The International Monetary Fund said Thursday it is closely watching the latest U.S. tariff announcements and urged countries to work together to support a stable trade environment.
The IMF said uncertainty about the global economic outlook remains high and that more details will be shared in its updated World Economic Outlook later in July.
U.S. President Donald Trump on Wednesday announced a 50% tariff on U.S. copper imports and a 50% duty on goods from Brazil, both starting August 1. Higher tariffs on goods from 21 other countries were also announced.
The IMF said trade developments are ongoing and the global outlook is still uncertain. The statement comes as factory surveys in the U.S., Asia, and Europe show that businesses are facing pressure from trade worries, although some are managing to continue growing.
The IMF had already lowered its growth forecasts in April for the U.S., China, and other countries, citing high tariffs and rising trade tensions. It warned that further escalation could slow growth even more.
Since then, economic activity has picked up slightly due to stockpiling ahead of tariffs, and both the U.S. and China have eased some trade measures. Still, economists expect higher tariffs to have a stronger impact in the second half of the year.
Trump administration officials say the tariffs have not caused inflation and believe a new tax-cut law will offset any short-term economic impact.
