The policies of the escalating tariffs of US President Donald Trump are warning about a possible global recession, as major financial institutions warn of severe economic repercussions in the United States and around the world.
It aims to protect American manufacturing and reduce trade deficit, these definitions raise sharp reactions from global markets, which leads to a large -scale economic slowdown.
JP Morgan, one of the largest investment banks in the world, reviewed its growth expectations in the United States for this year, and now expected a 0.3 % decrease in real GDP, decreasing its previous estimate of 1.3 %.
The bank cites the effect of customs tariffs as a key factor in this recession, as the global stock market achieved great success, as it has achieved billions of major American companies.
JP Morgan warns of the possibility of high unemployment, as expectations indicate nearly two million additional jobs in all parts of the United States.
The effects of these definitions extend beyond the American border. China has retaliated with a set of its customs tariffs, and raised import fees for American goods by 34 %.
This measure has fueled fears of a commercial war that reaches a dream that can lead to a global recession. Since both the United States and its commercial partners impose an increasingly increasingly tariff, the global economic outlook has grown uncertainly, as markets interact negatively with the inability to predict future trade relations.
In the United Kingdom, the economic impact has become more clear. While the US -based economy in the UK is directly less affected by definitions, analysts warn that the effects of global recession are still growing growth.
Low demand from major economies such as the United States and China may harm UK exports, which weakens a already fragile financial scene. Ability pressure is also a concern, as broken supplies and high customs tariff costs may lead to high prices for consumers.
Some companies in the UK are already adapting to new commercial facts. Companies like JCB intensify American production to avoid tariffs, but many smaller companies can struggle to move in the variable market dynamics.
The broader effects of Trump’s definitions are still revealing, and experts warn that the full recession has become increasingly likely if the commercial conflict continues to escalate.
Since global markets are preparing for more turmoil, economic repercussions may become a tariff policies in Trump, a distinctive feature of global economic landscapes, where experts expect deeper periods and financial instability all over the world.
