Tariff concerns to cap Q1 GDP growth at 6%

UA&P STUDY

- By LOUELLA DESIDERIO

UA&P said in its Market Call Capital Markets Research for April 2025 that it trimmed its first quarter gross domestic product (GDP) forecast by 0.2 percentage point to six percent.

"Uncertainty surrounding (US President Donald) Trump's tariffs have mildly lowered our Q1 2025 GDP forecast to six percent," UA&P said.

The forecast is faster than the 5.9-percent growth posted in the first quarter last year and 5.3-percent expansion in the previous quarter.

In February, Trump signed a memo for the conduct of a review to determine reciprocal tariffs to be imposed on imports from other countries.

The reciprocal tariffs plan was unveiled on April 2, imposing a 10-percent baseline tax on imports from all countries and higher rates for others including the Philippines, which have trade surpluses with the US.