The trade tensions between the U.S. and China pose a big risk to Thailand’s economic growth, with little room left for further rate cuts, the country’s deputy central bank governor warns. President Trump’s threat of 100% duties on Chinese goods could worsen the situation, impacting global trade dynamics. The central bank projects growth at 2.2% this year and 1.8% in 2026, below the potential 2.7% rate. Despite leaving interest rates steady, policy makers face challenges due to a strengthening baht and U.S. tariffs. The focus now shifts to financial measures and fiscal policies to support the economy amidst constraints on rate adjustments.

Read more at Yahoo Finance: Flare-up in US-China trade tensions poses a big risk to Thailand’s growth, deputy central bank governor says