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Asia's economic divide forecast to widen in 2026

AI boom lifts tech hubs but tariffs weigh on others

By PRIME SARMIENTO in Hong Kong | China Daily | Updated: 2025-12-30 09:50

Containers are stacked at a port in Busan, South Korea, on Sept 26. South Korea has been slapped with steep tariffs by the US in 2025. GETTY IMAGES

'Remarkable resilience'

French investment bank Natixis noted in its 2026 outlook that China's export sector has demonstrated "remarkable resilience", with exports growing by 5.7 percent year-on-year in the first 11 months. Shipments to Australia and ASEAN economies increased 35.8 percent and 8.2 percent respectively.

ADB forecasts that South Asia's GDP will expand by 6 percent, while India, the biggest economy in South Asia, is expected to see a 6.5 percent rise despite the 50 percent duty imposed on its imports by the US.

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