DONALD Trump’s proposed steep tariffs on Chinese goods could send shockwaves through global supply chains, slow trade growth and further strain China’s already challenged economy, potentially shaving 0.5 percentage point off its performance, according to some estimates.
This fresh wave of protectionism, building on Trump’s “America First” stance, threatens to put China’s exports – and by extension, Asean’s trade flows – at risk, eroding a substantial share of anticipated global export gains anticipated for 2025 and 2026, and heightening economic uncertainty across the region, said analysts.
Amid such uncertainty, OCBC chief economist Selena Ling believes the net impact on China’s growth and trade relationships is likely to be adverse in the near term.
