The United States reported a 0.3% annualized GDP contraction in Q1 2025, marking its first economic decline since 2022. Experts warn that escalating U.S. tariffs are deepening recession risks and threatening global economic stability.
Wang Yaojing, associate professor of economics at Peking University, asserts that protectionist trade measures have disrupted supply chains and stifled growth. \"The ripple effects of these policies extend far beyond U.S. borders,\" Wang said. \"Asian economies tied to manufacturing and exports face particularly acute pressure.\"
The downturn has amplified concerns among business leaders and investors navigating Asia-Pacific markets. Analysts note rising production costs and delayed investments across sectors from electronics to renewable energy. Meanwhile, policymakers debate strategies to mitigate cross-border trade impacts while balancing domestic priorities.
As financial markets remain volatile, stakeholders await clarity on geopolitical negotiations and long-term recovery pathways. Wang emphasized collaborative solutions, stating: \"Economic resilience depends on dialogue, not division.\"
