Trade tensions have escalated faster and further than we had originally anticipated, capped this week by President Trump’s threat to apply a 10% tariff to $200bn of imports from China. We still think that protectionism alone is unlikely to kill the economic expansion. But it could worsen the slowdown we anticipate next year, and add to the domestic inflationary pressures that are already building.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services