The President of the United States, Donald Trump, stated during the World Economic Forum in Davos, on Wednesday, January 21, that the American economy is undergoing strong expansion following the “defeat of inflation” and the imposition of tariffs on countries that have been “stealing from the U.S. for more than 30 years.”
“You will see growth that no country has ever seen. The growth estimate for the fourth quarter of 2025 in the United States is 5.4%,” Trump said, adding that, under his administration, inflation would have been 1.5% in the 4th quarter of 2025.
The American president emphasized that, with his policies, he could further boost the country’s growth and that, with the increase in revenue, he intends to raise the living standards of the population.
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Leadership in the Technology Market
Still on the economic agenda, Trump stated that the United States is leading the artificial intelligence (AI) market, ahead of its main rival, China.
“We are leading the world in AI, by far. We are ahead of China by a lot, and I think President Xi Jinping respects what we are doing, in part because I allowed the big companies to build their own electrical generation capabilities,” he said.
Trump also highlighted that the U.S. needs to generate twice the energy it currently produces to power AI plants in the country, at a moment when he again emphasized advances in nuclear power generation.
“I signed an order approving a series of nuclear reactors. We are going heavy on this. I wasn’t a big fan of nuclear energy because of the risks, but the progress they’ve made in safety is unbelievable,” he declared. “We can have nuclear energy at good prices and in a safe way.”
He added that natural gas production is “at historic highs” and that the U.S. “is firing on all cylinders.”
Criticisms of the Federal Reserve Chairman
Trump also used the Davos speech to tilt the tone of his criticisms of Federal Reserve Chairman Jerome Powell, who faces an investigation into alleged lack of transparency in excess costs of renovations at the central bank’s headquarters.
“All the candidates for the Fed position are great, but the problem is that they change conduct shortly after they obtain the position,” Trump said, noting that Powell had used his tenure to try to benefit Joe Biden during the 2024 presidential race.
The Republican also resorted to a pun to attack the official, calling him Jerome “Lagging” Powell. “We have a terrible president now, he is always behind on the interest rate,” he stated.
