UNIDO Warns: US Tariffs Pose Risk to Global Economic Growth
The United Nations Industrial Development Organization (UNIDO) has expressed serious concerns over the recent increase in tariffs by the United States, warning that such measures threaten global economic development and industrial growth.
In a statement released on Friday, UNIDO criticized the US tariff hikes as “the wrong approach,” highlighting that they lack solid evidence to support their intended outcomes. The organization emphasized that these tariffs elevate the costs of industrial production, undermine economic efficiency, reduce the benefits of trade, and weaken competitiveness.
“These policies ultimately put jobs at risk around the world, hitting the most vulnerable countries the hardest,” UNIDO cautioned. The organization stressed that the negative impacts of escalating tariffs would not only affect already vulnerable nations but also the countries implementing them, increasing geopolitical tensions and uncertainty.
“Rather than erecting barriers to industrial trade, a fairer and sustainable global economy should be the goal,” said UNIDO Director General Gerd Mueller. He urged the United States and other industrialized nations to collaborate with developing countries to create win-win situations that foster long-term prosperity for all.
Adding to the concern, the World Trade Organization (WTO) released its 2025 economic forecast on Thursday, predicting a 0.2 percent decline in global trade—significantly lower than previous estimates. The WTO cited the impact of US tariffs and uncertainty around future trade relations as key factors in the downturn.
As the global community navigates these economic challenges, UNIDO’s call for cooperation and sustainable practices echoes a growing demand for policies that benefit all nations, especially those in the developing world.
