Archive · 18 Jun 2025
US Retail Sales Plunge, Sparking Economic Slowdown Concerns
US retail sales went down quite a bit in May.
This is worrying because it might mean the economy is slowing down.
Things like the cost of goods from tariffs are to blame.
Car sales did go up, but overall, people seem to be spending less money.
Experts are expecting things to get tougher in the second half of the year, because of tariffs and other reasons.
US retail sales fell 0.9% in May, the largest drop in 2025.
Industrial production also declined, by 0.2% in May.
Home-builder confidence dropped to its lowest since 2022.
Automobile sales were a bright spot, increasing 4.9% in May.
Economists predict economic slowdown due to tariffs and other factors.
- Who
- US consumers, businesses, and economists.
- What
- Decline in US retail sales, industrial production, and home-builder sentiment.
- When
- May 2025
- Where
- United States
- Why
- Due to economic uncertainty, tariffs, and other factors.
US Economy
Tariffs
Economic Outlook
US Economy
Experiencing a slowdown in retail and manufacturing sectors.
Tariffs
Tariffs are impacting the US Economy and global trade
Consumer Spending and Inflation
US Economy
Lower Consumer confidence.
Tariffs
Rising concerns about Inflation
- Retail Sales Drop
- 0.9% in May
- Industrial Production Decline
- 0.2% in May
- Home-builder confidence
- Lowest since 2022
- Automobile Sales Increase
- 4.9%
- Economist Outlook
- Worsening in second half of 2025
Sources
Japan’s exports fall as US tariffs stoke recession risks
US retail sales decline in May; is an economic slowdown in sight?
Japan’s exports fall for first time in 8 months as US tariffs bite into recovery
Analysis-Japan’s Ishiba departs G7 with US trade deal and political future in doubt