US economy grows 3.3% in second quarter, government says, in second estimate of April-June growth
WASHINGTON (AP) – US economy is back this spring first quarter decline Due to Fallout President Donald Trump‘S Trade wars.
One Upgrade from the first estimate In July, the Ministry of Commerce said on Thursday, the US Gross Domestic Product-Ulus’s Production of Goods and Service-2025 decreased by 0.5% in the first three months of April-June until the month of 3.3%, he said. The department initially estimated its second quarter growth as 3%.
The first quarter of the US economy in three years, the first quarter GDP decline, was caused by the increase in imports from GDP, while businesses were trying to bring foreign goods in front of the tariffs of Trump. This trend reversed as expected in the second quarter: imports fell by 29.8% and increased April-June growth by more than 5 percent.
Trade department this Consumer spending And the private investment was a little stronger than the first predicted in the second quarter.
Consumer expenditures, which make up about 70% of GDP, grew rapidly by 1.6% annually, but better than 0.5% in the first quarter, and the government was initially secondly estimated to be 1.4%.
Even with an upward revision, private investment fell by 13.8% annually from April to June. This would be the biggest decline in the height of the coronavirus pandema since the second quarter of 2020. A decrease in special inventories reduced almost 3.3 percent of the second quarter GDP growth.
The federal government’s expenditures and investments decreased by 4.7% annually in the first quarter of a 4.6% decrease.
Among the GDP data, a category that measures the basic power of the economy increased by 1.9% than April-June as in the first quarter and became stronger than the first reported. This category includes consumer expenditures and private investments, but excludes variable elements such as export, inventory and government expenditures.
Since his return to the White House, Trump has overthrew the decades of US policy, which preferred more free trade. He slapped Double -digit taxes on imports Steel has targeted certain products for almost every country and tariffs in the world, including aluminums and cars.
Trump sees tariffs as a way to protect the American industry and to withdraw factories to the United States, and Big Tax Duties He signed the law on 4 July.
However, the mainstream economists underestimated by Trump and his advisors say that their tariffs will harm the economy, increase costs and make protected US companies less efficient. They say that tariffs are paid by importers in the United States, which are trying to transfer their customers at higher prices. Therefore, tariffs can be inflationary – but even though the effects have been modest so far.
