been watching closely for any new tariffs that could impact transatlantic trade.

Robert Purdue of global financial services firm Ebury noted that Ireland's strong trade performance signals a solid start to 2025, despite global uncertainties.

"Solid GDP growth and other key economic markers continue to paint an encouraging picture for the Irish economy, but challenges on the global stage remain," he said.

"The Taoiseach's recent meeting with U.S. President Trump brought attention to the so-called 'massive' trade imbalance between Ireland and the U.S., with Trump once again reinforcing his tough stance on EU tariffs," Purdue added.

"However, hopes for a strong U.S.-Ireland relationship remain intact, raising the possibility that Ireland could sidestep some of the trade pressure facing its fellow EU member states.

"That said, uncertainty persists. With European economies under strain and global trade tensions simmering, Irish businesses must remain agile. Hedging against currency fluctuations and reinforcing supply chain resilience will be key to managing potential volatility at home and abroad."