"As we approach Bastille Day on July 14th, this is an opportune moment to recognise and further strengthen the economic bonds between Ireland and France which are not only robust but also growing rapidly. French companies choose to do business in Ireland due to its fast-growing economy, the expansion and profitability opportunities in the Irish market, the stability of the political and business environment, and the geographical location of the country." Hugo Grattirola, Philip Lee
2022 was a record year in terms of trade of both goods and services, with a record figure of €30 billion. Indeed, the total volume of goods trade between Ireland and France has seen remarkable growth over the past decade. French exports to Ireland have tripled from €2.2 billion to €6.6 billion in the period from 2012 to 2022 while imports from Ireland have nearly doubled from €5.5 billion to €9.4 billion over the same period. This brings the total goods trade volume to approximately €16 billion.
The Top 5 Most Popular Traded Items between both countries:
- Pharmaceuticals: Pharmaceuticals dominate the trade, with Ireland being the largest supplier of pharmaceutical products to France, contributing nearly half of the French imports from Ireland in this sector.
- Agri-food products: Agri-food products are a significant part of the trade, with France being one of the top three destinations for these Irish exports, valued at €1.2 billion in 2022.
- Chemical products: Irish exports of chemical products to France saw a 14% increase between 2021 and 2022, reaching a total value of €4.1 billion.
- Technology and Electronics: Technology and electronics represent a considerable part of the bilateral trade.
- Machinery and Equipment: These items also form a key part of the exports and imports between the two countries, facilitating various industrial operations.
Inward French M&A Investments in Ireland
France is the number one EU investor in Ireland. Recent data shows that French companies have heavily invested in pharmaceuticals, technology, and financial services. French inward M&A investment has been instrumental in creating over 30,000 jobs across Ireland.
The French V.I.E (Volontariat International en Entreprise)
programme (managed by Business France) plays an important role in
those relationships by enabling French companies to send recent
graduates (from France or any other country of the European
Economic Area) on a working assignment abroad for a flexible period
of 6 to 24 months.
Ireland's number of V.I.E interns puts the country in the top
10 with a number of interns that doubled between 2018 (64 interns)
and 2023 (140).
Outward M&A Investments from Ireland into France
Irish companies have also made substantial investments in France, particularly in the tech and pharmaceutical sectors. It is clear that Irish firms see France as a crucial market for expansion and growth. Irish companies hire about 31,000 employees in France.
Big Name Brands in Ireland with French Majority Ownership
More than 500 Irish companies are established in France, French companies have created over 30,000 direct jobs in Ireland. 28 of the top 40 French listed companies are present in Ireland, including L'Oreal, Airbus, Hermes, Eurofins, Engie, LVMH, Danone, and Air Liquide.
Other such notable brands include:
- Eir: one of the most well-known telecommunications companies in Ireland.
- AXA: a prominent insurance company operating extensively in Ireland.
- Veolia: known for environmental services and solutions.
- BNP Paribas: major banking operations in Ireland.
- Pernod Ricard: a key player in the beverage industry.
About 80% of French companies in Ireland plan to expand their operations, indicating robust future growth and investment.
Enterprise Ireland
France is Ireland's second largest market in the Eurozone (behind Germany) for Enterprise Ireland's partner companies, with exports amounting to €1.82 billion in 2023. Enterprise Ireland companies have increased their exports to France by almost 25% between 2021 and 2022.
In 2022, across almost every sector, we saw double-digit growth. France is Ireland's 4th largest trading partner and a priority market for state agencies, such as Bord Bia, IDA and Tourism Ireland, all of which are located in Paris, and with Enterprise Ireland also having a presence in Lyon.
Education
60% of Irish students choose French as their first foreign language. The fact that more than 45 universities now offer dual degrees between France and Ireland leads many French students to choose Ireland as their Erasmus destination. In 2022, there were almost 14,000 French nationals recorded to be living in Ireland, while the Irish born population living in France is estimated to be somewhere between 20,000 and 24,000.
Maritime Connections
There has been a ten-fold increase in maritime connections
between Ireland and France, from 4 weekly crossings in 2018 to over
44 per week in 2022. This enhancement in logistics has
significantly boosted trade.
The two countries also collaborate on projects that are
strategically significant to Europe such as the Celtic
Interconnector submarine cable between Cork and Britany the
construction of which is set to complete by 2026.
With significant trade volumes, mutual investments, and strong
business connections, both countries are poised to benefit from
this dynamic relationship.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.