Resilient in face of Trump tariffs, world economy is forecast to grow 3.2% this year, OECD says
The world economy has proven surprisingly durable in the face of President Donald Trump’s trade wars, the Organization for Economic Cooperation and Development said yesterday, upgrading its outlook for global and U.S. economic growth this year.
The 38-country OECD now forecasts that the world economy will grow 3.2% this year, down a tick from 3.3% in 2024 but an improvement on the 2.9% it had predicted for 2025 back in June. The organization, which does economic research and promotes international trade and prosperity, expects global growth to slow to 2.9% next year.
The OECD also raised its forecast for U.S. growth this year – to 2%, up from the 1.6% it had forecast in June. Still, even with the upgrade, the American economy – the world’s largest – would have grown considerably more slowly than it did in 2024 (2.8%).
Since returning to the White House in January, Trump has overhauled U.S. trade policy, imposing taxes on imports to build a protectionist wall around the previously open American economy.
The trade barriers were widely expected to slow growth and push up costs. But his tariffs have come in lower.
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