Despite the US trade war, the global economy is expected to grow by 3.2% this year, according to the Organization for Economic Cooperation and Development (OECD). This is a significant improvement from the previous forecast of 2.9% for 2025, and it demonstrates the resilience of the global economy in the face of President Donald Trump's trade wars. The OECD's optimistic outlook is based on the assumption that the US and world economies will benefit from massive investments in artificial intelligence, and that companies will continue to import foreign goods to avoid tariffs. However, the organization also warns that higher tariffs will gradually lead to higher prices, which could reduce household consumption and business investment. The OECD predicts that China, the world's second-largest economy, will grow by 5% this year, the same as in 2024. India, which has become the world's fastest-growing major economy, is expected to generate 6.7% growth this year, up from 6.5% in 2024. Despite the positive outlook, the US economy, the world's largest, is still expected to grow more slowly than in 2024, with a forecast of 2% for 2025, up from 1.6% in June.
OECD's Global Growth Forecast: Trade Wars and Economic Resilience (2025)
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