In March 2019, McDonald was criticised by some, including Fine Gael politician Simon Coveney, for walking behind a banner in the New York City St. Patrick's day parade which read "England Get Out of Ireland". The banner itself had been a part of the parade since 1948, however, the appropriateness of its message was questioned in a post-Good Friday Agreement era. In the immediate aftermath of the incident support for Sinn Féin in opinion polls dropped from 18% to 13%, with McDonald apologising for her actions shortly afterwards, but stated she believed the message to be directed at the British state, not the English people.
Shortly afterwards on 24 May 2019, the 2019 European Parliament election in Ireland and 2019 Irish local elections were held simultaneously. In the European elections, Sinn Féin lost 2 MEPs and dropped their vote share by 7.8%, while in the local elections the party lost 78 (almost half) of their local councillors and dropped their vote share by 5.7%. The result was considered "disastrous" for Sinn Féin. McDonald stated "It was a really bad day out for us. But sometimes that happens in politics, and it’s a test for you. I mean it’s a test for me personally, obviously, as the leader".