Thu, 01 May 2025

Thu, 01 May 2025 Trump tells business chiefs he needs 'little bit of time' as US economy shrinks

The US president blames the first quarterly GDP decline in three years on his Democratic predecessor.

* The US economy has contracted for the first time in three years, with a 0.3% annual decline reported by the Commerce Department.
* President Trump attributes this downturn to companies stockpiling imports ahead of his tariffs imposition and claims that $8 trillion in investment will restore American manufacturing.
* He blames the economy on his Democratic predecessor, saying "this is Biden's economy" despite taking office over a year ago.
* Democrats have criticized Trump for shifting blame, with Congressman Hakeem Jeffries calling it "the Trump economy, it is a failed economy".
* Trump has announced plans to invest in technology, healthcare and infrastructure, as well as urged Congress to pass his tax bill.
* He downplayed concerns about trade wars and shortages, joking that children may have to buy fewer toys or pay more for them.
* The US has imposed tariffs on many countries, including a 25% tariff on Mexico and Canada, and an all-out trade war with China.
* Trump's administration claims that the new tariffs could result in levies of up to 245% on some Chinese goods.
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