President Trump’s recent decision to impose significant tariffs on Chinese imports has raised concerns about its impact on China’s economic growth. Goldman Sachs estimates that these tariffs could reduce China’s GDP growth by at least 0.7 percentage points in 2025. citeturn0news19 Similarly, Citigroup warns that the tariffs might drag China’s GDP growth down by 2.4 percentage points this year.
In response, China has indicated plans for fiscal stimulus measures, including potential cuts to reserve requirement ratios and interest rates, to mitigate the economic impact. The International Monetary Fund (IMF) has slightly raised China’s 2025 GDP growth forecast to 4.6%, acknowledging these stimulus efforts while cautioning about ongoing trade policy uncertainties.
These developments underscore the complex interplay between trade policies and global economic stability, highlighting the challenges policymakers face in balancing protectionist measures with sustainable growth objectives.
Global Markets React to New U.S. Tariffs.
Trump Tariffs Cast a Shadow Over China’s Revised 4.6% GDP Growth Estimate
