The U.S. tariff rate on all imports has rocketed to 22% from just 2.5% in 2024 under the new global levies imposed by President Donald Trump, Fitch Ratings' U.S. economic research chief said on Wednesday.
"That rate was last seen around 1910," Olu Sonola, Fitch's head of U.S. economic research, said in a statement after Trump's announcement for a global baseline import tax of 10%, but much higher rates for many trading partners.
"This is a game changer, not only for the US economy but for the global economy," Sonola said. "Many countries will likely end up in a recession. You can throw most forecasts out the door, if this tariff rate stays on for an extended period of time."
