The International Monetary Fund (IMF) has warned that businesses in the U.S. and other countries are bearing the major burden of retaliatory tariffs. IMF Communications Director Julie Kozack said global growth remained steady in the first half of the year despite tariff uncertainties, but early signs of a slowdown are now visible. Inflation trends remain mixed: tariffs have pushed up some U.S. goods prices, while inflationary pressures are still low in China and parts of Asia. Although U.S. companies are absorbing part of the tariff costs, it is unclear how long this can continue. The IMF will publish its next World Economic Outlook on October 14, addressing the impact of tariffs on U.S. inflation and growth, followed by further discussions in November’s Article IV consultation. Kozack also noted that the Federal Reserve’s September rate cut, aided by labor market flexibility, carries inflationary risks, urging the Fed to closely monitor upcoming data.