The US economy expanded at a slightly faster pace than estimated in the final three months last year, according to government data released today, but uncertainty over President Donald Trump's economic policies clouds the outlook.
The world's biggest economy grew at an annual rate of 2.4% in the fourth quarter of 2024, up from a previous estimate of 2.3%, the Department of Commerce said.
The US economy has been resilient in the face of high interest rates in recent times as consumers continued spending while the jobs market remained relatively healthy.
But there are increasing fears that a growing range of tariffs imposed by Trump, and the stop-start approach to their rollout so far, could buffet businesses and fuel uncertainty.
The imposition of tariffs has roiled financial markets, while consumer confidence has dropped in recent months.
Since returning to the White House in January, Trump swiftly imposed sweeping levies on major US trading partners Canada, Mexico and China, although later providing partial reprieve to Washington's North American neighbors.
He announced yesterday that sharp duties on imported vehicles and parts, with their rollout starting next month.
In the fourth quarter, the improved growth rate primarily reflected a "downward revision to imports," said the Commerce Department on Thursday.
But the figure was still below the pace in the July-September period, the report showed.
In the third quarter last year, GDP increased 3.1%.
For all of 2024, GDP rose 2.8% from the 2023 annual level, unchanged from earlier estimates, the report said.
