Latin America Faces Slower Growth as Trade Tensions and Weak Investment Bite

Latin America Faces Slower Growth as Trade Tensions and Weak Investment Bite

The Economic Commission for Latin America and the Caribbean (ECLAC) has revised its 2025 growth forecast for the region, now projecting GDP expansion of just 2.0 percent. This adjustment, published April 29, 2025, reflects a reduction of 0.4 percentage points from previous estimates. The revision underscores mounting economic pressures as global trade tensions rise and […]

Santiago, Chile. The US-led tariff war will reduce Latin America’s growth to 2%, Cepal projected Tuesday. According to a statement by the Economic Commission for Latin America (Cepal), the region faces “a very complex and highly uncertain international scenario” following US tariff announcements. By December, prior to Donald Trump’s arrival in the government, Cepal had projected a regional expansion of 2.4% by 2025.

The World Bank (WB) hopes that the labor market in Latin America will “be less dynamic” in 2025 in the midst of an economic slowdown and the effects of the global trade war. According to the agency, the smaller expansion planned for this year will have a negative impact on job creation and on the evolution of labour revenues in the region. “The region is expected to remain in its cycle of not creating enough quality jobs to accelerate its progre…

In contrast, the Commission estimates that the most positive numbers in the region will be in Argentina (5%), the Dominican Republic (4.5%), Costa Rica (3.6%), and Paraguay (3.6%).The Economic Commission for Latin America and the Caribbean (Cepal) reduced its expectations of economic growth in 2025 for the region, after US President Donald Trump implemented his tariff policy.In a report released on Tuesday, he placed Venezuela's economy as one o…

The tariff war and its impacts on oil companies Alejandro Narváez Liceras * The tariff wars, like the one currently promoted by President Donald Trump's administration, have cross-cutting impacts on the global economy. While these mechanisms seek to protect domestic industries, their effects are rapidly spreading across international markets. One of the sectors most sensitive to these dynamics is energy, particularly the oil market. Being a stra…

Growth prospects dim for region, says ECLAC

THE Economic Commission for Latin America and the Caribbean (ECLAC) yesterday revised downwards, the growth projection for the region’s economies in 2025.According to the new estimates, the United Nations organisation forecasts that the region’s economies will grow two per cent…