Fitch lowers U.S. growth forecast for this year from 2.1% to 1.7%

International credit rating agency Fitch has revised down its growth outlook for the United States due to the risk of a global trade war.

In its economic outlook report released on Tuesday, it revised down its growth forecast from two-point-one percent to one-point-seven percent. It also lowered its outlook for 2026, from one-point-seven percent to one-point-five percent.

The agency explained a potential global trade war due to the tariff policies of the current U.S. administration is expected to slow U.S. and global growth, while increasing inflation in the United States.

It also revised down the 2025 global economic growth forecast from two-point-six percent to two-point-three percent.