Old Navy and Gap Retail Stores are viewed on April 9, 2025, when people are walking through Times Square in New York City.
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President Donald Trump’s tariff’s turmoil is weighing on expectations, further cutting the forecasts of economic growth in the US and globally by the organization of economic cooperation and development.
The US growth perspective has been revised to just 1.6% this year and 1.5% in 2026. In March, OECD is still expecting an extension of 2.2% in 2025.
Trump’s tariff policy, elevated economic policy uncertainty, decline in net migration, and a small federal task force have been referred to the latest download.
Meanwhile, the global growth is expected to be less than in the past, while the OECD states that “slowly concentrated in the United States, Canada and Mexico”, but other economies are expected to see small downward revisions.
“Global GDP growth is expected to be slowed down from 3.3% in 2024 to 2.9% this year and 2026.
This is a global growth this year as 3.1% of this year and 3% in 2026.
“The global outlook is becoming more and more challenging,” the report said. “If there is a significant increase in trade, strict financial conditions, weak business and consumer confidence and heightened policy, there is an adverse effect on the future of growth.”
Frequent changes in relation to tariffs in recent weeks have continued, leading to uncertainty in global markets and economies. Some of the recent developments include Trump’s mutual, country-specific tariffs Down US Court of International Trade, before that Re -established From the appeal court, as well as Trump Dip Steel duties for 50%.
OECD adjusted its inflation forecast, he said, “Increasing inflation, especially in countries that increase tariffs, although their effect is partially compensated for weak cargo prices.”
The impact of the tariff on inflation is fiercely discussed, not clear that many central bank policymakers and global analysts depend on factors such as how the tariffs affect prices and potential resistance.
The OECD inflation view shows a significant difference between the US and some of the world’s major economies. For example, G20 countries are now expected to record 3.6% of inflation in 2025 – the March estimation has reduced by 3.8% – the projection for the US has increased to 3.2%, which has increased by the previous 2.8%.
The US inflation can close by 4% by the end of 2025, OECD said.
