New data from the U.S. Department of Commerce shows that the American economy grew significantly less than previously expected at the end of 2025. According to revised figures released on March 13, U.S. gross domestic product (GDP) increased by only 0.7% between October and December, half of the earlier estimate of 1.4%.
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The government also revised overall growth for 2025 downward, reporting that the economy expanded by 2.1% for the year, about one percentage point less than previously projected. By comparison, the U.S. economy grew 2.8% in 2024, during the final year of President Joe Biden's term.
The weaker figures challenge expectations that President Donald Trump's new administration would quickly accelerate economic growth. Trump has promoted the idea of a coming "golden age" for the U.S. economy but blamed the slower growth on political opposition. He argued that a prolonged government shutdown in October and November—which he attributes to Democrats, reduced economic growth by at least two percentage points.
However, the Congressional Budget Office (CBO) estimates the shutdown's impact was much smaller, reducing growth by less than one percentage point.
Some economists point to other factors affecting economic confidence, including uncertainty around tariff policies and trade tensions. Analysts say these policies may be contributing to instability in markets and investment decisions, which could slow economic momentum in the near term.
Source: www.lomazoma.com