Tariff Talk & Trade Woes Impact Global Economic Outlook

The International Monetary Fund (IMF) cut its global growth outlook this week amid tariffs and economic unrest. After predicting a 3.5 percent growth rate in January of this year, the new number—3.3 percent—represents the group’s third downgrade in the last six months, according to Bloomberg. The numbers are the lowest since the economic crisis in 2009.

The decrease includes the growth outlook for the United States, European countries and Japan, as well as for the overall global economy, Associated Press reports. The Chinese forecast, on the other hand, was raised by 0.1 percent to 6.3 percent. Specifically, for the U.S., the 2.9 percent number from 2018 was downgraded to 2.3 percent. A no-deal Brexit could bring further woes to the United Kingdom and European Union. The IMF said trade woes and disrupted supply chains could negatively impact the economies of these countries, according to The Guardian.