Beyond politics: Why US businesses in Ireland must focus on the business case for climate action

At the EU moves ahead with carbon pricing and sustainability reporting, businesses trading in Europe must keep pace with climate action
Beyond politics: Why US businesses in Ireland must focus on the business case for climate action

Members of the Climeaction team in Boston, MA.

Paul Murphy, CEO of Climeaction, outlines why climate action should always be a business imperative, never a political question

Paul Murphy, CEO of Climeaction.
Paul Murphy, CEO of Climeaction.

With the US heading into another election cycle, the debate on climate policy is once again turning political. Depending on who is in power, regulations may tighten or loosen, incentives may appear or disappear, and the rhetoric around climate action will fluctuate accordingly.

But for businesses — especially US companies operating in Ireland — climate action should never be a political question. It is a business imperative. Regardless of policy swings, the economics of decarbonization are clear: lower energy costs, stronger resilience, better access to capital, and long-term competitiveness.

Politics changes, business pressures do not

 US firms operating in Ireland are facing a fundamentally different regulatory and market environment from their counterparts at home. The European Union’s approach to carbon pricing, emissions regulations, and sustainability reporting is moving forward at speed, with no signs of reversal.

Policies like the Corporate Sustainability Reporting Directive (CSRD) and the Carbon Border Adjustment Mechanism (CBAM) are reshaping global supply chains. Any US business exporting from or operating within the EU—regardless of political shifts in Washington — must align with these frameworks to remain competitive.

This isn’t just about compliance. Investors, customers, and corporate buyers across Europe and beyond are embedding climate performance into procurement decisions. Companies that fail to act risk losing contracts, supply chain partnerships, and financial backing.

Energy costs: A hard reality for industry

 US firms with industrial operations in Ireland face another unavoidable challenge: energy costs. With some of the highest electricity prices in Europe, Irish-based manufacturers, pharmaceutical companies, and logistics operators have a clear financial incentive to cut energy waste and increase efficiency.

For these businesses, decarbonization isn’t about optics — it’s about cost control. At Climeaction, we work with large industrial firms to optimize processes, recover waste heat, and implement low-carbon energy solutions. The companies that take this seriously aren’t just reducing emissions; they’re reducing their operating costs, boosting productivity, and securing long-term energy resilience.

The risk of a wait-and-see approach 

One of the biggest mistakes a business can make is assuming that policy uncertainty means inaction is the safest route. If anything, the opposite is true.

Delaying investment in decarbonization while waiting for regulatory clarity is a high-risk strategy. Many of the world’s largest firms — including key US multinationals operating in Ireland — are setting aggressive net-zero targets and embedding emissions reduction into supply chain contracts. Businesses that wait to act may find themselves locked out of these markets.

Moreover, financial markets are making climate risk a core business metric. Access to capital, insurance premiums, and investment decisions are increasingly influenced by a company’s climate strategy. Regardless of what happens in Washington, the financial world is aligning behind climate risk as a key business factor.

The opportunity: A competitive advantage, not a burden 

The best-run companies don’t view decarbonization as a regulatory burden; they see it as an opportunity to lead their industries.

Industrial decarbonization, when done correctly, is a business strategy — not a government mandate. It’s about engineering smarter, running more efficiently, and positioning your business ahead of inevitable market shifts.

At Climeaction, we help US businesses on both sides of the Atlantic turn climate action into tangible business value. Whether it’s energy reduction, process efficiency, or long-term carbon strategy, the firms that act decisively today will be the ones shaping their industries tomorrow.

Members of the Climeaction team in Boston, MA.
Members of the Climeaction team in Boston, MA.

A final thought 

Political landscapes will continue to shift. Regulations may be rewritten. But market forces — energy costs, investor pressures, and supply chain expectations— are moving in one direction: towards greater efficiency and lower emissions.

Smart businesses understand that climate action is not about politics. It’s about staying ahead of the curve. The only question is whether they choose to lead—or wait until they’re forced to catch up.

www.climeaction.com 

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