Joining an anxious global chorus, the IMF managing director has raised fresh concerns over the potential global fallout from the latest tariffs announced by US President Donald Trump.
In a Thursday statement, Kristalina Georgieva warned the new tariffs could deepen uncertainty and threaten an already fragile global economy.
“We are still assessing the macroeconomic implications of the announced tariff measures, but they clearly represent a significant risk to the global outlook at a time of sluggish growth,” she said.
Georgieva urged caution and called on the US and its trade partners to cooperate amid rising trade tensions, saying: “It is important to avoid steps that could further harm the world economy. We appeal to the US and its trading partners to work constructively to resolve trade tensions and reduce uncertainty.”
Georgieva said the IMF is in the process of analyzing the broader effects of these measures.
“We will share the results of our assessment in the World Economic Outlook, which will be published at the time of the IMF/World Bank Spring Meetings later this month,” she added.
On Wednesday, Trump announced reciprocal tariffs ranging from 10% to 50% were imposed on products the US imports from many of its trading partners, including 20% on the EU, 34% on China, 46% on Vietnam, 32% on Taiwan, 24% on Japan, 26% on India, 25% on South Korea, 36% on Thailand, 31% on Switzerland, 32% on Indonesia, 24% on Malaysia, 49% on Cambodia, 30% on South Africa, 30% on Bangladesh, and 17% on Israel.
These measures mark a sharp escalation in US trade policy and have drawn global attention due to their potential to disrupt international trade flows and increase economic pressure worldwide.
The IMF chief’s statement came amid growing concerns that heightened trade tensions could further weaken global growth, which has already been slowing across major economies.