US Economic Growth Likely to Slow to 1.6%: OECD

The United States may face the consequences of former President Donald Trump's protectionist stance and unilateral decisions. According to a report released on June 3 by the Organisation for Economic Co-operation and Development (OECD), America's economic momentum is expected to slow significantly this year.

While the US economy was growing at around 3% last year, the OECD now forecasts that it will expand by only 1.6% in 2025. Last year’s growth rate was 2.8%. The slowdown is attributed mainly to the impacts of Trump's unpredictable trade wars, which have disrupted global trade, increased costs, and negatively affected both businesses and consumers.

The OECD report further predicts that by 2026, the world’s largest economy could see an even slower growth rate of just 1.5%.