America's recent tariff policy is starting to boomerang, weighing on growth and stoking concerns of a prolonged slowdown. While the move aimed to protect domestic producers, higher import duties are driving up costs for businesses and consumers alike.
Tariffs Take Their Toll
Trade costs have surged, with companies passing expenses to customers and trimming profit margins. Supply chains face new friction as partners navigate shifting regulations.
Data Signals Recession Risk
In recent weeks, several leading institutions have raised their odds of a US recession this year. Key indicators such as manufacturing activity, consumer confidence and business investment are showing signs of strain.
- Manufacturing output dips below expectations
- Consumer sentiment declines amid price pressures
- Investment plans delayed over uncertainty
Outlook Ahead
Economists warn that without policy recalibration, the economy could skid into a longer downturn. As data continues to pour in, all eyes are on upcoming reports to gauge whether Washington will adjust course to stabilize growth.
Reference(s):
cgtn.com
