Imf sounds alarm on tariffs’ ill effects

WASHINGTON — Worsening trade tensions and exchange of tariffs could cause “significant economic cost” to the global economy, an International Monetary Fund spokesman warned on Thursday.

The global lender is still assessing the impact of the duties imposed so far but the economic costs “will quickly add up”, IMF spokesman Gerry Rice told reporters.

The United States is due to impose punitive tariffs on $200 billion in Chinese goods on Monday, bringing the total to $250 billion, on top of separate duties on steel and aluminium from around the globe. China has retaliated on $110 billion in US goods, the majority of all its imports from the United States.

Rice said that “depending on specifics and how they play out, the imposition of tariffs could come at a significant economic cost.” The fund is due to release its latest World Economic Outlook on October 9, which will provide revised growth estimates that will incorporate the impact of the trade conflict so far. —