“If these risks materialise in greater tariffs and disruption in supply chains, then growth could be lower by 0.3 points,” Srinivasan told Bloomberg TV’s Haslinda Amin on Friday. “If there are further tensions that would also mean downside risks for China.”
The International Monetary Fund sees “significant downside risks” to global growth due to renewed frictions between the US and China, the fund’s Director of the Asia and Pacific Department Krishna Srinivasan said on Friday.
After months of tentative stability in US-China relations, tensions flared in recent weeks when Washington expanded tech restrictions and proposed tariffs on Chinese ships entering US ports. China responded with similar actions, outlining tighter export controls on rare earths and other critical materials.
