IMF Urges US to Cooperate to Reduce Trade Restrictions

The International Monetary Fund (IMF) issued a statement on the United States’ 2026 Article IV consultation on the 25th, saying the U.S. should work constructively with its trading partners, address concerns about unfair trade practices, and strive to reach agreements on reducing trade restrictions with negative cross-border impacts. The statement said that trade and investment measures, including tariffs and export controls, implemented for national security reasons should be kept within a relatively narrow scope to minimize their negative effects domestically and internationally. The statement also noted that raising tariffs distorts productive resources, disrupts global supply chains, damages the benefits of global trade, and increases costs. The Article IV consultation is an annual assessment by the IMF of members’ economic performance and macroeconomic policies. This year’s consultation focused on evaluating the U.S. economic policy shift in 2025 and its impact on the U.S., its trading partners, and the global economy. In early 2025, the U.S. government began implementing broad tariff increases, disrupting global trade order and hindering U.S. export markets. (Xinhua)