Senior politicians are uniting to spare Ireland's whiskey industry from "annihilation" as small producers warn that US tariffs are the "greatest threat since Prohibition", write John Drennan and Ken Murray.

Currently, more than €800m worth of Irish drink is exported to the US, including €450m of whiskey exports, but this is in the firing line as a result of US president Donald Trump's latest tariff threats.

Speaking in America, Taoiseach Micheál Martin warned the threat of US tariffs "is a very serious issue".

And his concerns were yesterday echoed by Ireland South MEP Michael McNamara who has the "gravest of concerns".

He warned that while all elements of the Irish drinks industry would be impacted "small independent producers will be utterly vulnerable."

He also warned that such vulnerabilities would "impact on local jobs and the tourist industry".

Figures within the whiskey industry have also said Ireland is facing into the "annihilation of small independent whiskey distilleries".

One source noted: "The sales will go to zero in America and that all of the profit margin comes from America. Irish whiskey faces its greatest threat since Prohibition".

"Most small distilleries don't make any margin on their Irish, EU and UK sales.

"They are more about keeping the place turning over and the lads busy. By contrast, in America the profit margin is 40%.

"America carries the rest. It represents the death knell for small indigenous distilleries. A lot will close. It is a massive blow to the industry."

Peter Cooney, an export sales director with Boann Distillery which has operations in Drogheda and Clonmel, said more than a third of its income comes from US sales.

"It would completely cut off the USA market if 200% tariffs are put through. No one is going to pay that type [of figure] on the shelf so it's game over for us in America," he said.

"Thankfully it's only 35% of our business but it's still a sizeable chunk. It's an important market because it's the biggest consumer market in the world, everybody wants to be there."

Mr Cooney, whose family once owned the famous Tipperary Water brand, said the industry has experienced tariffs before and had to take appropriate action.

He said: "In 2018 there was talk of tariffs and Irish whiskey managed to escape them but Irish cream liqueur was tariffed and we had to deal with that at the time.

"We put the price up on the shelf for the consumer. It was a different sale but an increase of 20% in tariffs meant a 20% decrease in sales.

"No importer will import whiskey with a looming tariff of 200%... Any imposed tariffs will definitely affect jobs and companies will fail."

Independent Ireland's TD Michael Fitzmaurice warned: "This will impact seriously on the rural economy and on agriculture.

"We can ill afford to lose the spirit of innovation small distillers bring to the table in terms of a unique Irish offering."

Fianna Fáil MEP Barry Cowen has also called for "urgent dialogue" across Europe.

Speaking on RTÉ Radio yesterday Brad Setser, senior fellow on the US Council of Foreign Relations and former deputy assistant secretary at the US Treasury, said Ireland is "uniquely exposed" to tariffs like no other because of its dependence on foreign direct investment.

He said: "Ireland has a healthy future but not as a tax centre so there will need to be changes in Ireland."