Amidst ongoing uncertainty surrounding tariffs from the current U.S administration, Canadian business leaders are increasingly exploring opportunities in other global markets which offer fewer trade barriers and stability, according to recent insights from IDA Ireland (The state's inward investment promotion agency). As the world's largest single market and the second-largest economy globally, the European Union presents a powerful opportunity to strengthen bilateral trade. With Canada's newly elected Prime Minister working to foster close relations with Europe and the recent signing of a new Strategic Partnership of the Future in June 2025, it appears both the EU and Canada are keen to strengthen ties and bilateral trade. As the Canadian government reaffirms its commitment to enhancing trade with the EU and Canadian businesses look to new markets for expansion, Ireland stands out as a strategic entry point for Canadian companies seeking to enter the European market.
Canada sets out to strengthen relations with the EU:
In recent weeks, the EU-Canada summit took place in Brussels, with several key figures in attendance, including Canada's newly elected Prime Minister, Mark Carney. This summit marked a commitment to furthering ties and trade between the EU and Canada amid the recent announcement and imposition of tariffs by the United States and the growing strain on the trading relationship between Canada and its previous largest trading partner, the USA.
The EU and Canada have strengthened trade ties in recent years. In 2017, the Canada-European Union Comprehensive Economic and Trade Agreement (CETA) was enacted, strengthening opportunities for Canadian businesses in the EU. Since then, this agreement has led to a 66% increase in bilateral goods trade. In 2023, the European Union was Canada's second-largest trading partner behind the United States and ahead of China, accounting for 8% of the country's global goods trade according to figures from the European Commission.
With growing uncertainty arising from US-imposed tariffs, both Canada and the EU have looked to strengthen ties with the June 2025 summit, seeing the announcement of a new "Strategic Partnership of the Future" focusing on deepening cooperation in areas such as trade, economic security, clean energy, and digital technology.
In a joint statement, Canada and the EU have made several commitments to strengthen trade, including the effective implementation of CETA, the launch of a Digital Trade Agreement, and the enhancement of talent mobility by facilitating the movement of highly skilled workers as part of the new Strategic Partnership for the Future.
Canadian business leaders increasingly look to Ireland to expand:
As the Canadian government looks to Europe, so too are the country's business leaders. According to tech and startup news publication Betakit and Startup Ecosystem Canada, Canadian tech companies have been increasingly looking to Ireland as a gateway for expansion into the European market, amid shifting dynamics between Canada and the United States.
Why Ireland?
Often dubbed the "Gateway to Europe", the small European island nation of Ireland presents ample opportunity and a wide range of benefits from which Canadian companies can expand and thrive across the continent, including:
1. A pro-business environment
2. Home to a diverse range of industries
3. Member of the Eurozone
4. Skilled English-speaking workforce (only country in the EU/Eurozone with English as its main language)
5. EU/EAA access
- Strong international ties
For North American companies, establishing a foothold in Europe reflects a commitment to the European market, thereby strengthening customer ties in one of the world's most robust markets. With its strong international ties, a skilled English-speaking workforce, and strategic positioning, Ireland is undoubtedly an attractive market for businesses seeking to expand their global footprint. Check out our recent article to discover more reasons as to why Ireland is a strong choice for international business expansion and talent engagement here.
The strong existing ties linking Canada & Ireland:
Canada & Ireland share several existing links and strong ties. It is estimated that approximately 4.5 million Canadians (15% of the current population) claim Irish ancestry, making it the third largest ethnic group in Canada and one of the youngest and fastest-growing diasporas in the world. The country has, in recent years, moved to celebrate the legacy, rich history, and contributions of Irish-Canadian communities across Canada by declaring March as Irish Heritage Month in 2022.
Ireland has long been an attractive base for Canadian companies. Between 2018 and the end of 2024, the number of Canadian companies in Ireland has nearly doubled from 38 to 63, with Canadian firms now employing over 7,000 people in the country, according to IDA Ireland. Additionally, eight of Canada's top ten companies have established bases in Ireland, with business leaders across multiple sectors choosing to expand their operations to Ireland, including growing numbers of Canadian organisations in the financial services industry, according to recent insights from IDA Ireland.
Bilateral trade between the two countries totalled $4.0 billion in 2023, with Canada exporting $726.3 million and importing $3.3 billion. In 2022, Ireland ranked as the 12th-largest investor in Canada, according to figures from the Canadian Government's website.
Continued trend of foreign Investment: Why businesses continue to invest and expand into Ireland:
Ireland continues to see high levels of foreign direct investment from across the globe, reinforcing the country's position as a leading European hub for global business, as highlighted in a recent press release by IDA Ireland (The state's inward investment promotion agency).
The first six months of 2024 saw a 37% increase in approved investments compared to the same period in 2023. Nearly a quarter of investments consist of research, development and innovation (RD&I) projects, reaffirming Ireland's global reputation as a hub for research and innovation.
Ireland is also an attractive location for green energy and sustainable change, with nearly 19% of the total investments made in the fields of sustainability and environmental capital.
Just over 29% of the investments in the first half of 2024 are new or first-time investments in Ireland, while over 27% represent companies with a current presence in Ireland expanding their footprint and operations further in the country. The continued high levels of investment by companies with existing operations in the country, along with the substantial investments by new entrants to the Irish market, solidify and reaffirm the value and wealth of offerings that the country provides to international businesses looking to expand into the European market.
Challenges:
However, for companies looking towards Ireland for international expansion, there are many factors to consider before engaging workers or making their first hire.
Many companies may encounter challenges such as:
🚫 Not having a local entity under which to engage or hire talent locally
⚠️ Being unfamiliar with the regulations governing tax and the country's labour laws
⚠️ Unfamiliarity surrounding the requirements for the correct classification of workers
📉Non-compliance & misclassification risks
However, the right solution can help simplify compliance, safeguard your business and streamline talent onboarding, allowing you to expand your business into Ireland seamlessly
Employer of Record: The perfect solution for global business expansion!
With 3C Global Group's Employer of Record (EOR) service and comprehensive suite of compliance solutions, you can:
✅ Engage, hire, place and onboard top talent in Ireland without needing to set up a local entity
✅ Stay fully compliant with local employment, tax, and payroll laws
✅ Ensure workers are correctly classified
✅ Safeguard your business from the risks of non-compliance and misclassification
✅ Move fast, scale confidently, and avoid administrative burdens
At 3C Global, we are a proud member of Ireland Gateway to Europe. Through this collective, we reaffirm our commitment to helping our clients expand internationally and hire and place top talent globally by providing comprehensive international workforce solutions, expert guidance, and local knowledge, while ensuring full compliance for all stakeholders in the chain.
We continually work to deepen our international network by establishing strong ties across key markets, thereby best supporting our clients, contractors, and network in their global expansion and hiring efforts.
Your trusted compliance partner in Ireland:
1. Ready to take the next step in your global hiring journey?
2. Looking to expand into a new market?
3. Looking to embark on a contract opportunity in Ireland?
Whether you're a business looking to enter a new market, a recruiter aiming to broaden your international strategy, or a contract professional looking to work abroad, 3C Global Group is your go-to partner.
We specialise in global compliance and international contractor hiring & compliance, offering tailored support to ensure you stay compliant and competitive.
We offer a wide range of services, including:
- An Irish Employer of Record (EOR) solution.
- Global Payment Solutions (GPS)
- Agent of Record (AOR)
- Labour Leasing in Germany (AÜG/ANU)
- International Contractor Management (ICM)
- International Contractor Compliance Audit (ICCA)
- Advisory, Consulting & Training (ACT)
Our services are meticulously designed to remove potential risks and uncertainties associated with launching new projects, allowing all parties to focus on their core business objectives, knowing that their contracts and practices are fully compliant.
Contact us today!
Contact our expert team today or schedule a call and discover how we can help you unlock new opportunities from Ireland to the rest of Europe.
For EOR & global contractor compliance - Choose 3C Global Group!
📞IE | +353 1 44 33 710
📞UK | +44 207 1939 907
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