Wed, 16 Apr 2025

Wed, 16 Apr 2025 US tariffs will make global trade shrink, says WTO

The Geneva-based institution says American tariffs will send international trade into reverse.

* The WTO has forecast a decline in global trade due to US President Donald Trump's tariffs, with a predicted drop of 0.2% this year.
* The decline is expected to be particularly steep in North America, with trade falling by over 10%.
* Tariffs have created "severe downside risks" for global goods trade, according to the WTO, and could lead to an even sharper decline if not addressed.
* The UNCTAD has also forecast a slowdown in global growth due to escalating trade tensions and uncertainty, predicting a 2.3% growth rate in 2025.
* Asia and Europe are expected to still post modest growth in exports and imports this year, but the WTO warns that other regions may see a decline in trade.
* The report includes a forecast for services trade, which is predicted to grow by 4% in 2025, down from previous expectations.
* Critics have warned that Trump's tariffs will harm the US economy and lead to higher prices, with some companies already feeling the effects of the new levies.
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