Global exporters face sheer challenges as a new wave of US tariffs threatens to slash export revenues by a projected US $ 305 billion in 2025, as per the latest Allianz Trade Global Survey.
The survey, carried out among 4,500 exporters across major economies such as Germany, the US, China, and the UK, exposed a dramatic decline in confidence. Following President Donald Trump’s early April tariff announcement—referred to as ‘Liberation Day’—42 per cent of companies now anticipate an export revenue drop of 2 per cent to 10 per cent, up from just 5 per cent prior to the policy shift.
Business optimism has brought about a tremendous hit, with only 40 per cent of respondents now expecting export growth—noticeably lower than before the measures pertaining to tariffs. In Germany, 39 per cent of firms anticipate a drop in export revenues, and 34 per cent are bearing in mind halting production amid continuing supply chain disruption.
In return, companies are accelerating shipments and stockpiling necessary goods in expectation of additional policy shifts. In the meantime, certain tariffs on EU and Chinese products have been temporarily suspended, permitting a 90-day window for negotiations.
The survey also highlights rising financial strain, with nearly 50 per cent of companies expecting an increase in payment defaults, mainly in the US, Italy, and the UK. On a global scale, 38 per cent of firms intend to offset rising costs by escalating prices, while 17 per cent of German exporters are bearing in mind price cuts to uphold their competitive edge.
Allianz Trade CEO Aylin Somersan Coqui put emphasis on that these trends highlight sharp implausibility in international trade, with small and mid-sized exporters predominantly susceptible to the emerging challenges.
