White House analysis says Trump's tariffs will hurt US economic growth: NYT

  • An internal White House analysis found that the Trump administration's tariffs would hurt economic growth, according to The New York Times.
  • Trump claims that his approach to trade is "massively good for the economy."
  • The World Bank says that a rise in tariffs could lead to 2008 trade levels.
President Donald Trump speaks before signing a presidential memorandum targeting China's economic aggression in the Diplomatic Room of the White House in Washington, D.C., U.S., on Thursday, March 22, 2018.
Andrew Harrer | Bloomberg | Getty Images
President Donald Trump speaks before signing a presidential memorandum targeting China's economic aggression in the Diplomatic Room of the White House in Washington, D.C., U.S., on Thursday, March 22, 2018.

The White House Council of Economic Advisors has concluded that President Donald Trump's tariffs will hurt economic growth in the United States, according to The New York Times, citing several people familiar with the research.

The findings of the analysis, which have been circulated internally and are not yet publicly available, contradict Trump administration officials who claim that the president's approach to trade would be "massively good for the U.S. economy."

Most recently, the administration has hit Canada, Mexico, Japan and the European Union with aluminum and steel tariffs as well as threatened tariffs on Chinese goods.

Several US trading partners have responded with their own tariffs, including close allies such as Canada and Mexico. The European Union is also preparing retaliatory measures.

The World Bank has warned that a spiral of rising tariffs could lead to a drop in global trade not seen since the financial crisis.

But Trump's top economic advisor Larry Kudlow told reporters at a White House briefing on Tuesday that Mr. Trump's trade policies would benefit growth.

"The world trading system is a mess," said Mr. Kudlow, a former CNBC senior contributor. "It is broken down. Insofar as fairness and reciprocity and, ultimately, free trade, I think this is contributing to our economic growth and our confidence."

Read the full article in The New York Times.