White House National Economic Council Director Kevin Hassett
said the US economy is on a strong growth trajectory, although he
warned that external factors could prevent the Trump administration
from achieving its economic growth targets.
According to Hassett, the US economy could grow by around 4%,
rather than the administration’s 3% target, if there were no
external headwinds. He based his assessment on continued gains in
productivity and wages.
Administration officials, including Treasury Secretary Scott
Bessent, have said President Donald Trump’s goal during his current
term is to sustain annual US GDP growth of around 3%.
Private-sector economists, however, are forecasting economic
growth of approximately 2%.
Rapidly rising investment in artificial intelligence has helped
support US economic growth in recent quarters, contributing to
stronger GDP performance.
At the same time, economists have identified a slowdown in
labor-market growth as one of the key factors that could constrain
economic expansion.
The differing projections highlight the uncertainty surrounding
the US growth outlook, with the administration taking a more
optimistic view than many private-sector economists. While
productivity gains, higher wages and AI-related investment could
provide further support, weaker labor-market growth and external
economic pressures remain potential constraints on the pace of
expansion.
