US tariffs will have significant impact on Lao economy, economists warn

Workers assemble garments at a factory on the outskirts of the Laotian capital Vientiane. The main goods exported from Laos to the US included furniture, mattresses, lamps, electrical appliances and equipment, finished chemical products, clothes, headgear, inorganic chemicals and footwear. - Reuters

VIENTIANE: Tariffs imposed by the United States on goods imported from Laos and other trading partners are projected to have a significant impact on Laos’ economy in 2025 and 2026, economists have warned.

The tariffs, and the ensuing global slump that is likely to result from the high levies, will result in a decline in demand and foreign direct investment (FDI) inflow.