Hawaiʻi Economy Slows Amid Global Risks and High Oil Prices
- Reports
- 2
- Developments
- 1
- Repetition
- 50%
New informationRepeats or wire copies
What happened
The University of Hawaiʻi Economic Research Organization's third-quarter forecast for 2026 indicates that Hawaiʻi’s economy has slowed due to higher war-driven oil prices and an unusually active storm season, which included two hurricanes within three weeks. Real gross domestic product growth is expected to fall to about half a percent this year, down from over 3% in 2025, and payroll employment is edging lower. The organization anticipates gradual economic improvement in 2027 and 2028 as energy prices ease and storm recovery proceeds.
From mauinow.com
Why it matters
The forecast highlights that the persistent Middle East conflict remains a primary risk to the state’s economy. Nationally, the United States economy continues to grow at roughly 1.5% to 2%, supported by AI-related wealth gains, while high fuel and other costs continue to squeeze lower-income families.
From mauinow.com
Who's involved
- HonoluluThe subject of the economic forecast, showing a slowdown in local GDP growth.
- Middle EastA persistent geopolitical conflict cited as a primary risk to the economy.
- ChinaA major global economy whose expansion is slowing.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- Alibaba GroupSpeculative
China's economic slowdown could reduce consumer demand and market growth for the Alibaba Group.
- FordSpeculative
China's economic slowdown might pressure Ford's critical supply chain and market access.
- ChinaSpeculative
Soft global growth and US tariffs might slow China's expansion.
Keep exploring
The entities involved
-
China
cultural region, ancient civilization, and nation in East Asia; mostly refers to the People's Republic of China in political situation and rarely refers to the Republic of China
-
Middle East
geopolitical region encompassing Egypt and most of Western Asia, including Iran
Related events
- Amid trade deficits with China and the EU, the US is experiencing a surge in imports, while companies like Toyota are expanding their US auto production capacity.
- The Middle East conflict is driving up prices, while Mark Carney criticized the US approach to trade talks regarding new tariffs on Canadian products.
- Amid ongoing US tariff discussions, the Middle East conflict is causing global supply chain disruptions, while Breville leverages market shifts by expanding direct sales in China.
- Tariff threats announced by Trump could slow economic growth, leading to global uncertainty in trade negotiations involving the FED and China.
- Trump threatens 50% tariffs on Canadian goods, escalating the trade fight and impacting North American automotive supply chains.