The global economy, from resilience to settlement

The global economy navigated significant challenges in 2025, including US tariffs, geopolitical conflicts in Ukraine and the Middle East, and a reconfiguration of international relations. Despite these headwinds, the economy proved more resilient than anticipated, benefiting from adaptable businesses, trade reorientation, monetary easing, and contained energy prices. Global GDP growth is estimated to be near 3.3%, with China at 5%, the Eurozone accelerating to 1.4%, and the US approaching 2%.

2026 marks a period of adaptation to this new environment, characterized by increased barriers to the US market, evolving trade flows, and a rapidly accelerating race in artificial intelligence. Uncertainty persists regarding the Ukraine war, US trade agreements, and the financial implications of AI, alongside fiscal pressures in major economies like the US and France. However, Germany presents an opportunity for economic revitalization.

The Eurozone shows signs of improvement with rising PMIs, particularly in the services sector, though divergence remains between member states. The US experienced a temporary boost from tariff-related stockpiling, followed by a rebound, and dynamic economic activity despite a government shutdown. China, however, is experiencing a slowdown in retail sales and industrial production, signaling a potential economic deceleration in 2026.

(Source：Hellenicshippingnews)