From Dow Jones & Company: 2025-04-04 05:34:00

President Trump’s additional tariffs on China could eliminate all $439 billion of China’s direct exports to the U.S., reducing China’s nominal GDP by 2.3%. CreditSights analysts predict the tariffs could further squeeze Chinese exports by blocking shipments re-routed to the U.S, putting pressure on GDP growth. They maintain a 2025 China GDP growth forecast of 4.7%.

A potential U.S. global slowdown could also impact Chinese exports. CreditSights analysts have raised the probability of a “U.S. market bear case (recession) scenario” to 35% from 20%, citing softening consumer sentiment, policy uncertainty, and inflation pressure as contributing factors.

The 10% tariff on all U.S. trading partners, along with additional tariffs on other Asian countries, could significantly impact Chinese exports and GDP growth. CreditSights analysts expect policymakers in China to ramp up support in response to the challenges posed by the tariffs and potential global slowdown.



Read more at Dow Jones & Company: Trump Tariffs Could Wipe out China’s U.S.-Bound Exports