Economic growth will slow this year and next as the trade war hampers development in the United States and around the world, the Organization for Economic Cooperation and Development said.

The recent decision by President Donald Trump to double tariffs on steel and aluminum imports from 25% to 50% marks a significant shift in US trade policy. This move, effective from June 4, 2025, is seen as an effort to strengthen the domestic steel industry and protect national security.

US President Donald Trump’s combative trade policies are hurting global economic growth, with the US among the hardest hit, according to the OECD. The Paris-based organization slashed its outlook for the second time this year,